Retail is for end-users, oem (bare card/drive/cpu/whatever in bulk pack - 10 pieces or 20 or 50 in a box, some may just have 1 driver disk/disc per box) is for system integrators/builders to build a complete system to sell to end-users, they take care the warranty from end-users, they deal with their distributor/wholesaler for warranty.
For most oem stuff, end-users can't get warranty from the manufacturer directly, except bare hard drive, original ATI vga card in bulk pack, etc.
The standard way of sale and warranty handling is a ladder system:
manufacturer
to
distributor
to
wholesaler
to
reseller/system integrator/system builder
to
end-user
For end-users, it's good to buy everything retail. Like cpu, you pay more for retail, the manufacturer has taken user-error into account, so whatever you burn it, damage it during installation, misuse, etc, the manufacturer is happy to give you a new replacement immediately.
The word "OEM" is abused or misused commonly.
We call bulk pack hardware as "oem version".
Some Radeon 8500 64MB, AIW 7500, AIW 8500 oem currently are still original cards in bulk pack, with all cd, cable, remote exactly as retail version just without the box, and ATI honor the warranty on such cards as retail version.
We call bundled with drive or system version software as "oem version".
We call bundled with system version ms mouse or keyboard as "oem version".
Those pricewatch vendors and mon&pop b&m computer stores are not allowed to sell oem version hardware or software alone. Most do so, if you buy such thing like Powerdvd or Nero oem version alone at very cheap price like $5-10, this is equal to buying pirate/bootleg software in the manufacturer's eyes. Also, for windows oem version, they're mostly fake or stolen copies of oem version for Dell (also other big brands) with the word "for Dell" erased.
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