December 8, 2009
From The Wall Street Journal:
Wal-Mart Stores Inc. opened a new front in its price war against other retailers by temporarily slashing prices on 50 popular videogames in a bid to steal market share.
The discount chain’s videogame price cuts are some of the most aggressive the videogame industry has seen and may have an impact on competitors like Best Buy Co., Toys “R” Us Inc. and GameStop Corp.
Its good to be a consumer.
November 25, 2009
With retails sales expected to drop again this year, Wal-Mart is fighting for sales with Amazon, “a relative schooner to Wal-Mart’s ocean liner.” Even though Wal-Mart’s annual sales are more than 20 times that of Amazon’s—the retail giant made $405 billion last year, while Amazon made about $20 billion—Wal-Mart is concerned about the growing popularity of e-commerce, which is cutting into its market. “This fight, then, is all about the future,” the New York Times says. As retail sales have gone down, e-commerce sales have gone up, and Amazon enjoyed a 24 percent sales spike last quarter. Even though Amazon has been doing well for years, major retailers are now responding. According to the Times, the fight began last month over media pricing, with Wal-Mart dropping prices on popular novels and video games in order to compete with Amazon. Bizarrely, Wal-Mart has been framed as the underdog in the fight. When asked about the price sniping, one retail executive referred to it a “part of a greater strategic plan,” adding, “they are just not going to cede their business to Amazon.”
So who will win this war? Whether its Wal-Mart or Amazon, I am not certain. But either way, the consumer will enjoy the falling prices. Thanks again Capitalism.
October 18, 2009
Competition, protected by Capitalism, helps the consumers. Below is a case in point from The Wall Street Journal:
Wal-Mart Stores Inc. launched a brash price war against Amazon.com Inc. on Thursday, saying it would sell 10 hotly anticipated new books for just $10 apiece through its online site, Walmart.com.
That was just the beginning.
Hours later, Amazon matched the $10 price, squaring off in a battle for low-price and e-commerce leadership heading into the crucial holiday shopping season. Wal-Mart soon fired back with a promise to drop its prices to $9 by Friday morning — and made good on that vow by early evening Thursday.
October 10, 2009
Charles Platt of the New York Post writes:
Some people, usually community activists, loath Wal-Mart. Others, like the family of four struggling to make ends meet, are in love with the chain. I, meanwhile, am in awe of it.
With more than 7,000 facilities worldwide, coordinating more than 2 million employees in its fanatical mission to maintain an inventory from more than 60,000 American suppliers, it has become a system containing more components than the Space Shuttle – yet it runs as reliably as a Timex watch.
Sheltered by rabble rousers who forced Wal-Mart’s CEO to admit it “wasn’t worth the effort” to try to open in Queens or anywhere else in the city, New Yorkers may not fully realize the unique, irreplaceable status of the World’s Largest Retailer in rural and suburban America. Merchandise from Wal-Mart has become as ubiquitous as the water supply. Yet still the company is rebuked and reviled by anyone claiming a social conscience, and is lambasted by legislators as if its bad behavior places it somewhere between investment bankers and the Taliban.
Considering this is a company that is helping families ride out the economic downturn, which is providing jobs and stimulus while Congress bickers, which had sales growth of 2% this last quarter while other companies struggled, you have to wonder why. At least, I wondered why. And in that spirit of curiosity, I applied for an entry-level position at my local Wal-Mart.
Click here to read what he found.
August 19, 2009
With 2.1 million employees, Wal-Mart employs more people than any other private or public entity.
Seems to me a clear cut example of an evil corporation. If only they were taxed more they would hire less people and everyone would be better off. Right?
August 17, 2009
Thomas Sowell writes,
It is not really news that Hollywood is still producing anti-business movies, but there is a certain irony in it nevertheless.
Although these movies tap a certain envy and resentment of corporate wealth, that large corporate wealth comes from far more modest individual amounts of money from about half the population of the United States, which owns stocks and bonds — either directly or because money paid into pension funds or other financial intermediaries are used to buy stocks and bonds.
The irony is that the average Hollywood star who is making anti-business movies is far wealthier than the average owners of those businesses, who are half the population of the country.
The Los Angeles Times refers to documentary “films” that are “critical of corporate power.” But just what does this vague word “power” mean when it comes to businesses?
Click here to continue reading.
August 6, 2009
Wal-Mart out pays Target for cashiers, retail cashiers, sales associates and retail sales associates positions.