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The Wal-Mart Effect

558 Words3 Pages

The Wal-Mart Effect is a book about the global effect Wal-Mart has. This book demonstrates how even if you never walk into a Wal-Mart, you still feel the effect Wal-Mart has on the economy and in local communities.

the book gives examples of its power over its venders. A key to Wal-Mart is lowering prices so they tell their venders the prices they will pay because of their requirement to make so much per square foot of shelf space. Two examples of this are when Wal-Mart told all deodorant makers to stop selling deodorant in a box and when DMC thread shelf space was reduced. For deodorant the box was 5 cents each. By cutting the box the deodorant makers kept 2 cents, Wal-Mart kept 1 cent, and the customers kept 2 cents per deodorant. This …show more content…

Making Bacon was invented by Abbey and her dad Jonathan Fleck. Amazingly to this day Making Bacon is still a one man, one product company.

One of Making Bacons challenges was starting up. At first they could not afford a deal with Wal-Mart without going bankrupt. After their first deal with Armour they were approached by Wal-Mart and sealed the deal. In the first couple months Making Bacon came close to bankrupt multiple times. Still to this day Making Bacon is a very finicky company and without Wal-Mart would go bankrupt instantly. And with only one worker if he gets sick or dies the company will too.

As it says Making Bacon is a Wal-Mart Fairy Tale. I like Making Bacon because it shows how with hard work it is easy to make a successful business. I can relate to starting a business because I one day want to start a business and Making Bacon is a great success story to motivate people who want to start companies

Snapper is an old time lawn mower company and it said no to Wal-Mart. Snapper decided it would not lower its product quality as low as Wal-Mart wanted so they pulled all lawn mowers out of Wal-Mart.

Some of Snappers complications are that they don’t have as good of a supplier as Wal-Mart would have

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