Walmart Moves to Towards Local Product

Wal-Mart wants you to know that it's not just cheap but local, too. These two qualities have rarely converged in the aisles of the chain, the world's largest retailer and the nation's biggest importer of foreign-made goods. But as of July 1, Wal-Mart has taken a "local" approach that it says will bring you cheaper produce.

Exactly what "local" means and how prices might be affected aren't clear. But Wal-Mart's bargain-hunting customers, hit by rising inflation, are hoping to see some trickle-down.

For the company itself, the local approach is just one example of shedding old skins. Just last month, Wal-Mart changed its logo from the blue star it has used since 1992 to a sort of yellow digital daisy and a softer font. Last year, the company ditched its 19-year-old "Always low prices" motto for the more touchy-feely "Save Money. Live Better." And Wal-Mart has increased its emphasis on "green" goods and sustainability.

But the retail giant, which relies heavily on items made in China, may find it hard to manage two very different consumer bases: purely cost-driven shoppers and sustainability-minded consumers with more to spend. As Wal-Mart juggles new and old identities, can it rule both the dirt-cheap arena and the local niche market?