shopping at walmart

[Turf1600]

They have wiped out 90% of the other retailers, and now they leave the investors who built their "normal" stores holding the bag on a Big Box that they cannot possible lease for any reasonable amount - I mean, who is going to move in and compete with WalMart? If you go around rural parts of the South, these empty WalMart strips are littered across the landscape.

There's one near me I'm looking to build a skatepark in :)

[Dave]

I really hoped you weren't going to go here with your explination.

Is it Wal-Mart's fault that a vendor changes everything to supply them?

This isn't a real story, but this is the idea of what is going on.

Let's say JimBob Inc builds widgets. Right now they are a small firm manufacturing and selling to smaller stores a few thousand widgets per year. All of the sudden Wal-Mart comes in and asks JimBob if he would like to build widgets for them for the next 3 years. They would like him to make 10x the amount of widgets he is now. JimBob sees this as a great oportunity, signs a contract for the next 3 years, and changes the way the company works, factories, workers, etc to supply Wal-Mart with these new larger quantities. This is obviously a large investment for JimBob. After those 3 years are up Wal-Mart comes back to JimBob and says we would like to continue this relationship, but we are going to need them for $X price. JimBob cannot afford to supply them at this cost because he would be losing money. He also cannot simply go back to making a few thousand becasue of all of the money he invested to supply Wal-Mart with 10x what he was manufacturing. Is this Wal-Mart's fault, or is it JimBob's fault for making a large investment and changing his business completely over a 3 year contract?

Obviously I think it is JimBob's fault for making a poor investment. The same way he changed before he is going need to change now. Find new vendors, take the loss cause you made a bad decision, etc. Why should he expect Wal-Mart to buy from him at a certain price for 10 years when a 3 year contract is signed? If you believe this is Wal-Mart's fault and they are responsible you may as well vote for Obama.

Here is where I see the future though. Wal-Mart is not going to be able to sustain. Manufacturing plants and vendors are going to hear similar stories to JimBob's. People will then stop supplying Wal-Mart the same way they are now. This will cause Wal-Mart's costs to go up or products to be nonexistant. They will then either have to raise prices (leaving their current low cost, low quality strategy), go out of business cause they have no products left to sell, or make some other significant, costly change in their business. That is the way the market works.

The thing is Derek, WalMart intentionally targets these kinds of vendors and exploits them in this way. Then once they are gone, they go to China. Most of you guys might not be old enough to remember this, but WalMart used to have huge marketing campaigns touting the fact that they sold MADE IN THE USA goods. They even profiled companies that they "saved" by choosing to buy American.

Hell, now even a lot of the food they sell comes form China. Take a look at the label on a bottle of WalMart brand Apple Juice . . . .

WalMart has become a master at externalizing costs. Like the way they train their employees to get government assistance - it avoids the direct cost of employee health coverage.

They have historically done it with real estate as well. Before the Supercenters came around, WalMart would say they were opening up a new store in some rural town and they would not buy the property but would lease it from investors who would build the store. They would negotiate terms based on a 30 amortization to those people, but WalMart had plans to stay only 10 (maybe 15).

Put this into the bigger picture - they would do this in say 4 towns in a 40 mile radius. The Stores would effectively eliminate all of the local clothing/hardware/mom and pop stores.

THEN, Walmart pulls the plug on all four of its stores and builds one, maybe two SUperCenters to serve the same geographic region.

They have wiped out 90% of the other retailers, and now they leave the investors who built their "normal" stores holding the bag on a Big Box that they cannot possible lease for any reasonable amount - I mean, who is going to move in and compete with WalMart? If you go around rural parts of the South, these empty WalMart strips are littered across the landscape.

[Turf1600]

I really hoped you weren't going to go here with your explination.

Is it Wal-Mart's fault that a vendor changes everything to supply them?

This isn't a real story, but this is the idea of what is going on.

Let's say JimBob Inc builds widgets. Right now they are a small firm manufacturing and selling to smaller stores a few thousand widgets per year. All of the sudden Wal-Mart comes in and asks JimBob if he would like to build widgets for them for the next 3 years. They would like him to make 10x the amount of widgets he is now. JimBob sees this as a great oportunity, signs a contract for the next 3 years, and changes the way the company works, factories, workers, etc to supply Wal-Mart with these new larger quantities. This is obviously a large investment for JimBob. After those 3 years are up Wal-Mart comes back to JimBob and says we would like to continue this relationship, but we are going to need them for $X price. JimBob cannot afford to supply them at this cost because he would be losing money. He also cannot simply go back to making a few thousand becasue of all of the money he invested to supply Wal-Mart with 10x what he was manufacturing. Is this Wal-Mart's fault, or is it JimBob's fault for making a large investment and changing his business completely over a 3 year contract?

Obviously I think it is JimBob's fault for making a poor investment. The same way he changed before he is going need to change now. Find new vendors, take the loss cause you made a bad decision, etc. Why should he expect Wal-Mart to buy from him at a certain price for 10 years when a 3 year contract is signed? If you believe this is Wal-Mart's fault and they are responsible you may as well vote for Obama.

Here is where I see the future though. Wal-Mart is not going to be able to sustain. Manufacturing plants and vendors are going to hear similar stories to JimBob's. People will then stop supplying Wal-Mart the same way they are now. This will cause Wal-Mart's costs to go up or products to be nonexistant. They will then either have to raise prices (leaving their current low cost, low quality strategy), go out of business cause they have no products left to sell, or make some other significant, costly change in their business. That is the way the market works.

What seems more likely is they will turn to china for knock offs at a lower price. I'm not sure it would put them out of business - but it may hurt. People don't go there for high quality products. But you're right - they can't keep pushing prices down. That strategy won't fly forever.

[DarkWing6]

"But what should concern us today even more is a mirror image of monopoly called “monopsony.” Monopsony arises when a firm captures the ability to dictate price to its suppliers, because the suppliers have no real choice other than to deal with that buyer"

"The idea that Wal-Mart's power actually subverts the functioning of the free market will seem shocking to some. ... One of the basic premises of the free-market system is that actors are free to buy from or sell to a variety of other actors. In the case of Wal-Mart, no one can deny that every single firm that supplies the retailer is, technically, free not to do so. But is this true in the real world? After all, once a firm comes to depend on selling through Wal-Mart's system, just how conceivable is the idea of walking away? Producers own and maintain machines, employ skilled workers, lease land and buildings. Even with careful planning, most would find the sudden surrender of 20 percent or more of their revenue to be extremely disruptive, if not suicidal."

I really hoped you weren't going to go here with your explination.

Is it Wal-Mart's fault that a vendor changes everything to supply them?

This isn't a real story, but this is the idea of what is going on.

Let's say JimBob Inc builds widgets. Right now they are a small firm manufacturing and selling to smaller stores a few thousand widgets per year. All of the sudden Wal-Mart comes in and asks JimBob if he would like to build widgets for them for the next 3 years. They would like him to make 10x the amount of widgets he is now. JimBob sees this as a great oportunity, signs a contract for the next 3 years, and changes the way the company works, factories, workers, etc to supply Wal-Mart with these new larger quantities. This is obviously a large investment for JimBob. After those 3 years are up Wal-Mart comes back to JimBob and says we would like to continue this relationship, but we are going to need them for $X price. JimBob cannot afford to supply them at this cost because he would be losing money. He also cannot simply go back to making a few thousand becasue of all of the money he invested to supply Wal-Mart with 10x what he was manufacturing. Is this Wal-Mart's fault, or is it JimBob's fault for making a large investment and changing his business completely over a 3 year contract?

Obviously I think it is JimBob's fault for making a poor investment. The same way he changed before he is going need to change now. Find new vendors, take the loss cause you made a bad decision, etc. Why should he expect Wal-Mart to buy from him at a certain price for 10 years when a 3 year contract is signed? If you believe this is Wal-Mart's fault and they are responsible you may as well vote for Obama.

Here is where I see the future though. Wal-Mart is not going to be able to sustain. Manufacturing plants and vendors are going to hear similar stories to JimBob's. People will then stop supplying Wal-Mart the same way they are now. This will cause Wal-Mart's costs to go up or products to be nonexistant. They will then either have to raise prices (leaving their current low cost, low quality strategy), go out of business cause they have no products left to sell, or make some other significant, costly change in their business. That is the way the market works.

[Pinepig]

do you jerk off to gun mags pennypig?

Can't say Ive even had one ( a gun mag ) in years. And it's Pinepig, slang for Park Ranger. I don't go fucking up your name pointing out you can get a small american car up your ass now do I.

You do now that Freud though that a fear of weapons is a sign of retarded sexual and emotional maturity, not that I'm saying that's you but if the shoe fits......

[1991 318is]

There's a little hope for Texas still. Austin is still trying to stay weird and keep Walmarts out. They also have limited the maximum size of commercial buildings targeting Super Walmarts in particular. The city slogan is tongue in cheek "Keep Austin Weird" It means support local businesses, artists, and traditions as opposed to chain stores, cookie cutter strip malls, the same fast food places, etc. The good ol' boys say, "Tree huggers and queers - that's all they got up there!" They just don't get it. When the Southern Baptists up in Waco want to get away for a lost weekend, they come to Austin and pretend they're Methodists.

[Tree18is]

Lol

Not just your walmarts. Not sure how south you live, but I'm in Texas, You pretty much need a passport to walk in one. All you see are big pregnant Mexicans screaming gibberish to their 15 kids running around everywhere. It seems clean though.

LOL, its like a cult thing out here in texas, you have no where else to go!
NO WHERE! I miss my california days where they are fuckn few and far between and you have VONS and rite aid for everything you need.

[myinfernalbmw]

My favorite thing to buy in Walmart is Winchester white box ammo. I love looking at the libtards faces as I buy a load of ammo for a trip to the pit. The convo with the counter guy goes something like this.

You have and WWB in .223 bulk packs

Yep, how many would you like

All of them

Got any .45 down there while your stacking those up

How many

Why did you even ask, all of them, Thanks man.

Suzy soccer mom is giving me the " oh shit he's gonna kill everybody" look while I'm heading to the register. Fuck em

Shit up here they don't sell handgun ammo at walmart because they feel that it promotes violence, from what i was told. I thought it was ironic that they did however sell 7.62x39 mm ammo which if i am not mistaken only fits into one particular make of firearm. I thought an AK-47 had a worse reputation for violence than handguns in the eyes of the liberals.

[hugh jass]

My favorite thing to buy in Walmart is Winchester white box ammo. I love looking at the libtards faces as I buy a load of ammo for a trip to the pit. The convo with the counter guy goes something like this.

You have and WWB in .223 bulk packs

Yep, how many would you like

All of them

Got any .45 down there while your stacking those up

How many

Why did you even ask, all of them, Thanks man.

Suzy soccer mom is giving me the " oh shit he's gonna kill everybody" look while I'm heading to the register. Fuck em

do you jerk off to gun mags pennypig?

[Pinepig]

My favorite thing to buy in Walmart is Winchester white box ammo. I love looking at the libtards faces as I buy a load of ammo for a trip to the pit. The convo with the counter guy goes something like this.

You have and WWB in .223 bulk packs

Yep, how many would you like

All of them

Got any .45 down there while your stacking those up

How many

Why did you even ask, all of them, Thanks man.

Suzy soccer mom is giving me the " oh shit he's gonna kill everybody" look while I'm heading to the register. Fuck em

[mrsleeve]

alabama or arkansas?

your right is Arkansas

Edit: Fixed in the orginal

and ETA I was not implying that they have similar practices I was just pointing out some fundamental differences. I am trying to stay out of this thread because I have a huge soap box with walmart and can go on for hours.

[1991 318is]

Thank you Walmart, for making Microsoft look like pussies when it comes to competition in the market place.

[e30sd]

There is a big diference between Walmart an Meijer's All sale's dollars in a walmart are wired each night to Alabama. Meijer's is a Mi company (founded by Fred Meijer) an is based out of Grand Rapids The money spent in Mi stays there!!

2 Meijers employees are union an full timers enjoy heath, dental, life an a small pension benefits and also get compensated for their OT plus make a bit more per hour than walmart help. The benefits used to extend to part timers too (22 hours a week) but now that walmart has been marking a huge push in Mi in the last 12 years. Meijers has had to cut back the number of employees, cut their hours to keep from paying the benefits, stopped extending them to the part timers, all to keep in business with walmart competition.


Now you tell me how thats good for the economy. Walmart has driven down the wages an benefits of 10's of thousands of workers nation wide!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

alabama or arkansas?

[E30 Wagen]

There is a big diference between Walmart an Meijer's All sale's dollars in a walmart are wired each night to Alabama. Meijer's is a Mi company (founded by Fred Meijer) an is based out of Grand Rapids The money spent in Mi stays there!!

2 Meijers employees are union an full timers enjoy heath, dental, life an a small pension benefits and also get compensated for their OT plus make a bit more per hour than walmart help. The benefits used to extend to part timers too (22 hours a week) but now that walmart has been marking a huge push in Mi in the last 12 years. Meijers has had to cut back the number of employees, cut their hours to keep from paying the benefits, stopped extending them to the part timers, all to keep in business with walmart competition.


Now you tell me how thats good for the economy. Walmart has driven down the wages an benefits of 10's of thousands of workers nation wide!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

And just to clarify, I meant that Meijer was like the equivilent in that their stores are about thes same size they sell basically the same things and offer the same services. I didn't at all mean to imply that their business practices are the same.

Anybody who defends Walmart...

I'm still blown away by what happened in my town. You'll be driving along that main highway and you'll see a Meijer, and then fifteen seconds later a Walmart. Seriously, does anybody else see something wrong with that picture?

[mrsleeve]

.

Meijer is like the local equivilent of a walmart with stores in states that surround Michigan as well.

As a result of Walmart moving in to town, an extra stoplight had to be installed and more "Michigan turn" lanes had to be added. Now traffic sucks around that area. Our city leaders wanted it to bring in more business and economic growth. It took like 4 years for the store to be approved for construction. They had to comply with extra tough standards due to the land it was built on and they had to make sure the building's exterior looked extra nice due to some building codes.


Fuck walmart and fuck the idiots who think we need more of them.

There is a big diference between Walmart an Meijer's All sale's dollars in a walmart are wired each night to Arkansas. Meijer's is a Mi company (founded by Fred Meijer) an is based out of Grand Rapids The money spent in Mi stays there!!

2 Meijers employees are union an full timers enjoy heath, dental, life an a small pension benefits and also get compensated for their OT plus make a bit more per hour than walmart help. The benefits used to extend to part timers too (22 hours a week) but now that walmart has been marking a huge push in Mi in the last 12 years. Meijers has had to cut back the number of employees, cut their hours to keep from paying the benefits, stopped extending them to the part timers, all to keep in business with walmart competition.


Now you tell me how thats good for the economy. Walmart has driven down the wages an benefits of 10's of thousands of workers nation wide!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!