Team Post#1: Conflict with existing small business
Reading article about the controversy of Walmart in New York, I recognized fearful influencing power of sophisticated and well organized distribution system. The effects occured by building Walmart near the town are vary from collapse of small business to conflict between two states.
This competiton is fair in free market point of view, but it breaks exsisting market structure. By this 'constructive destruction', the economic improvement and the satisfaction of buyer would be attained, but the victims, small business owners, suffer from losing their customers and job. In response of these problem Walmart presented higher wage and 300 job openings, and won't have supermarket in their store.
Expanding can confront confrictions not only btween channel members inside the firm, but also between other channels outside the firm. Anticipating the reaction and handling of exsisting market channel is also needed when Walmart expand themselves to other countries. I'll study more about other example of confliction in other place.


2 Comments:
As in many other countries and cities, Wal-Mart is expanding the market. There is an issue resulting from the opening of Wal-Mart in New York, many small businesses are affected, one of the biggest retailers is getting the market and competition for small business owners become impossible.
I made an addition to this article in my Blog, look for the interview of Ray Bracy Wal-Mart’s Vicepresident.
Lina Gomez
i like the reference to 'constructive destruction'
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