Investopedia

Continue to Site »

Wal-Mart Effect

Filed Under » ,
Dictionary Says

Definition of 'Wal-Mart Effect'

The economic impact felt by local businesses when a large firm such as Wal-Mart opens a location in the area. The Wal-Mart effect usually manifests itself by forcing smaller retail firms out of business and reducing wages for competitors' employees. Many local businesses oppose the introduction of Wal-Marts into their territories for this reason.

Investopedia Says

Investopedia explains 'Wal-Mart Effect'

The Wal-Mart effect is not all bad; it can also curb inflation and help to keep employee productivity at an optimum level. The chain of stores can save consumers billions of dollars, but may also reduce wages and competition in an area.

Articles Of Interest

  1.

    Analyzing Retail Stocks

    To analyze retail stocks, investors need to be aware of the most common metrics used. Find out what they are.

  2. A History Of U.S. Monopolies

    These monoliths helped develop the economy and infrastructure at the expense of competition.

  3. The CEO Dream Team - Walton, Schwab, Marcus And Blank

    The successes of these three CEOs can be linked back to one common factor: customer service.

  4. Evaluating Grocery Store Stocks

    Retail grocers are no longer a homogeneous group selling products in the same manner. Find out how to evaluate these companies.

  5. Five Companies Leading The Green Charge

    Corporations that reduce their environmental footprint anticipate large long-term gains.

  6. 7 Unconventional Ways Businesses Can Borrow Money

    Find out how your business can get the money it needs - even when the bank says "no".

  7. Should You Head Back To Business School?

    Find out if an MBA is necessary for you to reach your professional goals.

  8. Women And Finances: Is There A Gender Bias?

    Uncover some very complex reasons for female gender biases in the finance world.

  9. Female Entrepreneurs Are Surpassing Their Male Counterparts

    The world of entrepreneurship is constantly changing; the last year has seen a significant shift in the performance of female entrepreneurs.

  10. Small Business: Speed Up Receivables To Avoid A Cash Crunch

    Waiting for customers to pay can be a losing game. Look to factoring for quicker cash.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Disaster Loss

    A special type of tax-deductible loss, similar to a casualty loss, where a loss has been incurred by taxpayers who reside in an area that has been designated as a federal disaster area by the President.

  2. Fool In The Shower

    The notion that changes or policies designed to alter the course of the economy should be done slowly, rather than all at once.

  3. Pattern Day Trader

    An SEC designation for traders who trade the same security four or more times per day (buys and sells) over a five-day period, and for whom same-day trades make up at least 6% of their activity for that period.

  4. Cost-Push Inflation

    A phenomenon in which the general price levels rise (inflation) due to increases in the cost of wages and raw materials.

  5. Happiness Economics

    The formal academic study of the relationship between individual satisfaction and economic issues, such as employment and wealth.

  6. Affluenza

    A social condition arising from the desire to be more wealthy, successful or to "keep up with the Joneses." Affluenza is symptomatic of a culture that holds up financial success as one of the highest achievements.
Trading Center