1

The entry of a Wal-Mart Supercenter in a small trade area improves the quality of life in that area as the supercenter brings jobs to the local community. Wal-Mart also benefits local consumers because they offer low prices and their array of products makes it convenient for shoppers who have a variety of needs. The entry of a Wal-Mart is not entirely positive though as the supercenter can harm surrounding small businesses as the small businesses are unable to offer the same or similar goods at the same prices. Small businesses may exit the market or they may just experience a small decline in revenue as a result of Wal-Mart’s entry. If the Wal-Mart Supercenter does not decimate local businesses, then the entry of a Wal-Mart Supercenter in a small trade area will improve the quality of life in that area.