by this they get a commitment from the vendor a very competitive price with slender margin to the vendor, who is aching for business with big buying houses… however, these vendors’ are in a shock, when they borrow money to make produce within the specified time to ship out, which is always a tight schedule.. the penalty clause comes into force, once the vendor is not able to complete the produce in time for the ocean shipment.. once he is unable to supply within the specified time to the walmart routing agent, then the trouble starts with the vendor having to shell out by air, which is mostly 5/6 times the cost.
