Was in Walmart yesterday;
They have (Maple Leaf brand) frozen chicken wings on sale; priced nearly $14 anywhere else, on for just $4.57 at Walmart! Heck, their store brand/budget brand was $9.99???
Heinz canned pork n beans, like $1.89 at Safeway; on for just 60¢ a tin at Walmart!!
Walmarts volume dictates the prices they pay from their vendors.
Mass producing and buying the products that go into them at bulk rates dictates that they can sell at such low prices over time, but when it comes down to it you would be surprised at how little things cost a manufacturer.
I'm no expert, but the price of any good sold in the marketplace is often dictated by direct competition. If you decided to open up shop and sell something unique, you could try to sell it for ten times what it cost you to make, and if people buy it then you wouldn't see much reason to lower prices.
I really don't get it that people make fun of Walmart and Walmart customers. When my son was playing for his Junior Hockey team, their rink was beside a Walmart. During practice or in between games, where do you think I killed time? At the Walmart. They sell stuff that are useful for less. I like that. Now I am far from a Walmart. I miss going to one.
Are their products less because they are lower quality? I don't think so. I never noticed that. I go to Walmart, Target, Sears, JCPenney, all places, even K Mart when it was still around.
Quote from: "Superchecker"
They have (Maple Leaf brand) frozen chicken wings on sale; priced nearly $14 anywhere else, on for just $4.57 at Walmart! Heck, their store brand/budget brand was $9.99???
Heinz canned pork n beans, like $1.89 at Safeway; on for just 60¢ a tin at Walmart!!
You just reminded me of another fast food I used to like, wings.
Quote from: "kiebers"
Precisely.
No Walmart here. Yet.
Costco have moved in though.
Quote from: "Bricktop"
Costco have moved in though.
Sox, have you ever been in a Wally World?
Where's Wally World?
(see what I did there... ac_toofunny )
Quote from: "Bricktop"
(see what I did there... ac_toofunny )
I don't.
Quote from: "shin"
I'm no expert, but the price of any good sold in the marketplace is often dictated by direct competition. If you decided to open up shop and sell something unique, you could try to sell it for ten times what it cost you to make, and if people buy it then you wouldn't see much reason to lower prices.
That's not how retailing works. Walmart has but eliminated brick and mortar competition from North America by owning the entire supply chain. Manufacturers in China have razor thin profit margins.
Quote from: "seoulbro"
Quote from: "shin"
I'm no expert, but the price of any good sold in the marketplace is often dictated by direct competition. If you decided to open up shop and sell something unique, you could try to sell it for ten times what it cost you to make, and if people buy it then you wouldn't see much reason to lower prices.
That's not how retailing works. Walmart has but eliminated brick and mortar competition from North America by owning the entire supply chain. Manufacturers in China have razor thin profit margins.
My uncle managed a factory in Dongguan in Southern China..
He told me manufacturing profits are exclusively volume.
Like others have said Walmart can manage low prices through a high economy of scale and squeezing out every last drop of profit their suppliers make. Think the only time we'll ever want to work for Walmart is if we're currently going through a debt and want to minimize the lost, Walmart might be a good options to fill in the gaps during the low season sales.
Quote from: "Zetsu"
I'll go out on the gangs swinging a spike maul before I would take any job at Walmart.