The OP said it.....folklore....
While taller frames may take longer to sell, there is NO discount as far as I am concerned.
And like others above have said.........some people buy bikes that are too big........too small
I, myself, have tried to refuse to sell a bike that is not the correct size.
But who are we to judge **********??
Unless it is Dangerous !!!!!!!!!!
I'll explain why it may not be correct, but if someone is insistent , its hard to say..... no sale...... Especially this year when there was/ is a bike shortage.
If they can straddle the bike and they want it, they get it.
I can straddle a 26 inch frame. It is snug, but both feet are flat on the ground. I'm 5' 10" with a 32/33 inseam
I have bikes from 22" to 26"
Now I feel a little more comfortable....a little more that is....with a 22-24 inch frame.
But when I ride my 25 inch Colnago Super 1976, I glide and ride with ease. No hesitation.. No worries
Can and have stopped with all the confidence in the world .
Above average skills I am lucky to have