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Doug Kanter wrote:
"RJ" wrote in message ... Doug Kanter wrote: "Dave Thompson" wrote in message news:nKOxb.8111$ZE1.2358@fed1read04... It's truly very simple. If the customer wants the 413 gram box, they drive past Wally World and show up at Loblaw's. WAIT! Hasn't that mega-chain run Mom and Pop grocers out of business? Uh....yeah. thirty or forty years ago. Notice a pattern here? Maybe a repeat performance, but a pattern would require the same reasons and those reasons are NOT the same. Your reasons below are inaccurate because you interpreted my comments as being only about supermarket competition. My point was that WalMart grew as big as it is because it satisfied shoppers. When a better or more interesting concept comes along, it will grow at the expense of WalMart. How could you imagine in the 1970s that WalMart could ever hope to grow to compete with Sears, KMart and the like? Yet they did, and somebody will supplant them in turn. 1) The mom & pop store of the 1940s wasn't much bigger than the convenience store of today. Perhaps 3000-4000 square feet. You still find IGA and Red & White stores that size in small towns, but there's no way they can carry the variety of large supermarket chains. The newer, larger stores actually offered something worthwhile to differentiate themselves. A Wal Mart store does not, unless there was no modern supermarket in the area before they arrived. Wal-Mart is blamed for the demise of the 'little stores on Main Street'. 2) For a number of reasons, including but not limited to the acceptance of immigrant cultures, and increased overseas travel, the American consumer expects to see a huge assortment of foods which used to be considered ethnic specialties. The concept was invented first, and people liked it. Thus they got more of it. If you really think about it, Wal Mart serves NO special function as a grocery supplier, unless you're still under their advertising spell and you think your groceries cost less there. They have no more leverage, and often less than the 20 largest grocery chains & wholesalers. Then they're not a major competitor. What are you worried about? By the way, I rarely shop at WalMart for anything any more. It used to be a very well run enterprise but has fallen far since Sam Walton died. |
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