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Does anyone have reason NOT to celebrate Walmart's scale economies?

Does anyone have reason NOT to celebrate Walmart's scale economies?

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Answer #1

Walmart employs close to 1 % of US workforce and further, it is estimated that over 2 million workers are employees of walmart. Increase in the scale of operation has significantly reduced the cost of production. So consumers are biggest beneficiaries of large scale operation of Walmart.

But small stores have lost their business significantly, Now people visit less frequently to these stores, as these stores can not meet the varied needs of people. further, small stores offers less varieties. Furthermore, e-commerce also has taken toll on the small stores.

Thus, small stores have reason not to celebrate Walmart scale of economies.

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