Look at Snapper Lawnmowers. Wal-mart wanted to sell Snapper, but none of the Snapper mowers fit the walmart price. Wal-mart basically told Snapper 'that's okay, we will paint our existing chinese lawnmowers orange, and slap a Snapper sticker on them' This is the same deal the have made with MANY big companies. Snapper is one of the few who backed out realizing that this would ruin their reputation.
I suspect this has also happened with firearms.
I strongly suspect this is how we got the Remington 710
Also, there is the Huffy Bike effect. Walmart made an agreement with Huffy, and used their large size to include some real nasty terms. Huffy made bikes A, B, C, X, Y, and Z. Walmart wanted to sell Z, as it was the cheapest. Walmart agreed to pay $3 over production cost for Z, and would order AT LEAST a large amount, and Huffy agreed to supply them with whatever amount was necessary.
Walmart decided to use the Huffy as a 'door buster' (an item you put in add at no profit, or even a loss, to pull people into the store) But they did it walmart style...on a scale, length, and scope never before seen...enough to directly affect the markets. Walmart has named these 'nationwide yearlong doorbusters' as 'Statement Items' Walmart has done this before with pickles and oranges and a few other commodities.
Getting your product picked as the Statement Item is pretty rare, but whichever producer gets his item picked pretty much gets destroyed.
Walmart requested from Huffy 5 times the number of model Z bikes as Huffy produced the year before. Huffy said they couldn't do it, walmart pointed to the contract.
Huffy was forced to stop making bikes A, B, and C which were much more profitable and redirect those lines to making Bike Z. Huffy also set up a new factory to make more bike Z.
The quality of the original factory bike Z in walmart would be the same as that same bike Z in target, sears, bob's hardware, or wherever.
However, once bike Z production went into 'panic mode' quality control I SUSPECT went downhill. I also doubt that lines/factories A, B, and C were immediately producing as good of bike Z as standard, same with the new factory.
Huffy bike Z got a reputation for having a lot of problems.
I suspect the same thing can and does happen in firearms, ESPECIALLY in 22LR firearms.
No, wal-mart is NOT able to make it's profits by it's ability to buy in bulk. It makes it's profits by forcing a company to move overseas and utilize cheap labor and make inferior product that the US consumer assumes is the same.
Now, in these same overseas cheap labor markets, Walmart is pushing down labor prices. China has a minimum wage of $56 per month, except Walmart is allowed to go as low as $32 per month with a nod nod wink wink. Also, there have been some reports that as in china you are paid by the 'day' not the 'hour' that days in walmart are equaling 14 hours vs the standard 10.
I've heard the talk of 'oh, your car is a lemon...it probaby was made on a Friday!' I imagine that in ALL products, including guns, that comes into play. However, I suspect that everything produced at around hour 13 of work for the day is not going to be of the same quality as at hour 6.