Quote:
Originally Posted by poohbear_nc
Apparently Walmart intends to wear down Amazon's pricing dominance in internet sales penny by penny, with other e-tailers jumping on the bandwagon. In the short term, price wars are great for consumers. But, long term, smaller retailers that can't compete in the price wars may get priced out of the market.
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Note that if many consumers really did prefer the smaller retails they would be willing to pay higher prices and so the little guys could still remain profitable. I think most people prefer low prices from fierce competition among big players over supporting small outlets for sentimental reasons. Thus price wars are generally good for consumers in the short and the long run.