Wal-Mart: The Nation's Working Middle-Class Consumers

Known for its motto “low-prices,” Wal-Mart started losing its momentum as its competition started price matching (Ferrell, Hirt, & Ferrell, 2009). Wal-Mart competition was Kroger’s for groceries and Target for clothing (Ferrell, et al., 2009). Target tapped in and figured out how to draw in the middle-class consumers (Ferrell, et al., 2009). Wal-Mart was forced to compete with stores that were tasteful and well-informed who was favored by the wealthy and middle-income, but at the same time, maintain its responsibility with the loyalty of low-prices to their dedicated customers (Ferrell, et al., 2009). Target become a master at being cheap-chic, in fact, they target the middle-class wealthy (Ferrell, et al., 2009). Target consumers like the name brand clothes, furniture, and home accessories (Ferrell et al., 2009).

Wal-Mart is the nation’s largest retailer, which is focused on the working middle-class consumers (Gross, 2008). Wal-Mart stock is the go between the health of the working middle-class consumers (Gross, 2008). People on the bottom struggle, so, therefore Wal-Mart can benefit from both high to a low economy. With Wal-Mart “Always Low Prices” slogan, they are sure to stay on top. There are a few reasons that Wal-Mart can thrive in a recession and a thriving economy. According to this article which was written in 2008, Wal-Mart sales did not rise, in fact, it stayed the same on the store basis (Gross, 2008). In the United States with the combined sales of Wal-Mart and Sam’s Club, Wal-Mart sales rose to 1.6 percent and Sam’s Club rose 2.5 percent while other retailers were suffering from their same-store sales (Gross, 2008). For this reason, Wal-Mart, for instance, sells necessities that are related to the middle-class families and not items that are for the consumers who rather shop without worrying about how much an item cost (Gross,