Final answer:
The 'Wal-Mart of flying' refers to a dominant, low-cost airline potentially using predatory pricing to affect competition. Examples in different industries include accusations against major retailers and credit card companies engaging in practices that influence market dynamics. Legal actions have been taken in response to such practices, emphasizing their impact on competition.
Step-by-step explanation:
The term "Wal-Mart of flying" is typically used to describe an airline that offers low-cost flights and is dominant in its market, engaging in strategies that can make it difficult for competitors, especially smaller ones, to sustain their operations.
Allegations of predatory pricing have been prominent within the airline industry. In the early 2000s, carriers such as ValuJet, Frontier, and Reno Air accused larger rivals like Delta, United, and Northwest, respectively, of this practice. The aim of such pricing is to undermine competitors' ability to compete, leading to a market with less competition and possibly higher barriers to entry for new participants.
Another example within a different industry is the accusation by the American Booksellers Association against large retailers like Amazon, Wal-Mart, and Target for selling products, such as new hardcover best-sellers, at unsustainably low prices.
Similarly, legal actions, like the one taken by the Justice Department in 2015 against American Express and Mastercard, demonstrate how retail practices can potentially affect market dynamics and competition.