Wal Mart Guns

[analyst]

Walmart does indeed purchase in enormous quantities and they purchase directly so there is no distributor to add costs into the system. Also, manufacturers are very willing to sell Walmart what it specifies (high volumes allow factories to be run at peak efficiency). Walmart probably specifies a lower finish level (finish might be less than a dealer gun), but the safety and strength are the same.

Dealers who have higher per unit overhead costs have to have an advantage and that advantage is going to be in the finish. This allows the dealer to stay in business.