One question I would have with this venture- how is pricing for an item set? In other words, why can the larger dealers sell for lower prices online? Is it purely their sales volume? Or, are they getting a greater discount from the importers than smaller distributors? Is Ro selling to consumers for less than I can purchase from the distributor?
I think knowing that would go a long way in building a business plan. If you owned the building and could control overhead that way, could eat several years of red numbers to establish yourself and pick up marketshare, and provided top-notch service and sales experience so that you were a destination (online and brick-and-mortar), it would go a long way in making this work.