[scotty79]

You could tell it about any efficient business. If there's no Wallmart in town and all that profit goes to small store owners then everytime they shop outside of town or go on a vacation they "suck" the profit out of the town.

Each time a customer needs to travel to big city or order remotely because town shops don't carry what they need they suck profit out of town.

If Wallmart can come to town and employ enough people it might help keep profit in town rather than suck it out.

[ab_goat]

I think this is blissfully ignorant. Walmart's model is built on creating prices and selection that are so attractive that it is very difficult to compete. Part of the way they do that is by extracting profits out and leaving only low paid employees locally.

[scotty79]

They still might extract less than bunch of small business they replace does. Just because they can do many things more optimally. Think of all the fuel, wear and tear and driving time (labor) if everybody in town had to shop in the nearest city, compared to a handful of large trucks supplying Wallmart.

How much money stays when Walmart is there relies on bargaining strength of employees. With weak labor laws it may suck out more. With strong labor laws they could suck out less.

Wallmart being net negative for community as this research seems to indicate is clear evidence that labor laws are too weak.

[brnt]

If Wallmart couldn't extract capital it wouldn't come to town.

What business do you think they're in?