Target Corp. (NYSE:TGT) has recently followed Wal-Mart Stores, Inc.'s (NYSE:WMT) lead in offering generic prescription drugs for as low as $4. In fact, Target has lurched ahead of its larger competitor by recently announcing that it would be offering the newly discounted prescription drugs in all of its stores, while Wal-Mart has its new program available in 37 states so far.

Apparently, though, Wisconsin state authorities didn't get the memo. A Wisconsin state law is actually forcing the nation's second-largest retailer to sell generic versions of some prescriptions drugs for more than the $4 minimum price that Target would like to charge. While Target is selling 140 generic versions of prescriptions drugs for $4, Wisconsin state law prohibits retailers from selling products below cost. Meaning, Target is going to have to charge more for 16 of those 140 drugs due to this law.

Why is the Wisconsin law there in the first place? Wisconsin Consumer Protection authorities say that the "Unfair Sales Act" was designed to protect small businesses from being undersold. However, that same law stipulates that retailers can lower their prices to match their competitors. Whew -- I was beginning to wonder if the terms "free market" meant anything in the cheese state.

Wal-Mart Stores, Inc. (NYSE:WMT) has added another 11 states to its discount generic prescription drugs program. The nation's (and world's) largest retailer said that it will be adding an additional 17 generic prescription drugs to the program as well.

This brings the total to 3,000 Wal-Mart stores in 38 states that now offer the 30% to 40% discount on 331 generic prescription drugs. The new states that were added today included Idaho, Kentucky, Maine, Massachusetts, Nebraska, Oklahoma, Rhode Island, South Carolina, Utah, Washington and West Virginia.

Wal-Mart is offering a $4 price for a 30-day supply of some popular generic prescription drugs. The 331 drugs offered under the program includes some drugs more than once if they are sold in a variety of dosages or solid and liquid forms -- as many drugs are. With Wal-Mart rapidly expanding its timetable and available states now, what perfect timing for the headaches and stress of the holiday rush, eh?