« New Dishwasher | Main | Identity Theft »
July 02, 2005
Walmart Power
This consumer reports on the power Walmart holds over product makers and its impact on consumers.
Young remembers begging Wal-Mart for relief. "They said, 'No way,' " says Young. "We said we'll increase the price"--even $3.49 would have helped tremendously--"and they said, 'If you do that, all the other products of yours we buy, we'll stop buying.' It was a clear threat." Hunn recalls things a little differently, if just as ominously: "They said, 'We want the $2.97 gallon of pickles. If you don't do it, we'll see if someone else might.' I knew our competitors were saying to Wal-Mart, 'We'll do the $2.97 gallons if you give us your other business.' " Wal-Mart's business was so indispensable to Vlasic, and the gallon so central to the Wal-Mart relationship, that decisions about the future of the gallon were made at the CEO level.
|
Related Products: |
Read more from this blogger: |
Posted on July 2, 2005 10:43 AM by Other 42.
Filed in Reports by Consumers under other products.
Permalink
| Comments (0)