If you encourage coaches to bring in transfers, then you are basically treating the athletes like professionals, and in that case, colleges should just pay them and get rid of the hypocrisy. Notice we never have conversations about whether MiLB should be cutting players. In the professional sports world, it's expected that this would happen. But, college athletes are not professionals.
Colleges are part of the real world, in that college students are customers, and everyone at the college who caters to them, from professors to librarians to maintenance workers, are employees of the business of which the students are customers. If they defined athletes (or at least basketball and football) as part of the entertainment that was laid on as an amenity for the students, then the athletes could be paid employees and not students.
Colleges don't want to admit that they are hiring entertainment for their students, alumni, and communities - even though they pay for coaches, facilities, travel, etc. They go out of their way to stress that the athletes are being paid with tuition and room-and-board, they are students like all the other students (yeah, right) - oh, actually, they are just students who happen to want to play sports for recreation and let other people watch. . . . It's a lot of hoops just to be able to say that the athletes are NOT employees hired to provide entertainment. So since college athletes are not employees, why should they be treated like employees?
Students are not kicked to the curb when someone better comes along; they get to stick around and finish their degrees.
I assume that the problem is that the NCAA and most schools sell the idea of "scholar-athlete" so well that some D1 athletes (PitchingFan's "those who haven't done their homework") expect to be treated like students and not employees.