The Evil Empire in Japan

What will the evil empire do next to take over the world? This and many other questions are being asked of people across the globe, as Wal-Mart Inc. sprawls out in communities often forcing the loss of business for local owners. Yet Wal-Mart Inc. may aid in the turnaround of the loss-making Japanese supermarket unit Seiyu Ltd., which Wal-Mart recently bought out for 100 billion yen ($878 million). Already Wal-Mart Inc. had invested more an one billion since 2002. The recent buyout decision was made after Seiyu was approaching its sixth consecutive annual loss this year. Therefore, Wal-Mart Inc. which already held nearly 51% of the shares, bought out the minority shareholders in Japan. Wal-Mart the "evil empire" is among many other foreign companies trying to decipher Japan's retail market, which is one tough cookie considering the mix of unreliable shoppers and stiff competition. Will this empire crack the code to Japan's retail market or not?France and Britain have both tried and with failed efforts have pulled out of the second largest retail market. I think Wal-Mart's success will depend on the Japanese' response to "everyday low prices" and the power of "rollback" advertising. A word of caution to the Japanese entrepreneurs Wal-Mart may just beat the underdog by shaving prices, but who is really paying the price?