Well, i researched this "method" yesterday and i will stay away from it.
CONS:
1. Brands WILL sue you and send you a cease and desist order!
2. Finding a non-brand misspelling that will have enough traffic is EXTREMELY hard. I found a case study with a misspelled domain of a very popular blog and they guy that bought the misspelled domain was getting 2-3 visitors a day! Moral - even high searched/typed domain names get low traffic for misspellings!
3. Most of the affiliate/referral programs wont allow you to capitalize on that. They might just NOT pay you.
PROS:
1. This would work with parking - get domain and make $ when people land on it by typing it.
2. Cant think of any more!