Chrees' world

Tuesday, May 02, 2006

And the third seal was opened

Wow, the New York Times actually discovered that Wal-Mart can help small business:

But for Sparky Electronics, a family-owned store in California that sells hard-to-find watch batteries and record-player needles, Wal-Mart is more ally than enemy, more lifeline than threat.

The 43-year-old store, which has a loyal customer base of handymen and contractors, wanted a Web site to reach consumers beyond its home in Fresno. But the big technology companies wanted up to $1,000 for a simple site, far more than the owner, Cheryl Cook, was willing to pay.

Then there was Wal-Mart. For $100, the retailer helped create sparkyelectronics.com, complete with the icon that sits above its store, an oversize electrified cartoon character. "The nice thing was that it did not cost us an arm and a leg," Ms. Cook said

For thousands of independently owned convenience stores, restaurants and hair salons, the nation's largest — and most feared — retailer also happens to be a business partner. Through its Sam's Club division, a chain of 570 club stores, Wal-Mart helps them process credit-card transactions, build Web sites, pay employees and take out loans, all at bargain prices.

In that sense, Sam's Club is an oasis within the harsh climate of Wal-Mart. At Sam's, the very qualities that make Wal-Mart such a formidable competitor — its size and hard-nosed negotiating tactics with suppliers — have been unleashed on behalf of small businesses.


Next up for the press—discovering the concepts of supply and demand in its next "in-depth analysis" about gas prices.

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