Yep, we have a new super wally-world here and the gas station is Murphy Oil. They don't try to hide that fact. Says Murphy on the sign. Murphy is discount gasoline.

Not worth my trouble to get a gift card to save 80 CENTS on a stinkin' tank of lower BTU gasoline. I get better mileage with BP or Shell for that extra 80 CENTS.

Wal-Mart will probably overshadow towns in a decade or so if it keeps on at this pace. Instead of "going to town" to run your errands, you will just "go to Wal-Mart" to get your groceries, auto supplies, see your doctor, dentist, pick up pizza, get prescriptions filled, consult a building contractor, do your banking, etc. etc. A veritable one stop shopping experience.

 

I would wait before making that proclamation ....

Walmart has changed EVERY market they have entered. If they opened retail gas outlets at every store they would INSTANTLY be in the top 3 retailers in the country. That volume combined with their low over head and the idea that most retailers that sell gas do it cheap to build brand loyalty and to breing in new customers.

Albertsons is a grocery store chain here . They consistently have the cheapest decent gas in town. So your argument that they cant sell gas cheap is just wrong...

Doug

 

This sucks to debate with a Moderator…

Anyway, I would disagree and stand by my prediction that Wal-Mart will not be a big player, or a big player as many tend to think when it comes to selling gas.

I never stated they couldn’t sell it cheaper, just that they could only sell it a few pennies cheaper. Wal-Mart has no control over supply and demand. As it stands now your normal gas station does not make a lot of money on the gas they sell but rather the items they sell inside the station.

It is the refineries that determine the price at the pump and not the retailer, such as Wal-Mart. If supply is low and demand is high there is nothing Wal-Mart can do to force any refinery into selling it cheaper to Wal-Mart.

The only way Wal-Mart could compete in a mighty way is to sell gasoline at cost and then it still won’t be much more then 5 – 10 cents cheaper then your regular gas station.

Gasoline and oil are not sweaters, shoes and oil filters. Everybody, or the vast majority of people need gasoline and oil so Wal-Mart will have an extremely small part to play in any gas price competition that may happen. Wal-Mart is a huge player in the market place but they are a little guy when it comes to dealing with gasoline.

Unless they start purchasing refineries, ships that transport oil here, trucks etc they will never have much to say in the fuel market. It’s one market Wal-Mart has no control over…

 

Ban Him! Ban Him !!

 

The stations around here are called Murphy USA (Wal-Mart). They have pretty good gas and usually 4-5 cents cheaper then everywhere else.

<EDIT>
Man, I love Wal-Mart. I can get everything I need in one visit, and be done with it. Their are some things I will NEVER buy at Wal-Mart:

1. Auto parts of any kind.
2. Electronics of any kind.
3. Tools of any kind.

I will and do buy:
1. Fishing, camping and hunting supplies.
2. Food (wife take of this)
3. My aquarium needs.
4. BBQ stuff
5. Landscaping stuff.

 

I love Wal-Mart.

Love them or hate them, you can't argue with the fact that the old man from Arkansas had a master-plan.


Wal-Mart is the number one retailer. I just read somewhere last year that out of the blue they are the number one grocer (A market that's relatively new for them), and like the Mod said- if they slap a Gas-station at every store, they'd instantly be catapulted into the top realms of that industry as well- within striking distance of Exxon/Mobil and Texaco. And just as Exxon Mobil has the power to reduce prices (Contrary to the BS they tell us), Wal-Mart will lower prices).

I think there are far more people in the US looking for good cheap gas, than there are car fanatics who are name-brand loyal- that will only put "Exxon" in their car...

My trucks couldn't tell you the last time they had brand-name gas in them... The only major gas company that gets my money (directly) is Chevron, in Odessa, TX- right off of I-20.

Exxon has been a juggernaut for years- anyone remember "Standard Oil?" they were the "Wal-Mart" back in the day, running rough-shot over everyone, before the government intervened and broke them up (Exxon, Esso and Mobil- if memory serves)

They have more power than they pretend to, and if OPEC isn't raping us, and the gov't tax isn't doing it- the gas station owners say they only make about $0.12 on every gallon they sell; then it must be the refinery/suppliers. Somebody's lying about not being the reason for high gas prices. I tend to believe it's the one that's getting fat (record profits)...
____________________________________

I'll get my electronics from Wally-World.
My Sanyo TV's (25" office, and the 31" in my bedroom) have lasted 10 and 8 years respectively and are still going strong...

My 31" is on all night, everynight and the 25" is on everyday from 3:30 - midnight.

Sanyo makes good stuff- as long as I can see the picture, I could care less about all the 4:3, 16:9, 1080 dpi, yadda-yadda-yack-yack that my Sony big-screen spouts off about...

 

That's it in a nutshell. When the price jumps that quickly the money is going somewhere. It's not increased production costs.

I say we use one problem to solve another.

Let's fully fund Social Security, three words,

Windfall Profits Tax.

 

Exxon gas is crap. It’s re-formulated and has the lowest energy content of all.

 

To all that shop at Wal-Mart.

Wal-Mart is trully ruining the US small business economy in the long run. Have you ever heard of a monopoly? Sam Walton had no intentions of putting the small business man totally out of business. You see Wal-Mart will (not if, but will) have the power in the near future to say we sell so much that if we raise our prices by a percent the National Economy will feel a pinch. At this point they will be in position to pay off government officials (of course through lobbyist) to pass laws that will trully effect their bottom line. I have such disdain for wal-mart that it makes me sick.

Can't people see how many downtowns have been killed by wal-mart, how many mom and pop store that the majority of their money was put back into the community went to walmart.

WAL-MART=

 

Wal-Mart hasn't killed any of the small towns I know.. I can't say it hasn't- I've heard that it has on teh news, I just haven't witnessed it first hand...

If Wal-mart gets too big, they will be forced to redistribute- if they start strong-arming the economy.

Wal-Mart is already in the position to pay off Government officials. I don't think anyone made as much pure profit as Wal-mart does- not even GM or Ford.

Last time I looked (2002) Wal-mart made $100 billion dollars. The #2 company was nearly $40 billion or more- behind Wal-mart

 

Not only are they ruining the small business man they also want to make our lives on the roadways alittle more dangerous. What great company.


Wal-Mart Wants Truckers to Have 16-Hour Workdays

 

As I stated, until Wal-Mart starts buying up refineries and their infrastructures Wal-Mart is no more a player in the gas market then anyone else. It don’t matter how much gas Wal-Mart can buy but at what price.

In either case it’s basically a net sum issue as far as gas goes. If your particular city is using say 100,000 gallons in a day then the refinery is selling it through the middle man to you, Wal-Mart is just another middle man that will pay what the refineries tell them to regardless how much power Wal-Mart “might” think they have.

If Wal-Mart refused to pay the price then so be it the refinery simply does not sell them the gas, it’s just that simple.

We have not built a new refinery in the United States for over 20 – 30 years so there is really not enough to handle the demand as it is and with that being the case the little refinery down the road is KING while Wal-Mart or anyone else who buys from them is the little man.

When Wal-Mart starts building refineries they may be able to get into the game and take down the big boys like Mobil, Exxon etc, until then Wal-Mart is dreaming if they think they will change the gasoline market…

 

This has to be Bush’s fault somehow

 

Well, in 2000 standing in my driveway I told my neighbor that the country would go to Hades in a handbasket if Bush were elected President.

He's been elected twice.

The only positive I've seen since 2000 is that interest rates dropped on mortgages, and it's been a buyer's market for 4 years when it's time to get a new car.

Other than that, we've been sleep-walking since November 7, 2000. So yes, I'm sure this is Bush's fault!

 

If I start to lose the argument I just close the thread ...

Im not sure why you are so fixated on the refinery role.

These are the pieces that make up the price of fuel after it makes it to the US

The Crude cost
The Refining cost
Transportation cost
Advertising cost
Marketing cost - The guy who takes your money
Real estate cost
BIG time TAXES

- the refinery only has one piece - the actual refining - Walmart controls all but the crude cost, the refining cost and taxes - And they have proven over and over that they can do all those steps better - cheaper AND more profitably than EVERYONE else..