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It is in the long term interest of consumers for those businesses to continue to exist so that they can provide competition to the multinationals. In a world where Tesco or Walmart are the only retail outlet (which is the logical conclusion of such price-war based competition), what happens when they decide they no longer want to stock certain items?
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I think other competition will come along, and start stocking the items they won't. If there is a demand for items people will search out the store that stocks them and purchase from it.
Sam Walton started in 1945 with one small variety store in Arkansas. He kept prices as low as possible. He kept a wide range products in stock. He stayed open longer than anyone else. His margins were small, but he sold a large amount of goods. This made him able to bargain for even lower prices from wholesalers.
I'm not a Walmart cheerleader. I hardly ever shop there, but I don't have a problem if someone is successful at any enterprise they choose to start.