Wal-Mart: Far One Of The Most Powerful Wholesalers

In the article we have Wal-Mart, by far one of the most powerful wholesalers in the United States, entering the market for the purchase and sale of used video games. Wal-Mart will be looking to rival GameStop, the video game retailer that dominates the $1.6 billion market for used games. All to begin this upcoming Tuesday as Wal-Mart will be opening this service on 1,700 of its 4,800 U.S stores (specific locations not given).
The article focus on the effects this move will have on GameStop, which according to GameStop’s president (Tony Bartel) will not be a noticeable threat. Analysts seem to agree with his reasoning as they predict; GameStop will remain the dominating retailer when it comes to used video games because of the relationship they have been able to create with gamers. An argument behind this prediction is that, “selling the used games will be easy since there will always be ‘cheap people’ buying used stuff” but where Wal-Mart might struggle in years to come is on its supply. Due to the fact that “getting people to trade in games requires a relationship.” Bartel furthers his claim by stating, “setting buy and sell prices for used games is more difficult than it seems, and Walmart runs the risk of getting stuck with inventory if it gets that balance wrong.”
Even though no specific strategies on how

This relationship is further complemented by GameStop store set-up; being game-specific concentrated. They sell electronics, but their main profits come from the sales of video games. As the store’s logo states, the store solely focuses on empowering their customers (Power To the Players). Furthermore, Wal-Mart will have its highest challenges during the first years as they try to accommodate and compete in a fairly new market to them. It is for these reasons that, Wal-Mart (even though the top retailer), can be considered the weaker