big box store = low prices
low prices = pressure on wholesale suppliers for lower prices, "custom" product, exclusive, high volume contracts
lower wholesale prices = off shore manufacture, lower wage structure for domestic employees
"custom" product = genericizing of product lines, de-facto censorship of music/text (IE Walmart is the largest recorded music retailer in the world, and enforces "decency" standards on what it sells,) specialized product that is only suitable for certain big box store/ different from a suppliers "standard" product.
High volume contracts = over-reliance on the box store revenue stream- wholesale suppliers sign large contracts with the box stores, committing gigantic % of production to same. Often "custom" product. Walmart forces suppliers to produce product in different measures, so that it cannot be sold to other stores; if powdered ice tea is normally sold in 32 oz size, Walmart will demand 29 oz, ensuring over-production cannot b sold, and locking down production lines. Box store essentially controls supplier when % reaches a certain point of sales, and can force offshoring or run company out of business by demanding increasingly lower prices
All above = decrease in domestic wholesale production capacity
decrease in blue-collar wage standard
Increased demand for lower price of consumer goods (vicious cycle)
Etc, Etc, Etc...
Tech writer/support on this here site. FIST school instructor and certified bike fitter. Formerly at Diamondback Bikes, LeMond Fitness, FSA, TiCycles, etc.
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