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Benefits of a packaged Distribution

If Linux is available free on the Internet, why does Red Hat's packaged CD-ROM distribution of Linux sell at all?
The primary reason is convenience. There are a number of benefits to the Red Hat packaged distribution.
One benefit is that a packaged distribution means that each component can be easily upgraded. Another is that the user does not need to make decisions about which components to download, a process that is time consuming and requires intimate knowledge of the hardware environment into which Linux is to be introduced.
Red Hat Linux 1.0 was released on November 3, 1994. It was originally called "Red Hat Commercial Linux". It was the first Linux distribution to use the RlPM Package Manager as its packaging format, and over time has served as the starting point for several other distributions, such as Mandriva Linux and Mandrake.

I like to work with open source code and it is not always possible. Sometimes you have to deal with proprietary code and sometimes you have to distribute it.
I like to distribute software as RPM package because it allows me to put together patches, post-install scripts and configuration files. But how can I create and distribute proprietary software without violating license?
Answer: nosrc.rpm.
For example, let assume that you want to distribute Oracle Database Server with your custom settings and patches. The oracle-server.spec file may look like this:

Summary: Oracle 10g Database Server Enterprise Edition
License: Oracle License
Group: Applications/Databases
Name: oracle-server-x86_64
Release: 78%{?dist}
Source0: 10201_database_linux_x86_64.cpio.gz