I’m sure you’ve heard by now that Yahoo! is getting ready to sell itself off to Verizon for $4.8 Billion. That’s a lot of money but in terms of how much their competitors like Google and Bing are worth, its really not much.
Considering the fact that each of those giants are worth in the hundreds of billions of dollars if they were to be bought by someone. It seems to me like both little startups and big companies that have been around for a while are being bought out by bigger guys in the whole scheme of things. There just seems to be lesser and lesser competition these days.
And a level below that we see little mom and pop stores that shut down as a result of Walmart’s low prices and aggressive business tactics.
Walmart is currently having talks about buying web retailer Jet.com. Jet, in case you haven’t used it or heard of it yet, is just like amazon except they give away lots of discounts and do free shipping and things like that. Analysts are currently estimating that Jet is worth at least $3 billion. If this deal goes through it’ll be the biggest purchase in Walmart’s history or mergers.
Walmart wants to dominate in both the brick and mortar sector as well as online. Right now the “Walmart” of the internet is Amazon. Last black Friday, Amazon had more orders from customers than they had estimated, resulting in UPS not being able to deliver everything on time. Walmart definitely wants a piece of that action, and if they take over Jet.com then they could potentially be a real threat towards Amazon.
This however is not Walmart first attempt in competing with Amazon. Walmart has added new features for customers like mobile payments, along with an addition of over 1 million products on its online platform.
Acquiring Jet would also give Walmart that edge its been looking for to appeal to higher income shoppers.