What is Big Box Store?

A big box store is a large company that is more efficient but less specialized than other firms in a particular niche or industry.

How Does Big Box Store Work?

Wal-Mart is a classic example of a big box store. By being cheaper, bigger, more convenient, and more well-known, it has an advantage over smaller stores and specialty stores. A wide selection of merchandise is a common characteristic of a big box store.

Why Does Big Box Store Matter?

Big box stores are controversial. While they are champions of capitalism for their lower prices created by increased efficiency, their low prices can come at the expense of product quality, customer service, and more modestly capitalized competitors.

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Paul Tracy
Paul Tracy

Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 3 million monthly readers.

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