is Marketpress declaring custom post types wrong?

Excuse the provocative title but I have been looking into several problems I have been facing with Marketpress that lead me to ask this question.

I noticed several problems with the page created for the store base and the custom post type called products while trying to get breadcrumbs working.

A few people hinted at creating custom post type archives, a few suggested plugins.

Talking about plugins, I found this little gem: which is able to wrap posts, pages and custom post types into one big tree provided the custom psot types are properly created.

By properly created I mean that the hierarchical option, the rewrite and permalink base are properly set up.

As far as I understand, if this were the case, I could use above-mentioned plugin properly and fix my breadcrumb trail navigation issues.

Please can someone with coding experience check into this matter?