Michael Barbaro writes that Benton County is showing its wealth:
Benton County, once a sedate backwater, is quickly morphing into a swanky oasis in the middle of the Ozarks.It's not Wal-Mart executives buying these things, it's the employees of WM's suppliers.The result is an unprecedented migration of high-paid executives to the northwest corner of Arkansas -- professionals from amenity-rich cities like New York, San Francisco, Atlanta and Miami, who bring not only their six-figure salaries, but an appetite for Jaguars, sushi, pet day-care centers, Gucci shoes and Chanel sunglasses.
Jeff Collins, an economist the University of Arkansas's Sam Walton School of Business, said the thousands of suppliers who have moved to the region are "trying to recreate the world they knew back home, wherever that was, and they have the money to do it."Wal-Mart executives should take this as anecdotal evidence that personal contact is influencing decisions in subtle ways -- away from the standards considered by the home office to be optimal or most efficient.
You'll notice, though, that Chinese-owned suppliers are not noted to have any Bentonville presence at all...
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The article does contain some stupidities, however, including:
Wal-Mart's unchallenged dominance in American retailingJust what would you call Target and every other retailer that make up 70% of household consumables, unchallenging competitors?
Posted by Kevin on June, 27 2005 at 11:35 AM
