Company sells an item to its authorised dealer for less than its price. Because this is the margin the dealer will make on the watch, if it is sold for same price as the company store.
Sometimes the dealer may decide to sell the watch cheaper than company, by cutting its own margin, to gain more customer volume. In some cases, the company will offer the dealer special or exclusive deals, to push sales.
This is how some items may be available through dealers at cheaper prices.
Pakistan is a different market, where people are not following ethics and importing all sorts of junk. I hardly trust any store in Pakistan, if it is selling imported goods.
The items, or parts might be fake or replicas, as you mentioned, or if they are real, the prices will be extortionate.
No wonder, our public prefers to import everything themselves, if they can.