The Impact Of Walmart On Consumers

800 Words4 Pages
Walmart’s Impacts on Local Business and Consumers Walmart is a worldwide chain stores that opens in different countries. It is a superstore that offers a large demand of products, and the price of products is cheaper than other retail stores such as Target or Walgreen's. "Saving and Live Better" has always been Walmart's long-term slogan because it sells goods at its lowest price to consumers. However, Walmart does have some criticisms from local businesses. When Walmart comes to certain areas, it causes many retail stores to close because Walmart uses business methods to impact nearby local businesses by competing prices and lowering wages. No matter where Walmart locates, it impacts the local businesses negatively. On the other hand, Walmart does benefit consumers because it provides a one-stop shopping convenience, and cheap prices on products helps consumers save money. Hence, Walmart would bring negative impacts to local businesses, but it will bring positive impacts to consumers. Walmart impacts local businesses negatively by competing prices. People like to shop in Walmart because the products in Walmart are usually cheaper than other retail stores such as Target. Once consumers have figured out that Walmart can help them save more money than other stores, they would like to shop at Walmart more often. The article, “The New Way That Walmart Is Ruining America's Small Towns” explains, “Whenever the mom-and-pop supermarket cut prices, the Walmart would match or undercut them. The store finally succumbed to the inevitable last October, closing entirely." Walmart uses the price reduction method to compete with other local businesses, which affected the economy significantly. As Walmart continues to lower the prices on their products, many local businesses are forced to close because they cannot compete with Walmart. Not to mention, Walmart is a chain store, so it has its capabilities and money to lower the prices on products in order to attract more consumers. Therefore, when Walmart lower their product’s prices, local businesses are eventually forced to be close. Next, Walmart also undercuts the business from the local stores. Walmart has all kinds of products such as kitchen tools, fresh food, clothes,
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