Walmart just told its suppliers that it wants to have the lowest prices on 80 percent of its sales. That means that suppliers will have to cut their prices by at least 15 percent — in some cases, losing money on the deal. For those who comply, Walmart will offer better distribution and other kinds of help. Those who don’t will see Walmart limit distribution of their products. Walmart regularly tells suppliers to lower prices, but this time is different: the company is in an all-out price war with Amazon. Continue reading Amazon and Walmart’s Race to the Bottom Rattles Suppliers

Recently, Amazon has been offering discounts on sneakers and video games to its Prime members, prompting some industry watchers to predict an impending price war with discount shopping site Jet.com. Operating in private beta, the members-only Jet offers cheaper prices by lowering order fulfillment and shipping costs. The belief in the possibility of a price war is rooted in recent history: Jet was founded by former Amazon employee Marc Lore, whose previous company Diapers.com was the focus of a heated price war that ended with Amazon’s 2010 acquisition. Continue reading Is a Price War Brewing Between Amazon.com and Jet.com?

Following a 3 percent drop in market value, Verizon has hinted at plans to get competitive in pricing, which customers will likely appreciate, but investors might not. The telco lost about $4 billion of its value, and some say it’s directly related to the competition among telcos to be the most aggressively priced. T-Mobile has been most notably aggressive in its pricing strategies, attracting new customers and possibly forcing Verizon to lower its fees as well. Continue reading Verizon Will Likely Respond to T-Mobile’s Aggressive Prices