Comments by "William Innes" (@williaminnes6635) on "Actual Justice Warrior" channel.

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  5. well I hope they are forced to take back the shop girls because that is intuitively unfair. However, Lululemon more likely afford to eat the loss of some merchandise in the short run in a way that for instance Walmart in the long run can not. Walmart's margins are razor thin. That's how it delivers lower prices for customers. Chronic ongoing looting of Walmarts in specific areas inexorably drives affordable groceries and unskilled jobs out of an area as chronically looted stores become dead weight on all the other stores to keep them going. Lululemon in contrast has a huge markup on its products. In terms of impact on the community on the ground, even if Lululemon does get driven out by the looting despite its better operating profitability, it removes a luxury from consumers, as opposed to a necessity. People can drive to a different one, or order online, or just wear cheaper leggings. Lululemon also trades heavily on its brand in a way that Walmart doesn't. If the Walmart brand evaporated and Walmart stores all of a sudden had the same supply chain engineers, cashiers, stockboys, and truckers under a big red sign that said "Cheap Stuff Here" in yellow Times New Roman font, the same managers of and shareholders in Cheap Stuff Here (NYSE: CSH) would be fine. If Lululemon loses its brand, its ability to market its products with Veblen pricing is merked. Nobody is paying that much for some weird leggings brand that might be from Wish. Not to nit pick the framing of this one too much.
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