The closed circle of Wal Mart economics

[oldhippydude]

38. not sure where to fit this in.... Wal Marts biz model

in the mid 90's walmart was expanding in the local area (Albuquerque) a lot of crafts, jewelry and Native American products are marketed locally, they are parts of our homes as well as merchandise for tourists..

Wal Mart of course was accused of course of running their competition out.. thus depriving the local producers of market... in an effort to quell those fears Wal mart agreed to handle these local items, of course under wall marts conditions...

among the term.. the producer was to bill Wal mart net 180 days.. the producer would not be reimbursed for shrinkage..

of course what this amounted to was a de facto consignment arrangement.. with the added burden of waiting 6 months for their money.. surprisingly a few producers took them up on the offer.. that lasted a couple of months, since that time i have not seen locally produced items..

just another way they had the last word..