What these slack twunts don't appreciate is that it costs six times more to attract a new customer than it does to retain an existing one. No shop could survive on bike sales alone. In effect, bike shops sell bikes simply to generate sales of parts, accessories and labour. A warranty problem such as this is actually a perfect opportunity for the LBS to develop it's relationship with the customer by demonstrating it's eagerness to resolve the issue. But no. Because they're dinosaurs. First of all there's no need to send the component off to Madison. FFS if they trust the bike shop enough to sell their bikes they should have enough confidence in their technical ability to trust their judgement when it comes to making a warranty call.
I suspect that the bike shop is simply being slack. Forget about 'building a relationship' with them, they've blown it. Ask to speak to the organ grinder, read them the effing riot act, mention 'Sale of Goods Act', that you'll be writing to the warranty dept. at Madison complaining about their poor service and that if your bike isn't fixed within x days that you'll be expecting a full refund. This is the only language these feckers understand.
Believe me I've worked for enough of them.