Wal-Mart Moves on from books, Launches DVD Price Battle (WMT,AMZN,TGT)

11/6/2009-Wal-Mart's (NASDAQ:WMT) foray into the online market place, and the battle being waged as result, has moved on from the book front to now center in on hotly anticipated DVDs. Wal-Mart cut its prices on 10 DVDs, which includes the new Star Trek and Harry Potter movies, to $10.

Amazon.com (NASDAQ:AMZN) and Target Corp. (NYSE:TGT), not to be outdone, followed suit hours later lowering online prices on some pre-orders of DVDs. Shortly thereafter, Wal-Mart lowered to $9.99 per DVD.

The DVD price war, much like the book price battle held previously between Wal-Mart and Amazon.com, has resulted in prices that guarantee retailers would lose money on the sales with such narrowed margins. However, the price promotions drive traffic and are common in retailing.

Write to Chip Brian at cbrian@tradethetrend.com

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Related terms: dvd, market, money, nasdaq, nyse, online, prices, securities, traffic, war