As a discounted closeout-inventory retailer, BIG competes on price for its customer base, against other big-box retailers such as Wal-Mart(WMT), Target(TGT), etc. Existing competition from these discount retailers is already intense, but the weak retail environment will prompt more competitors to liquidate their inventories, creating more price pressure on BIG. BIG will face the challenge of driving down prices even further to retain its customer base.