[F. dAnconia]

Normally I would say "who cares". Target and Wal-Mart can just raise prices in the Chicago area to defer the additional cost. These morons can then reap what they sow. I doubt, however, that this will be the case. The more likely scenario would be for these companies to distribute the additional cost in stores everywhere. This is because they will still have to be competitive in the Chicago area. For example, why increase cost in Chicago where you have more competition from "non big box" stores. It is easier to distribute these increased costs in podunk towns where there is little or no competition.

I could be wrong about this. I don't pretend to have an MBA. It just seems more logical.

[technochick99]

The store profitablilty is probably a metric by which managers get their salaries, bonuses and reviews. I don't think 'raising prices elsewhere' is an option. I'm not an MBA or CPA, but I do work a little with corporate finance (on the tech side).

I think they could raise money and still sell cheaper then the competition, assuming there is any is some of these wards.