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View Diary: Crumbs much too small for the other Whos' mouses (199 comments)

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  •  Isn't Walmart a vertical intergrated monopoly? (1+ / 0-)
    Recommended by:
    Ahianne

    Under the Sherman-Clayton Antitrust Act?

    To Goldman Sachs in according to their desires, From us in accordance with the IRS.

    by Bluehawk on Sun Dec 16, 2012 at 09:14:00 AM PST

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    •  I don't know. I do know they are a cancer (1+ / 0-)
      Recommended by:
      VigilantLiberal

      That afflicts its host.

      A standing army is like a standing member. It's an excellent assurance of domestic tranquility, but a dangerous temptation to foreign adventure. Elbridge Gerry - Constitutional Convention (1787)

      by No Exit on Sun Dec 16, 2012 at 10:01:45 AM PST

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    •  No. What would make you think they are? (0+ / 0-)

      The most important way to protect the environment is not to have more than one child.

      by nextstep on Sun Dec 16, 2012 at 02:16:09 PM PST

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      •  Perhaps the way they (0+ / 0-)

        actually are one in all but name. Let's say you are a wholesaler, or manufacturer. When Wal-Mart becomes your retail outlet, they demand so much out of you that you are forced to drop all of your other businesses so you can fill their orders. Once that happens, Wal-mart owns your operation; they set your prices for you and there's nothing you can do about it, because all of your former retail outlets have all gone under in the meantime.

        "Lone catch of the moon, the roots of the sigh of an idea there will be the outcome may be why?"--from a spam diary entitled "The Vast World."

        by bryduck on Mon Dec 17, 2012 at 09:00:13 AM PST

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        •  Except for vendors providing Walmart a house brand (0+ / 0-)

          manufacturers distribute through multiple retail outlets.

          What you describe is not vertical integration.

          Walmart as the largest US retail store still only has less than 12% of US retail sales.  While their share in some markets will certainly be higher,  their strength is the market where consumers seek the lowest possible price for themselves - so what Walmart does is consistent with what their customers want.

          Based upon Walmart's financials, on average when a person spend $100 at Walmart, Walmart's average profit is $3.58 - at the same time the customer probably saved more than $3.58 by shopping there compared to their alternatives.

          The most important way to protect the environment is not to have more than one child.

          by nextstep on Mon Dec 17, 2012 at 12:29:40 PM PST

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          •  As I said, the way Walmart (0+ / 0-)

            does their biz, it is vertically integrated without their having to actually own the manufacturers and wholesalers. You might want to read up on how Walmart ends up monopolizing their manufacturers' and wholesalers' operations. The upstream companies are forced to cancel their non-Walmart biz to keep up with Walmart demands until they have none left other than Walmart. Yes, the manufacturers and wholesalers have to initially sign off on taking on Walmart as a retailer. But if they are public entities and do not take on biz that would radically increase their sales, the managers can be sued by the shareholders for breaching their fiduciary responsibilities.

            "Lone catch of the moon, the roots of the sigh of an idea there will be the outcome may be why?"--from a spam diary entitled "The Vast World."

            by bryduck on Mon Dec 17, 2012 at 12:49:12 PM PST

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            •  There is no higher risk to a business from (0+ / 0-)

              investor lawsuits for declining low or no profit, high revenue business. If anything, taking that business increases that risk.

              The only businesses that should be supplying retailers like Walmart are those that have brand power that allows them to have some pricing power so the business is profitably attractive, or a business that can be a lowest cost producer.

              Businesses that are neither will get into trouble if their business is based on Walmart or Costco type retailers.

              The most important way to protect the environment is not to have more than one child.

              by nextstep on Mon Dec 17, 2012 at 02:38:18 PM PST

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          •  Addendum. (0+ / 0-)

            "Lone catch of the moon, the roots of the sigh of an idea there will be the outcome may be why?"--from a spam diary entitled "The Vast World."

            by bryduck on Mon Dec 17, 2012 at 12:52:49 PM PST

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