Composite is much cheaper to make so that's why they include it with console. If someone buys it for their family they may not care about quality of picture. Also some HC gamers want to get better image so they get nintendo official cable. It's a win/win situation for nintendo

Component is definitly better. Crispier picture and it doesn't do odd blurring when there's lots of things moving. I think I got lucky that I got good quality cable from DX but be aware that most
third-party cables have problems especially with grounding and those can cause errors in image and colors.