Wal-Mart Down-Sizing

[smackdown]

Wal-Mart announces that it will begin scaling down stores as a means of reviving it's failing stock price. Don't count on there actually being a Wal-Mart by 2014.
There is an old out-of-print book about the history of Levi Strauss and another about Corporate down-sizing in the early 1980's. They are diametrically opposed philosophies but one of the two is clearly the obvious winner.

It is interesting to note that down-sizing always backfires because it terminates employee-customers who inevitably serve as anti-marketers of the brand while the "bring it on" middle management who connived to remain employed- fail because they were inept from the start and cause implosion. Some 99% of businesses who down-sized by 1983 suffered immeasurably for doing so while a fractional percentage stole the difference in one form or another and left a dying or dead carcass.

Strauss did one thing and one thing only... he made a pair of denim (cast off material when he started) riveted and HD sewn jeans that workers could rely on. Literally, until factories in the 3rd world started making them (Mexican versions shrank too much) while arguably- Canadian versions were made better and lasted longer than American ones., Lesoto made crap and the quality dropped from there to today- when China started the Type 1 line of anti-quality, producing a jean made so poorly that it stopped fitting right after just 3 washings. Today, corporate seers are attempting to revive it's brand quality back in the USA. Maybe... too little too late but we'll see.

As for Wal-Mart... when your reputation is based completely on CHEAP and you are in every possible way... you don't go the distance. Wal-Mart-- R.I.P. please... for all our sakes.

[busymom]

They are actually remodeling the Wal-Mart near our house, turning it into one of the "Super" Wal-Marts. I'm glad I don't go there often, because shopping there right now is a major pain. Even the employees have admitted to me that every day merchandise is getting moved to a different part of the store, which makes finding items more difficult for everyone.

[usaone]

Our Wal Mart is also becoming a Superstore.

The Dollar stores have hurt Wal Mart.

[verrip1]

Yet another anti-capitalist rant. Too bad people can't recognize that their failures were their own fault, not the fault of some nameless, faceless 'bosses' who engage in some bizarre conspiracy with their fellow bosses.

Somebody cue the Twilight Zone music ...

[blackliver]

Verrip, so glad to see you back.

[Aman A.K.A. Ahamburger]

Yeah it is!

How about this?

Today, corporate seers are attempting to revive it's brand quality back in the USA.

Re-shoring. Terminal decline? Doubtful.

[Aman A.K.A. Ahamburger]

Exactly Pat, wages and standard of living for those poor people are going to be the best thing for everyone! K4u!

[smackdown]

"They are actually remodeling the Wal-Mart near our house, turning it into one of the "Super" Wal-Marts. I'm glad I don't go there often, because shopping there right now is a major pain. Even the employees have admitted to me that every day merchandise is getting moved to a different part of the store, which makes finding items more difficult for everyone."

Thank you for posting this. It's tough to make head-way around the crack heads. I know that the cost to maintain all that "air" above the racks is signnificant. I also know that there isn't anything sold at Wal-Mart that can't be found at everyone's garage sale and like still shrink-wrapped. The future for China is pretty obvious... the radiation leaking from Japan's reactors is heading toward the Chinese coastal areas where the majority of the population live. They have over-produced enough useless surplus to thwart manufacturing for the next several decades. Meanwhile, with controllers and manipulators continuing to scuttle global economics, people worldwide are reverting back to basics and finding new ways to create sustainable economies.

The most likely victim is the conduit for counter-productivity and that's Wal-Mart. If you need to be assured of this-- look at the other responses... gamblers with heavy stakes in what ails us are using blog sites like this to suppress the truth. The truth is-- without local cash flow, continuance of mass manopolization is a no-go.

[usaone]

Jun 20, 2011 7:19:37 GMT -5 @smackdown said:

"They are actually remodeling the Wal-Mart near our house, turning it into one of the "Super" Wal-Marts. I'm glad I don't go there often, because shopping there right now is a major pain. Even the employees have admitted to me that every day merchandise is getting moved to a different part of the store, which makes finding items more difficult for everyone."

Thank you for posting this. It's tough to make head-way around the crack heads. I know that the cost to maintain all that "air" above the racks is signnificant. I also know that there isn't anything sold at Wal-Mart that can't be found at everyone's garage sale and like still shrink-wrapped. The future for China is pretty obvious... the radiation leaking from Japan's reactors is heading toward the Chinese coastal areas where the majority of the population live. They have over-produced enough useless surplus to thwart manufacturing for the next several decades. Meanwhile, with controllers and manipulators continuing to scuttle global economics, people worldwide are reverting back to basics and finding new ways to create sustainable economies.

The most likely victim is the conduit for counter-productivity and that's Wal-Mart. If you need to be assured of this-- look at the other responses... gamblers with heavy stakes in what ails us are using blog sites like this to suppress the truth. The truth is-- without local cash flow, continuance of mass manopolization is a no-go.

??

[bimetalaupt]

Jun 20, 2011 7:19:37 GMT -5 @smackdown said:

"They are actually remodeling the Wal-Mart near our house, turning it into one of the "Super" Wal-Marts. I'm glad I don't go there often, because shopping there right now is a major pain. Even the employees have admitted to me that every day merchandise is getting moved to a different part of the store, which makes finding items more difficult for everyone."

Thank you for posting this. It's tough to make head-way around the crack heads. I know that the cost to maintain all that "air" above the racks is signnificant. I also know that there isn't anything sold at Wal-Mart that can't be found at everyone's garage sale and like still shrink-wrapped. The future for China is pretty obvious... the radiation leaking from Japan's reactors is heading toward the Chinese coastal areas where the majority of the population live. They have over-produced enough useless surplus to thwart manufacturing for the next several decades. Meanwhile, with controllers and manipulators continuing to scuttle global economics, people worldwide are reverting back to basics and finding new ways to create sustainable economies.

The most likely victim is the conduit for counter-productivity and that's Wal-Mart. If you need to be assured of this-- look at the other responses... gamblers with heavy stakes in what ails us are using blog sites like this to suppress the truth. The truth is-- without local cash flow, continuance of mass manopolization is a no-go.

Smackdown,
You now have been warned.. Your address is a direct violation of the COC. I am also not sure why this is on Market Talk.. How does this refer to the Stock or Bond market?Try EE or PM..Future of Wal-Mart is open for debate.. Please explain your comment.. Per Rovo , you need to back up opinion with data.

Bi Metal Au Pt

[usaone]

Wal mart has been asleep at the wheel the last few years.

Dollar General and others have been eating their lunch.

Compare Wal marts stock prices with the dollar stores over the last 3 years!

[rovo]

More than a little spin taking place on Walmart's decision to downsize some of its stores.

Will Walmart Express Be the Retail Giant's Winning Weapon Against Dollar Stores?
By TrefisPosted 7:00AM 06/14/11

Walmart (WMT) recently opened its first Walmart Express, a 15,000 square-foot store that's a fraction of the size of its Super centers, which average 185,000 square feet in area. Through these Express stores, Walmart aims to compete with the dollar stores that are increasing their footprint in the United States retail market. Walmart also competes with other big-name retailers like Target (TGT), Costco (COST), Amazon (AMZN) and Best Buy (BBY).

The standard Walmart footprint is a large store and the SuperCenter is a giant store. Both store formats have been successful but such stores require a significant population density to be profitable. Most of these high density areas already have a presence by Walmart and I have not been able to find anything claiming that Walmart is reducing the size of its existing stores on a large scale. Demographics change in some areas and the ability to support an ultra large store may require changes to a local footprint.

The Walmart Express allows the retailer to make an impact in much smaller market areas. I don't see this strategy as anything but a means to increase revenue and profits in areas without a current Walmart store.

In my opinion it is a decent strategy to ensure growth of the brand.

[Driftr]

They've also increased their dividend payout each year for the last 11. Their annual dividends paid for their fiscal years '01-12. 0.24, 0.28, 0.30, 0.36, 0.52, 0.60, 0.67, 0.88, 0.95, 1.21, 1.46. the last 5 years they've upped their dividend by 11.6%, 31.3%, 7.9%, 27.4%, and most recently 20.7%. I have no idea if/how they'll be able to continue that trend, but it would be nice if they would.

edited to fix a mis-placed decimal

[usaone]

Jun 20, 2011 10:40:57 GMT -5 Driftr said:

They've also increased their dividend payout each year for the last 11. Their annual dividends paid for their fiscal years '01-12. 0.24, 0.28, 0.30, 0.36, 0.52, 0.60, 0.67, 0.88, 0.95, 1.21, 1.46. the last 5 years they've upped their dividend by 11.6%, 31.3%, 7.9%, 27.4%, and most recently 20.7%. I have no idea if/how they'll be able to continue that trend, but it would be nice if they would.

edited to fix a mis-placed decimal

Good point. I dont own Wal Mart and forgot about the Dividend.

[Mad Dawg Wiccan]

Target is trying for a piece of the Wally pie, too. All the ones around here now carry groceries.

[Aman A.K.A. Ahamburger]

Jun 20, 2011 10:07:28 GMT -5 rovo said:

More than a little spin taking place on Walmart's decision to downsize some of its stores.

Will Walmart Express Be the Retail Giant's Winning Weapon Against Dollar Stores?
By TrefisPosted 7:00AM 06/14/11

Walmart (WMT) recently opened its first Walmart Express, a 15,000 square-foot store that's a fraction of the size of its Super centers, which average 185,000 square feet in area. Through these Express stores, Walmart aims to compete with the dollar stores that are increasing their footprint in the United States retail market. Walmart also competes with other big-name retailers like Target (TGT), Costco (COST), Amazon (AMZN) and Best Buy (BBY).

The standard Walmart footprint is a large store and the SuperCenter is a giant store. Both store formats have been successful but such stores require a significant population density to be profitable. Most of these high density areas already have a presence by Walmart and I have not been able to find anything claiming that Walmart is reducing the size of its existing stores on a large scale. Demographics change in some areas and the ability to support an ultra large store may require changes to a local footprint.

The Walmart Express allows the retailer to make an impact in much smaller market areas. I don't see this strategy as anything but a means to increase revenue and profits in areas without a current Walmart store.

In my opinion it is a decent strategy to ensure growth of the brand.

That's exactly it Rovo. Walmart owns 35+ square miles of land, or twice as much land as Manhattan. They have to find new ways to increase profits.

Wxyz is right they will be around for years to come.

[frankq]

"look at the other responses... gamblers with heavy stakes in what ails us are using blog sites like this to suppress the truth. The truth is-- without local cash flow, continuance of mass manopolization is a no-go."

So...uh.....V.L. Mid and Como are at group tonight and you have no one to play with? Seriously, don't you have some no-doc zero down mortgages to sell?

[frankq]

Walmart has already cut livable wages and benefits out of their cost basis, and they sell the cheapest Chinese merchandise available. it's getting harder to grow profits for them. It will be interesting to see how it shakes out in a couple of years, but they're not going anywhere anytime soon.

[Aman A.K.A. Ahamburger]

LOL, No doubt. Nothing like standing your ground and proving and point..

[ses]

About a month ago I heard an interview on CNBC about how over the next couple of years they are going to be improving the quality of their produce and work with their suppliers to improve the quality of packaged groceries, less salt and sugar, I guess. So is everything going to be the GV brand? He also mentioned plans to reintroduce fabrics,too. It was a stupid move to remove them in the first place.

[Aman A.K.A. Ahamburger]

Great point ses. My wife also thinks that the fabric section being removed is annoying. She will be happy to hear that, thanks.

I don't know about the brand, but some good articles on what your talking about..

Walmart Saves Small Farms, Makes America Healthy?
www.designlessbetter.com/blogless/posts/walmart-saves-small-farms-makes-america-healthy

'Force Of Nature: The Unlikely Story of Wal-Mart's Green Revolution'
www.mnn.com/money/sustainable-business-practices/stories/force-of-nature-the-unlikely-story-of-wal-marts-green-r

[smackdown]

The brand already has a negative stigma globe-wide. My contacts in South America tell me that folks there are way ahead of the monopolization movement and won't shop at the pilot stores at all.

The lawsuit might have gone in the favor of Wal-Mart but the Supreme Court isn't in favor with the American People and you can still win a lawsuit and lose an entire population sector. The future is likely to demonstrate America's disdain for the oligarchy reign. Ladies have a way of informing the others to stay away and let it decay-- no matter what they try to sell.

[bimetalaupt]

Jun 22, 2011 6:43:05 GMT -5 @smackdown said:

The brand already has a negative stigma globe-wide. My contacts in South America tell me that folks there are way ahead of the monopolization movement and won't shop at the pilot stores at all.

The lawsuit might have gone in the favor of Wal-Mart but the Supreme Court isn't in favor with the American People and you can still win a lawsuit and lose an entire population sector. The future is likely to demonstrate America's disdain for the oligarchy reign. Ladies have a way of informing the others to stay away and let it decay-- no matter what they try to sell.

V_L,
The Wal-Mart super centres did not do well in Germany also. Here in West Texas we see a strong challenge to Food with a Texas Firm HEB and Hardware with HD , Cloths with Target,
mass goods with DG. Now Cloth World has never before had this many cars.

With ROE of 23.44% vs HD of 18.23 TGT ROE of 19.06%
it is still a major growth story.Esp with a Beta of 0.36 for WMT vs HD Beta of 0.87
TGT Beta of 1.00..

Well with the law of large numbers it looks like HD or TGT will have a long run to the top. I recall when I was working for Walgreen's and K-mart destroyed out Globe Discount operations with superior Warehouse systems.. It is interest to note that the producers that do not get products into Wal-mart are working hard to supply the other guy..There are other systems then the one Wal-mart Has. More then anything else Walmart has distroyed the Wholesale delivery systems and they are now in price war with Wal-mart..

Just a thought,
Bi metal Au Pt

[Aman A.K.A. Ahamburger]

Others will step up. But the fact is that Wal mart is doing a great job of hiding itself world wide because of the negative stigma. But lets overlook that??

In the financial year 2010, Walmart's international division sales were $100 billion, or 24.7% of total sales.[43]

en.wikipedia.org/wiki/Walmart#Walmart_International

[smackdown]

V_L,
"The Wal-Mart super centres did not do well in Germany also. Here in West Texas we see a strong challenge to Food with a Texas Firm HEB and Hardware with HD , Cloths with Target,
mass goods with DG. Now Cloth World has never before had this many cars."

My clients in Australia report a major movement to Minimalization. They make it a point to NOT go to Big Boxes for anything and prefer selective purchases of higher quality and use them until spent. It was already that way with my Scandanavian clients. I like the idea of smaller specialty stores cropping up but we're still reticent by not supporting these with indigenous manufacturing and supply.
The best thing Wal-Mart Corporation can do for America is to liquidate itself.

[smackdown]

No cars in the parking lot! The kids pointed it out. An OPEN Wal-Mart and an EMPTY parking lot. A wonder worth noting on a vacation trip!

[decoy409]

I would like to see nothing more than old wally world thrown out of town,period. Reopen the factories back here at home that are 100% capable of making 90% of these items and in turn the POSITIVE RIPPLE EFFECT from such would be a true miracle.
To bad for Free Trade as that above is a dream and nothing more.

[usaone]

Jun 30, 2011 8:28:16 GMT -5 decoy409 said:

I would like to see nothing more than old wally world thrown out of town,period. Reopen the factories back here at home that are 100% capable of making 90% of these items and in turn the POSITIVE RIPPLE EFFECT from such would be a true miracle.
To bad for Free Trade as that above is a dream and nothing more.

Yes reopen the factories.

We want our children working shoulder to shoulder in factories making widgets.

Wrong!!!!!!!!!!!

Get a good education and you will be fine. College educated unemployment is 4%

The days of working in factories IS OVER!!!

[decoy409]

This message has been deleted.

~moon mod

[moon/Laura]

Decoy. do you want to continue to post on this board?? You are out of strikes but yet you keep posting insults... that's not too smart..