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    Wal-Mart Express Likely Won't Impact Dollar Stores

    Wed, 05/30/2012 - 03:24 EDT - Seeking Alpha
    • Brian Nichols
    • DG
    • DLTR
    • FDO
    • KR
    • WMT

    By Brian Nichols:On CNBC's Closing Bell, the topic of Wal-Mart (WMT) rolling out smaller express stores was discussed, and how 50 express stores a quarter could impact small local businesses, dollar stores, and the economy. Some are worried that Wal-Mart's low prices will squeeze profits from smaller competitors as a result of adding Wal-Mart Express stores that only focus on groceries, pharmacy, and convenience. These new stores will be between 12,000 and 15,000 sq ft compared to over 100,000 sq ft for its normal branches. Therefore, it seems to be a fair question of how will the express stores affect smaller businesses, such as dollar and grocery stores.One of the arguments for the Wal-Mart Express stores is that it's needed because the dollar stores and smaller grocery stores have "stolen" business from the company, and in order to grow, Wal-Mart must appeal to the consumers who prefer smaller stores. I don'tComplete Story »

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