Here's how Walmart cleverly extracts margin from its vendors: 1. They give you a giant order 2. You build high fixed cost infrastructure to support the volume 3. They tell you to reduce price or fuck off 4. You reduce price or take big losses on investment to support their scale
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Replying to @Molson_Hart @zerohedge
I’m very familiar with Walmart’s negotiation process. A lot missing from this. Walmart has to make partnerships with vendors or it will long term destroy them.
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Replying to @Adamic_Tweets @zerohedge
Over the last few years you have seen Walmart’s margins falling while their partners margins are increasing.
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Replying to @Adamic_Tweets @zerohedge
Walmart was making it up on buying life Insurance policies on it staff, then collects the $$, not the family.
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Can you speak more on how negotiation with Walmart is done?
2:30 PM - 13 Apr 2019
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