Well said, also if the market is allowed to function, and a seller prices an essential way too high, say $1000 for a case of water in a crisis, they risk being paid in 115 grains of lead instead of cash. Welcome to the jungle progresives.
Price what the market will support and there is more for everyone, sell cheap and as you say, first one in will just buy it all.
And as far as "well what about all the profit from the vendor." I dont' know about you but I'm not staying open in a crisis to sell $3 water and risk being drowned or robed. The mark up incentivies vendors to aquire more needed goods for their customers and take the necisary risks to distrubute them.