You could have suburbs designed as walkable neighbourhoods with shops. Look at Japan, each area around a station is like a small village. Even if you commute to the "big" city, the area you live can still be a nice walkable place.
You can see this all over the east Bay in the San Francisco Bay Area, where its just miles and miles of residences, with all of the commerce on 880, 580, or all the various names for 185/238, from Gilroy to Vallejo. If you're more than a few blocks from any of those roads, you're driving or taking a bus to get to any shops. And East Bay surface streets are not exactly pleasant.
Once upon a time I lived within easy walking distance of my job, a big box retail store in one of these clusters. Elsewhere in the same cluster was a Market of Choice, which is basically a Whole Foods but for Oregon residents who are too cool for such a mainstream store. Despite the higher costs, I vastly preferred shopping at Market of Choice because I could easily walk there and the food was generally higher quality. Generically, I would consistently shop at stores I could bike or walk to, outside of that shopping center, and frequent restaurants I could get to.
Meanwhile, where I live now, there's a Haggen (an Albertson's branded Whole Foods competitor) across the street from a Safeway (which is the brand Albertson's uses in this particular market for their standard store). They carry identical store-brand items, but the premium store charges 5-10%, because they know that people will pay more just for a better shopping experience.
Obviously I don't speak for everybody, but I think a lot more people would accept paying a little bit more in exchange for not driving so much, but part of the problem is that, thanks to market effects and economies of scale and so on and so forth, they have to pay a lot more, for the same products.
But too many things are literally twice as much and for those the value of a Walmart trip is obvious.
People are so habituated to driving, and the walking/biking experience outside of inner cities so unpleasant, that the corner stores simply cannot compete. Of course a big box store is going to have better prices, they win on economies of scale. But we've allowed our cities to be designed around the total separation of residence and commerce, so that you have to drive an interminable distance on unpleasant, congested roads just to get to an ersatz corner store. May as well drive to Walmart.