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COMMENTS:
Yes, I believe there is a good chance that Wal-Mart's practices will drive Toy R Us (and similar stores) out of business. Toys, pharmacies, "affordable" clothing for the masses ... any company that specializes in goods which can be marketed as a consumer commodity is in danger.
At the same time, Toys R Us have ALWAYS been way over priced.
I don't really care. Both source from China, and both have terrible track records regarding business ethics. They don't care who they buy from and care even less about workers' conditions. I hope they BOTH go under.
Every Walmart and Toys R Us store that goes out of business means a ray of hope for the future of American manufacturing.
I think it's pretty much a done deal. FAO Schwartz, the yuppie toy chain, has already gone under.
Less competition is almost always bad, but I'm having a hard time feeling too sorry for Toy R Us. They used quesionable/illegal practices to try and drive Kay*Bee toys under, and almost succeeded. Plus, they weren't a discounter. Their prices were often terrible.
Still, more power for Walmart is ultimately bad for the US economy.
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