Wednesday, December 01, 2004

Retail giant slowing

With the recent news of the buyout of Sears by the one-year-ago floundering retailer K-Mart, the retail world was turned on its head. At first, I thought that Sears had bought out K-Mart but I was mistaken. Mary and I even had heard conflicting stories about it. It truly makes little difference to me as I spend little time or money at Sears and even less at K-Mart.

Then, today, I found this analysis about Wal-Mart. It made me giddy to even fathom for a second that my arch-nemesis' growth had hit a brick wall. If you read the whole article, they analyze how much of a pull each store has in radius of miles and break that down into square miles. The figures are astonishing. They have reached saturation of America with their Supercenters by having approximately 3,000 of them. In some smaller markets, they are even being overlooked by shoppers who find better bargains at Family Dollar stores and other regional dollar stores.

I will admit to having shopped at Family Dollar in my hometown. The prices were good, the items were competitive and it was in the city's mall.

Another aspect to Wal-Mart's growth hitting a brick wall is the simple fact that they have trimmed costs as low as the economy can tolerate. I am sure if they could get them any lower by outsourcing production jobs to the struggling economy and cheap labor force of the planet Jupiter, they gladly would but that would only add transportation costs. Unless, of course, they were to teleport products but I am getting the cart ahead of the horse here.

The simple fact is that the greedy bastards at Wal-Mart that mistreat their employees, sell McDonalds meals at the checkouts of some stores and have run milliuons of Americans out of work and paychecks are victims of their own success. They got too big and got too greedy. They shot the hand that was feeding them. The market can only tolerate so many discount retail giants. Wal-Mart has filled that quota.

I close with one simple statement - "Kiss my ass Wal-Mart" You greedy bastards got what was coming to you. Best of luck ruining the next country's economy.

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