Walmart is given a wholesale price by Kellogg’s. Walmart’s choice is to set their markup over that wholesale price. On average, the wholesale price by Kellogg’s cereal would be $1.64 and the wholesale price for the GV would be $0.715.

It’s complicated for Walmart, because there is documented evidence of them telling suppliers what wholesale price they will _accept_, but that does not change that it is ultimately Kellogg’s wholesale price that is being met by Walmart.