Doesn't matter what any of us wants. None of us are entitled to anything from another website. Imagine I demanded you to put up a big banner on your site that direct links into my site for free. You wouldn't do it.
Don't waste your time getting upset over how Google sends you traffic. They are a for-profit business and ultimately are going to do what is best for their site. Our sites are all secondary to Google's business.
As for local business listings you need to figure out if your business in going to gain more than you are going to lose by cooperating with Google. Will Google generate you more business than you may lose by pushing some of your content from your website onto Google?
I haven't fully thought through how I feel about it, but in the past when directory style sites had encouraged us to create such "sites within their sites", and while paying them money for the privilege, I used to be less than impressed and usually declined.
And we pay Google, we spend plenty on Google Ads, we are not a user who does not pay anything, we are a proper customer!
Google is a for-profit and they don't really care about how you or I feel. They care about running a profitable business.
It doesn't matter how things were or were not done in the past. Doesn't matter if someone is a Google customer or not. If Google can do something that will help them run a profitable business (like running a local business directory that can be monetized with ads, sales leads, selling customer data, etc) they will do it. If I was the CEO and could control the entire user experience, lockout competition, & boost potential ad impressions - I'd make the same choices that Google is making.
While all above is true, there is that OTHER thing involved:
Any presence is better than NO presence. In this particular case you didn't have the user from the get go, but you MIGHT get the user on the back side (ie, go to your website). Something to think about.
Disclaimer: I never used the biz listing, there was always enough coming through via the ordinary serps. Also keep in mind that g is not the only serp and some of the others actually perform better for conversions that g does. Why? Different mix of users.