Walmart’s utilizes a Vendor Managed Inventory (VMI) system. I think under the VMI process vendors have a better chance at selling their products. It seems doubtful to me that the costs for this maneuver would out weight the profits especially for businesses who make millions each year. I am curious as to how much these costs would be and do they vary with each company? I am sure they probably set a standard, yet how could this affect the small businesses? I am not really sure.