[andechs]

Walmart and Amazon raising wages allows them to exercise their huge scale to further crush their competitors.

With their huge efficiencies of scale and deep cash reserves, they are better able to offer higher wages than competitors. During the pandemic, both Walmart and Amazon have seen huge growth. They can continue this growth post-pandemic by squeezing their competitors on wages, and eventually emerging with less competitors.

[gruez]

> Walmart and Amazon raising wages allows them to exercise their huge scale to further crush their competitors.

Sounds like they're in a no win situation.

If they don't raise wages: "boo they're paying their workers slave wages!"

If they do raise wages: "boo they're using their huge scale to further crush their competitors!"

[brutal_chaos_]

Amazon/Walmart are capable of raising wages to add more/retain employees. Other smaller business aren't able to adjust as quickly, thus the big box stores take on way more workers. If everyone raised wages at the same time (a la minimum wage increase or otherwise), then Amazon nor Walmart would look like that much of a better place to work, eliminating the "boo they're using their huge scale to further crush their competitors."

[okaram]

But what would prevent Amazon/Walmart to raise wages even more? That is what they are doing now, right?

[brutal_chaos_]

> raise wages even more?

Nothing, good point.

> That is what they are doing now, right?

I haven't seen that near where I live (in the US) though I wouldn't doubt there are a number of locations experiencing that.

[j7ake]

Being able to be more efficient and pass down savings to low prices and higher worker wages seem like a good thing.

[the-dude]

Until there is only Walmart and Amazon left.

[bluGill]

It isn't hard to start a new business. There are a ton off niches that Walmart and Amazon don't server well. Find one and serve it, then use profits to expand into the much larger (though lower margin!) areas that Walmart or Amazon serve. Good luck - it is not easy to run a business.

[rdtwo]

lol it’s not hard to start in tech with no regulation no capital or overhead. Real businesses are hard to start and live and die by the cost of financing

[the-dude]

Just wait until either Amazon or Walmart or both block your account for reasons.

No soup for you.

[gruez]

I'm skeptical that you can build a profitable competitor by reselling amazon/walmart.

[bluGill]

If Amazon or Walmart is part of your plan you need a better plan. Try selling oil well drilling supplies in oil country (I have family doing this, and they have cornered thus niche, so don't try that exactly, but it is the type of thing. They make it because they have in stock the special parts needes for that niche and Walmart won't)