TEXT OF STORY
Stacey Vanek-Smith: Retailers are doing everything they can to part us with our cash this year. Amazon and Wal-Mart are locked in a massive price war. Which is good news for shoppers, but bad news for business. Joel Rose reports.
Joel Rose: The online price war started earlier this year with books. Wal-Mart dropped its prices to $9 for some popular hardback titles. Amazon went to $8.99. And every other bookstore went into shock. Now, Wal-Mart and Amazon and sparring over the price of DVDs, toys and electronics.
Wendy Liebman: For both of them, it is really about the future of shopping. And it’s about the new shoppers who are going to come along, and for whom, you know, online is just second nature.
Wendy Liebman is CEO of WSL Strategic Retail. She says Wal-Mart and Amazon both want a bigger share of the growing e-commerce market. Liebmam says the price war could help both companies gain market share — at the expense of everyone else.
Liebman: You kind of come to a point where you’ve got major companies, major brands, big retailers still standing.
And a lot of smaller retailers out of business.
I’m Joel Rose for Marketplace.
Marketplace is on a mission.
We believe Main Street matters as much as Wall Street, economic news is made relevant and real through human stories, and a touch of humor helps enliven topics you might typically find…well, dull.
Through the signature style that only Marketplace can deliver, we’re on a mission to raise the economic intelligence of the country—but we don’t do it alone. We count on listeners and readers like you to keep this public service free and accessible to all. Will you become a partner in our mission today?