Walmart's Private-Label Brands Are Its New Edge

With just a passing glance, it would be easy to dismiss the news: Walmart (NYSE: WMT) is expanding its private-label apparel brand Free Assembly to include kids' clothes. Walmart is already a clothing retailer, including children's apparel. Last week's announcement isn't exactly a game-changer.

However, when the news is viewed as part of a series of similar maneuvers, a theme becomes clear. Walmart is increasingly taking control of its own supply of inventory, up to and including making (well, procuring) its own goods and bypassing national brands as a result.

It's absolutely the right move, for a couple of reasons.

Source Fool.com