Comments

Tom - I agree on the adding value part - Wal*Mart's demise fairly soon - PLEASE EXPLAIN.

Posted by John at March 17, 2005 9:20 AM

Brand eqiity, There is no question that Wall Mart has it in the low price leader position that is their equity. However they are also the low price buyer. This scenario of selling and buying down the whole market with the emense buying power that exists with Wall Mart seems to be the catalyst for driving down wages, profit and viability of the companies that they buy from. My prediction is that the demise of Wall Mart will be in the suppliers inability to make a profit by doing business with them in the long run. The constant shift to Lower price suppliers will eventually result in companies that will not be able to sustain manufacturing processes maintainence will be differed and machines will break. Offshored products will eventually lead to an the final shores. Thus the equity that is the buying power that leads to the equity that is the selling power will be the final straw in reducing all equity to sum 0.

Posted by gary fox at March 17, 2005 1:52 PM

John, don't think I said "fairly soon." I only meant that the demise of the Compaqs and DECs and Montgomery Wards and AT&Ts were unthinkable not so long ago; I refuse to believe that Wal*Mart is retail's last act ever.

Posted by tom peters at March 17, 2005 3:29 PM