Sears Holdings' Sears stores dominated American retailing for years, but the company has recently faded. In this video, Austin Smith and Jeremy Phillips review the single fundamental reason why Sears lost its dominance and why Wal-Mart continues to grow, even after becoming a $250 billion company.

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The article Why Wal-Mart Won and Sears Is Burning originally appeared on Fool.com.

Austin Smith, Jeremy Phillips, and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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