Is Wal-Mart Too Cheap For Its Own Good?

Question

This is a recent question from a NYT article. Has Wal-Mart shot itself in the foot? Will they always be in the low-cost, low-end market?

Also check out:http://articles.moneycentral.msn.com/Investing/Extra/WalMartEffectStrikesAgain.aspx

Answer 1

Doesn't matter if they are. They have such enormous buying power that they have that market cornered. Wal-Mart has so much cash that if they chose to open high end stores, they could do so under another store name and probably have good success in that too.

Answer 2

Are you kidding? apart from some groceries, I've found out that Wal-mart is not that cheap. But people just don't see it.

I stopped shopping at Wal-mart a long time ago, when I finally woke up and noticed just about everything was made in China, not one single thing was in the US and in many cases they charged more than other stores for the very same article.
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Answer 3

I read the article. One thing it said was that Wal-Mart didn't have the reputation for being able to inform the customer as to the merits of high-end electronics (plasma tv vs. lcd, HD-DVD vs. Blu-ray, for example). Perhaps Wal-Mart isn't the place to shop if the only thing in your head is "I want to buy a big tv/dvd player", but haven't a clue as to what you want or need.

On the other hand, if you've done some research, read reviews, etc, and know what you want, Wal-Mart could be the place to buy high end electronics. Until I read the article, I had no idea they even sold anything of the sort.

I would have been happy if they had sold SIM cards for T-Mobile, as I was in Frederick Virginia, had a phone, but no SIM!

Answer 4

They will probably always have the reputation for being low-cost and low-end, although things like the recent announcement that they'll be selling Dell computers might help the low-end part. Many of their items are normal level brands, not low-end. Clothes, OK, maybe low-end.

And as they continue to grow in the grocery area, they will and have taken over a large percent of that market.

Answer 5

I possibly have more time than most to shop, but I find that if I shop for the bargains at the Major Supermarkets, I can get better deals on Groceries than at WalMart. Sometimes it takes coupons as well. Clothes? I prefer to go to Macy's or Penny's and look for sales and Clearance racks. I once bought a $120 sport coat at Penny's for $13. and it was my size. Boy, did I feel lucky.

Answer 6

as long as there are broke college students who can go to wal-mart and buy a 2 weeks worth of groceries for under a hundred bucks, and stay open 24 hours...they will always prosper :o)

Answer 7

It is hard to tell since we love to save money.

Do you work for Wal-Mart and are asking questions to get America's sentiment, gage, and opinion by using Yahoo Answers to get FREE information?

Wal-Mart people visit this question and answer to look for critics especially if they are current associates.

Answer 8

No!!! As long as there are people in the "poor" category there will be a need for Wal-Mart. Remember there are people in the so-called middle and upper class categories shop there, too.

Answer 9

Yes, I believe they will always be the low end cheap guy, They have made their millions because they are so cheap. Because of the prices, people can own things that they otherwise could not.

Answer 10

NO...it has people who like to shop there. they would not be selling the stuff that cheap if they could not afraid it