The determining factor on "department store" bikes is the store's bike techs.
When I retired I needed something to do to fill time, so I worked for 7 or 8 years as a bike tech for one of the big sporting goods stores. There were several stores in our region, and I estimate that about half their techs were bikers who actually took pride in their work. My basic standard was that any bike that I touched had to be safe enough that I would allow my only grandson to ride it. As a result the store got a good rep for bike sales and service, and we built a steady repeating customer base.
But - the regional management had a fixation about bikes in boxes. They insisted that stock bikes be built as fast as possible, that there be no empty spaces in the display racks and that the storage racks in back were full. If they saw boxed bikes in the back room they would almost have a hissy fit. As a result, the store managers and techs were pressured to build bikes fast. Our store hired one guy part time to just build bikes - and he built junk. Fast - but junk. Nothing he built was rideable or safe. Anything he built had to be completely examined and fixed before it was safe to sell. Fortunately the company policy was that no bike left the store without a final inspection and sign-off by a tech, so the junk didn't get out the door. (Some of the big box stores just let you pick a bike of the rack and go. On time in Target the customer in the checkout line in front of me was buying a bike with two flat tires!)
I complained several times about the junk bike problem but the store manager was so happy that he was building bikes fast (and keeping the regional guy off his back) that he ignored the issue, hoping we would catch the problem bikes when sold. The guy finally quit, but we were still cleaning up after him for several months.
A year or so after I finally fully retired my daughter and son-in-law decided to buy a couple of bikes for recreational riding. I suggested bikes that I knew would be a good fit and just happened to be on a great closeout sale. When they brought them home I did a complete checkout of each bike. The brakes and shifters on his bike were not adjusted properly. Her bike would not shift the rear der - when the store "tech" installed the kick stand he clamped the cable under the mounting bracket.
Poor training by the company? Inexperience? No pride in their work?