Walmart-owned Sam's Club is initiating a hot dog war with Costco.
The Wall Street Journal reports that Sam's Club "is slashing the price of its hot dog combo to $1.38, down from $1.50, Walmart Chief Executive Doug McMillon said during an earnings call Tuesday after an upbeat quarterly report.
"Mr. McMillon said the move was part of the company’s strategy to cut prices on some products even as many everyday items remained higher than usual. He added that the prices of racks of lamb and lobster tails at Sam’s Club are more than 40% lower than last year … Sam’s Club’s new hot dog price undercuts rival warehouse club Costco, which has offered a $1.50 hot dog and soda combo at its stores since 1985. Sam’s Club memberships currently start at $50 a year, whereas Costco’s annual memberships start at $60."
- KC's View:
Just another brick in the wall, as the song goes.