As the largest company in the world, with more than two million employees worldwide and more than $473billion in sales in a recent year, Walmart has become big and powerful enough to influence the U.S. economy. Some observers believe Walmart is also responsible for the low U.S. inflation rates of recent years. However, its unbeatable buying power and efficiency have sometimes forced local stores to close when Walmart opens a new store in their area.

1. Some economists fear what might happen to the U.S. economy if Walmart has a bad year. (So far, it has had more than four decades of nonstop growth.) Should retailers have that much influence on the economy? Why or why not?

2. Walmart is selective about what it sellsrefusing, for instance, to carry music or computer games with mature ratings, magazines with content that it considers too adult, or, in some of its stores, handguns. Because of its sheer size, these decisions can influence American culture. Do you think this is a positive or negative effect of the growth of this retailer? Why?

1. How can Costco.com better inform its online customers of the product variety available and the real value of its special offers?

2.What priority do you think Costco should put on expanding its online business abroad?Is this more or less important than improving sales from the existing e-commerce operations in the United States and Canada?Explain your reasoning.

1. Experience has taught the Kings that smaller, specialty markets are the strongest retail outlets for their GaGa SherBetter. Under what conditions might they begin to make a successful move into the larger supermarket chains?