The Wal-Mart Effect. By Delphine Marini and Bridget Wolansky. Chapter One. Who Knew Shopping Was So Important?. What did Walmart change about deodorant packaging that cut cost 5 cents per unit?. They got rid of the cardboard box that they were packaged in.
By Delphine Marini and Bridget Wolansky
Who Knew Shopping Was So Important?
They got rid of the cardboard box that they were packaged in.
More than half.
They don’t fade into the landscape; they sit in the middle of large asphalt parking lots, and are on a slightly different grade than nearby roads.
Warehousing, logistics, data management and merchandising.
For the poor treatment of its workers.
What are two main perceptions of shopping that make consumers choose to shop at Walmart or not? (the difference between how the author and his wife shop)
Some shop to search out for the best deals and some go to “explore, to be surprised, and persuaded”.
Sam Walton’s Ten-Pound Bass
Who started working for the second Walmart ever made when he was 14 and worked his way up in the company and was able to retire a millionaire in his 50s?
Hard work, frugality, discipline, loyalty and a restless effort at constant self-improvement
Visit other Walmart stores on a regular basis and learn everything they could from each other.
In 1985, the net worth was $4.5 billion
They keep it simple. They do nothing but tires, batteries, and oil changes
Clarence Archer (Arch).
They were expected to fill 100 scrips a day, now it is 200 to 300 a day.
Employees complained that they were forced to work off the clock, either working through scheduled breaks or punching out and continuing to work for no pay.
Making Bacon, A Wal-Mart Fairy Tale
Jonathan Fleck and his daughter Abbey.
1.25 million through Wal-Mart, and more than 4 million nationwide.
When things go well with Wal-Mart, it’s good for everyone: vendors, factory workers, customers.
Target can go large quickly as it goes small. With Wal-Mart, “if you’re in there, if you’re not in there, you know”.
Shopping at his competitors ceaselessly, looking for what they did better than Wal-Mart.
He got rid of them and made a everyday low shelf price.
To smooth out and rationalize the demand from customers- they buy it when they need it. It makes the supply more predictable
Procter & Gamble’s
They took costs out of the system, and increased sales.
A proprietary system that Wal-Mart first made accessible to vendors in 1991