Opening of New Wal-Mart Store in Chicago - Essay Example

It is important to state that this research contributes to marketing in a way that it reveals the competition and challenges that small and medium scale businesses would face if they have located nearby any supermarket like Wal-Mart that use innovative techniques for branding and product differentiation and that purchases a large variety of goods in bulk but sells them into smaller quantities. One of the major findings from the research is that the businesses that were located quite closer to the Wal-Mart store have a greater vulnerability of going out of business due to intense competition and a higher probability of financial losses. Second, the Wal-Mart store did not contribute significantly to market expansion because the economic losses from closures of firms were almost equivalent to economic benefits after the opening of Wal-Mart. Next, the employment losses from closures were nearly 300 – 350 workers, whereas Wal-Mart added just around 400 new jobs (including part-time employees.