The issue is that people are pretty unwilling to be homeless or starve if there’s an alternative (no matter how terrible).
Maybe I'm misunderstanding you but I've been homeless before and I don't think it's an "issue" that I don't want to go back to that.
Isn't that supply and demand? If something doesn't sell enough, it stops being on the shelf. You vote with your purchases.
Some places even give out surveys where you would rate the person who helped you. Some places take those surveys seriously and if you get bad ratings, they fire you.