Wal-Mart vs.Target - Essay Example

It can sponsor the person or firm to open a store. Storeowner can get a commission from Wal-Mart after the selling of the products that were displayed in the store. The commission varies depending on the store. The store established for computers and other Information Technology-related products whose sales are currently touching the peak of the wholesale and retail market. In the current market scenario, the sales of fast-moving consumer goods (FMCG) and computer hardware and software sales touch saturate points.

Unlike stores established for artifacts whose sales move at snail's pace than the products like FMCG. In addition, capital required for establishing events that are outdated in the market like antiques and art-related is unassumingly high. Moreover, the cash involved in such a store will be at stake for a longer period and fetch very little margin or commission from Wal-Mart. The fixed assets required in establishing a store should be on par with the status of Wal-Mart. It would be icing on the cake if the store owner files for higher tax returns to acquire higher capital from the funding sources like banks and retailing companies.

The valued prerequisites of an individual or organization gearing up to start a new project should be a higher taxpayer basing on which funding sources would aid the project. The main drawback in approaching Wal-Mart is that it can only provide its brand name, finished material, and commission.