Doug Mcmillon, Ceo Of Walmart, Vows To Keep Private Labels At Low Prices

Rather than participating in a recession if there is one, Walmart CEO Doug McMillon wants to keep his company's own private brands priced low, telling Trade Algo last Tuesday that the company is “not participating in a recession if there is one.”

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“Over the years, we have demonstrated that we can bring prices down,” McMillon said in a recent interview with Trade Algo.

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While McMillon would prefer if Walmart's brand partners and suppliers took the initiative by themselves to lower prices, he knows that he must play a role in doing so anyway in order to “play a role in helping the prices come down.”

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As inflation-weary consumers looked for cheaper alternatives and discounts during the holiday season, the retail giant reported healthy holiday-quarter earnings on Tuesday. An annual revenue record of $611 billion was reported by the company.

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Although Walmart and its peers face rising costs, McMillon was confident that Walmart's lower-priced products could push other brands to lower their prices.

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“The market has the ability to work over time,” said McMillon. “It would be wise for branded manufacturers as well as all of our suppliers to respond to that market in a timely manner.”

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Wall Street expected Walmart to give more conservative guidance for the current fiscal year, but Walmart is proceeding cautiously.

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"It's hard to predict exactly what the back half of the year will bring," said McMillon.

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