2007-12-07 03:03:41 · 4 answers · asked by Big Stunna 1 in Business & Finance ➔ Corporations
If Wal-Mart has saturated its market in the US or feels that other chains are expanding and will reduce growth potential, find a place where it has less competition and more growth potential. With more stores, it has more purchasing power, can command a lower wholesale price( due to volume) and hence, be more profitable.
2007-12-07 03:13:30 · answer #1 · answered by googie 7 · 0⤊ 0⤋
It increases its customer base and market share, giving benefits in its supply chain and cost per sale
2007-12-07 11:09:21 · answer #2 · answered by Barbarian 5 · 0⤊ 0⤋
Corporations exist to grow and increase shareholder wealth, and once a market, such as the U.S. is saturated, other opportunities must be exploited.
2007-12-07 11:06:54 · answer #3 · answered by Michael 2 · 0⤊ 0⤋
More stores = more sales = more profit!
2007-12-07 11:07:18 · answer #4 · answered by Anonymous · 0⤊ 0⤋