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Instead of intermediate warehousing, Wal-mart.com will directly deliver the ordered number of products and in this regard lower its producer transaction costs, which will shift its supply curve to the right, causing a right shift of the demand curve as well.
(2) By implementing policies to reduce consumer transaction costs, for example, lowering the expenditure of time of customers and other possibilities as discussed above, resulting in a shift of the demand curve to the right and
(3) by taking actions other than reducing consumer transaction costs and through devising new products and services...
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Wal-Mart.com will offer products from all 25 categories you can find in a regular Wal-Mart store. To create additional value, it will offer a richer choice of high quality products, for example DVD players and cameras. But not only will it offer these higher-priced items, it will also offer them as complements, which means that Wal-Mart...
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