notes. 10.22 - 10/22 Batt Why Wal-Mart 10/24 Wal-Mart...

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10/22- Batt Why Wal-Mart? - World’s largest private employer - Consumers vs. workers - Logistics revolution - One price point, everyday low prices - Manufacturing  retailing, push vs. pull - Small base competitors - US trade deficit - Unfair trade - Should this become the model 10/24 - Wal-Mart Debate Pro Con Retail Industry - Low prices good for Wal-Mart - Consumer low prices ($2500/year) - Lower drug costs on generics - Good for industry - Created pull production - Shift from supply making rules to retailer making rules - Low prices hurt other retailers - Social dumping - Product dumping - Furthers dependence on foreign goods - Hollowing out - Over dependence on China - Monopoly implications (long run) Suppliers - Barcode inventory - Barcode information gives
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system allows them to keep track of trends as well as replenishment - Innovation spillovers - Don’t lose money by making suppliers wait for payment - Logistics - Give opportunities in emerging markets Wal-Mart a step up because they know the same info - Cut profit margins by sending
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