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Is Wal-Mart going upscale?

Maybe just a little bit. The Wall Street Journal reports this morning that “in a sign that it wants to regain its footing in consumer electronics and attract more well-heeled shoppers, Wal-Mart this fall will begin selling a high-end home-entertainment sound system that was developed in collaboration with music legend Quincy Jones.”

The system will retail for about $498, and in the beginning will be tested in just a few of its stores. Wal-Mart has seen some erosion of its electronics business because of competition from retailers such as Best Buy.
KC's View:
Ironically, the WSJ writes that “the move by Wal-Mart signals the retailer's increased focus on courting higher-end shoppers with more upscale offerings at a time when many of its lower-income customers are being hit with the double whammy of higher prices at the pump and tepid wage growth.

Which is pretty funny, considering that Wal-Mart often is criticized for contributing to the nation’s tepid wage growth.