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Amazon and Walmart Are In An All-Out Price War That Is Terrifying Big Brands (recode.net)
gollum123 quotes a report from Recode: Last month, Walmart gathered some of America's biggest household brands near its Arkansas headquarters for a tough talk. For years, Walmart had dominated the retail landscape on the back of its "Everyday Low Price" guarantee. Walmart wants to have the lowest price on 80 percent of its sales, according to a presentation the company made at the summit, which Recode reviewed. To accomplish that, the brands that sell their goods through Walmart would have to cut their wholesale prices or make other cost adjustments to shave at least 15 percent off. In some cases, vendors say they would lose money on each sale if they met Walmart's demands. Brands that agree to play ball with Walmart could expect better distribution and more strategic help from the giant retailer. And to those that didn't? Walmart said it would limit their distribution and create its own branded products to directly challenge its own suppliers. But this time around, Walmart's renewed focus on its "Everyday Low Price" promise coincides with Amazon's increased aggressiveness in its own pricing of the packaged goods that are found on supermarket shelves and are core to Walmart's success, industry executives and consultants say. The result in recent months has been a high-stakes race to the bottom between Walmart and Amazon that seems great for shoppers, but has consumer packaged goods brands feeling the pressure.
We'll lose money with every sale, but we'll make it up in volume.
You don't even have to put on pants.
That is also true of Wal-mart as well: http://www.peopleofwalmart.com...
But to be fair, I visited wal-mart for the first time earlier this month, and I believe I saw a sign saying you have to have shoes and a shirt on, or something similar.
Harald
I suppose there is no suitable car analogy?
To have a right to do a thing is not at all the same as to be right in doing it
Dollar General, for when you don't quite need the quality of Walmart