Today, Wal-Mart is altering the retail landscape in many ways, primarily by parlaying its power as a retail chain into operation as a full-scale distributional company as well.

The attention dedicated to improving the cost and efficiency of its distributional operation underscores the emergent strategy which Wal-Mart is using to change the retail business altogether. This aspect of its operation has become a major effecter in its relationship to suppliers. For instance, "Coke altered its century-old distribution model to accommodate the world's largest retailer, and in April began delivering its Powerade sports drink to Wal-Mart warehouses, rather than direct the retailer's stores." (Hoffman, 28) This demonstrates the manner in which Wal-Mart has come largely to change many of the rules which were once well-established in the retail business. Namely, suppliers have always functioned as the power in the retail industry. By controlling the cost of items, leveraging the available supply...
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