There are more and more people buying most of their consumables on the internet and walmart hasn't learned how to compete. They have lost a lot of market share to amazon lately and they don't know how to regain it. They have to differentiate themselves somehow and come up with a better model.
Wal-Mart is not headed for financial trouble, because there are a lot of people that still need low-income products. There will always be a market as long as there are people who have low income and need to buy things for low cost from Wal Mart. Wal Mart can reinvent themselves as they need to maintain the market.
No i do not think that the Walmart corporation is headed for trouble just because their sales are down. They are a very successful business and appeal to a lot of customers. They have a great online website to shop at as well as mass stores. They offer the lowest prices.
As the US economy continues to struggle and competition in the retail sector remains robust, Walmart faces only familiar challenges. The negative sentiment against the company has begun to ebb as anti-capitalist forces have begun an assault on the quick-service food industry. McDonald's loss in this arena is Walmart's gain. The new battleground is the small-box retail sector. Although Dollar General continues to nip at Walmart's heels, DG's attempted takeover of Family Dollar is a mixed bag. Even if successful, the acquisition will require much of DG's cash, and will necessarily result in many store closures, both for market calibration and government appeasement. If the takeover bid turns into hostilities with alternate suitor Dollar Tree, the small-box sector will begin to eat its own young. Meanwhile, Walmart can continue to upgrade facilities, expand its financial services offerings, and do what it does best: leverage its size to keep consumer prices reasonably low. Walmart has weathered many storms, and the current forecast is particularly sunny, in my opinion.