Wholesalers are just one part of the problem
Even if retailers wise-up and bypass the local wholesalers - and buy stock directly from foreign discounters - they still face a problem of paying for the overheads associated with a shopfront and staff.
One outcome will be that goods that can be easily sold over the Internet and safely delivered should cease to be sold in streetfront retail stores - exactly as iTunes and Amazon have killed CD and DVD stores, with bookshops to follow.
The only retail areas that are somewhat safer are those where the buyer really needs to inspect/try the goods (fresh food) or it must be tailored to suit the customer in some way (men's suits) or service industries like fast food, dentistry etc.
The ugly consequences of Paul Keating's 'level playing field' are finally happening. It was a fantasy and it will slowly lead to the destruction of the incomes and quality of life of ordinary people in many industries - starting with retail - the result being to drive their income and conditions of employment to parity with China and India.
The only real long term solution is a hefty import duty levied on all sales overseas at the point of sale - ie collected via the credit card or bank handling the transaction - where the transaction can be traced offshore - and the level of duty should vary according to the country of origin. This spares customs form the ugly task of opening parcels and the paperwork to collect minuscule amounts of tax on the majority of items - and it will also collect tax on items delivered electronically such as music, video/movies, and software and e-books.