1) No, you can't put a games on location in Walmart because they, like many big businesses, have exclusive contracts with select (major) vending companies to place games.
2) No, hoby1 does not make a lot of money working for a vending company. Only the owners of vending/amusement companies make a lot of money
3) Yes, redemption games like claw machines, Cyclone...most of them cheat. They are operator adjustable as to how often they should pay out. Doesn't apply to smaller prize games like candy cranes, Stacker (small prize only), etc. where the cost of the prize can be less than the cost of one play. So while a claw machine does require some "skill" to win it ALSO requires luck that no one else won in the last 30, 50, 100 (operator adjusted) games. Is this misrepresented to the customer? Yes. Should redemption games be required to pay out on skill? No, because then how would the operator make money. Should it be illegal or considered gambling? The laws are always changing and like everything else it comes down to who is lobbying the state politicians with more money.
Disclaimer: I was only a small time business owner so I only made a little lot of money but I know too much.