Customer Benefit Package – Walmart versus Luxury Clothier

Customer Benefit Package – Walmart versus Luxury Clothier.
Walmart is no one of the largest retail stores in North America. It is considered to be one of the most efficiently run retail business worldwide. To compare Walmart to luxury retailers has numerous contrasting factors both in goods and services provided. The most significant factor is the price when comparing Walmart to luxury retailers. Walmart is committed to saving its customers money so they can live a better life; this is why their products are reasonably priced goods whereas luxury retailers tend be highly priced.
Walmart’s mission statement: “People, Saving Money, Living a Better Live” To contrast the Customer Benefit Package of Walmart against a luxury clothier for purchasing a new formal dress, there are many contributing factors. Depending on the person will dictate the types of benefits from the products to satisfy your needs. Typical sources of a Customer Benefit Package are GOOD COMPARATIVE PRICE, GOOD QUALITY, GOOD WARRANTY SERVICES, REPUTABLE COMPANY, KNOWN PRODUCT/BRAND, LOW AFTER-SALES COSTS, PROMPT DELIVERY, WELL DESIGNED PRODUCT, FASHIONALBE, and EASE OF PURCHASE AND RELIABLILITY.
Price, Walmart has definitely an advantage over its competitors particularly a luxury clothier for the purchase of a formal dress. I would like to compare Walmart to Lane Fashions; this is a local luxury ladies shop in my local community. Lane prices are definitely higher than Walmart, but in terms of quality, Lane sources out quality products to consumers and this is a quality that the customer expects as compared to Walmart, which has limits on their stocks on per style, per season based on purchase cost.

Shopping at luxury clothier gives the customer a sense of pride knowing that not too many others will have the same item in their closet. Luxury clothiers are focused on quality, style and design for their business. Lane Fashions carries numerous well-known brands, for example Artex, Bianca Nyard, City Girl, FDJ, Joseph Ribkoff, and so on. They are trusted brands for style, designs, fit, and sophistication with upscale fashion and offer excellent one on one customer services.
These would be an advantage over Walmart, also, if living in my community, there is no Walmart, you would have to travel 45 minutes to the nearest store outlet. Luxury clothier provides their customer with assistance in referring or suggesting other products, and such accessories that go well with your purchase. In Walmart they have their house brand, “George” which provides the customer with reasonable priced products. They do carry other brands so there is more for the consumer to choose from, but nothing to compare to a luxury clothier.
The difference here would be the preference of the customer, do you want a good fitting piece of clothing, and do you care about the brand name. A luxury clothier will have the variety of choices in clothing, and in accessories to go well with the clothing they sell. The staff is knowledgeable about the products they are selling are very able to assist the customer with their purchase. Walmart does not provide these kinds of services, there will be no suggestions on products or accessories, their staff are not trained to provide these types of services.
Service is a major factor in the contrast between Walmart and a luxury clothier. This is a major role in the decision making process of the customer. Am I satisfied with how the store staff assisted me? Did I have an intimate shopping experience? How long did I have to stand in line to pay for my purchase? Was the store staff courteous and knowledgeable about the products? If your experience is a wonderful one you will come back to this store as a repeat customer, due to how the staff treated you, if they make you feel like a V. I. P.
Walmart offers various after sales services, in some locations they are open 24 hours a day. The Cash Back Reward program that they have entices customers to shop in their stores and keeps customers coming back. These could be an advantage over the luxury clothiers, as they may not have these programs or services available for their customers. They also have a very adequate return policy wherein they freely accept returns within a specified time frame, but in my experience, if the staff does not check out the returned items and re-shelf them, then other consumers will purchase the defective/returned product.
Walmart has numerous cashiers but often there are very few open and so you usually are standing in line for a while. For a luxury clothier they usually have a couple of cashiers, and on a busy day, like the Christmas season you could have to stand in a line but normally on a regular day there would no long lines at the cashiers. Walmart’s purpose is “by offering the best possible prices on the products our customers’ need, so we can help them afford something extra” to provide the customer with a “one-stop” shopping experience.
They offer various products, food, clothing, housewares, gift items, garden centre, automobile centre, salons, and photo centre. They provide fast food within the store, Tim Horton’s and McDonald’s. They also provide on-line shopping. There are definitely numerous contrasts of ideas between Walmart and a luxury clothier. In this document there have been many contributing factors mentioned. Why does the consumer shop at Walmart?
I believe like many consumers the main reason would be convenience, one-stop shopping centre and once you are in the store you definitely impulse buy; after sales service and the price. In a luxury clothier, it is for the experience of one on one customer services, the brand name of the clothing you are looking for, the quality, reliability of the product, image of a luxury clothier, updated style/fashion. I will always shop for certain products at Walmart, but for my evening wear I will always shop at a luxury clothier.

Customer Benefit Package – Walmart versus Luxury Clothier

Wal-Mart Self-Checkout

Wal-Mart Self-Checkout.
Wal-Mart first opened its doors in 1962 in Rogers, Arkansas by founded Sam Walton and his wife Helen. Due to the fact that he was paying for the stores out of his own pocket, by 1972 Walton had only opened a total of fifteen Wal-Marts. In 1972, stock was offered on the New York Stock Exchange, which allowed Walton to increase the amount of stores to 276 in eleven states. In 1988, a Supercenter opened, which consisted of a grocery section and various departments of other necessities. By the 21st century, more than 7,800 stores had opened up, becoming one of the quickest growing chains of retail stores.
Before technology became as advanced as it is now, Wal-Mart used to consist of only the employees tending to the customers. Besides stocking shelves and keeping the stores clean and up to health codes, the employees would also be the ones working the cash registers and assisting customers with their purchases. Now, however, many stores have opened their arms to the new technology that allows customers to check themselves out by means of self-checkout counters and conveyor belts. It can be debated, though, whether or not this change in technology is for the better.
Some of the positive aspects of self-checkouts are the smaller lines at the traditional checkout counters, the wider availability of open registers and therefore less wait time, all of which are convenient for the customers. Customers find self-checkouts to be convenient because they do not have to put up with others, customer and employee alike, and get out of the store in their own time. Also, since less cashiers are required for checkout, more can be tending to keeping the shelves stocks and the aisles orderly. The are also negative aspects to the self-checkout.

When an inexperienced customer attempts to use the checkout, they tend to cause similar delays that would take place at a monitored checkout stand. This defeats one of the purposes of the self-checkout unit. The scales on the checkout stands also have the habit of falsely reporting what has or has not been scanned, or what has or has not been bagged. When these situations occur, a monitor has to come over and set things straight; it is not something that a customer can do on their own unless they are proficient at using the machine.
The biggest downfall of self-checkouts is how vulnerable they are to shoplifters. The machine is unable to pick up on the actual item that is being purchased; it depends solely on the barcode that it scans. In 2007, a man switched the price tags between a DVD and a plasma television and attempted to purchase the television at the same price as the DVD (Associated Press, 2007). The machine does not know what the person is actually purchasing, just that something is being scanned. With the self-checkouts, cashiers have been replaced by automated voices, touch screens, and weight sensors.
A person scans their items, is prompted to select the specific item when scanning produce, bags their items which are weighed by the scale to make sure that they have been placed in the bag, then given their total. They insert their money into the machine, are given their change and receipt, and are then sent on their way. The self-checkout machines rely heavily on sensors to pick up the products and to take and dispense the money (Webster, 2006). The biggest change in technology is how sensitive it has become.
A job that used to be done, or needed to be done, rather, by a human is now being taken over by a complex machine with only a few flaws. The technology has now allowed the customers to be in charge of their complete shopping experiences. What does work with this kind of technology is that it makes shopping and checking out faster and more convenient. What does not work is that shoplifting schemes have been taken to a whole new level. With the convenience comes a price if someone is able to make off with something bigger than what they paid for.
In this case, sometimes convenience and the easy way out are not the best options.
References
Associated Press. (2007). Man pays $4. 88 for plasma TV at Wal-Mart. San Francisco Chronicle. Retrieved April 20, 2009, from http://www. sfgate. com/cgi-bin/article. cgi? f=/n/a/2007/06/28/national/a141024D56. DTL. Webster, M. (2006). What’s next for self-checkout technology? Digital Signage Association. Retrieved April 21, 2009, from http://www. selfserviceworld. com/article. php? id=4790.

Wal-Mart Self-Checkout

Walmart 2012

Walmart 2012.
Introduction Walmart has more than 10,020 retail units which is spread across 28 countries and operates under 60 banners. It sells both by brick and mortar (traditional stores) and Brick and click (e-commerce) formats. The average size of each Walmart store is more than a 1, 00,000 (1lac) square feet. Its store operations are categorized into following. 1. Walmart discount stores 2. Walmart super centers 3. Walmart neighborhood markets Walmart express stores Marketing Mix: Product and branding strategies (appropriate service strategy if the company has a consumer orientation).
Walmart is a multinational retailer; in short it has every product or a brand which a person could see in his day to day life. The broad range of product categories include movies, crafts, gifts, college essentials, Electronic items, home appliance, jewellery, photo centre,  toys, outdoor living, funeral, grocery, video games etc Pricing strategies. Walmart business model doesn’t include manufacturing of any product; it procures products across the globe in large quantities in order to enjoy benefits of economies of scale. This makes price of Walmart to offer products at 15% lower price than other retailers.
Walmart uses different pricing concepts to get focus of the customers and compel a purchasing behaviour through discount strategies. Sam Walton coined the term “Always lows prices” and “Everyday low prices”; according to this each product is offered at different discount prices based on the time and demand of the hour. The consumer electronics are offered at a very low price compared to other retailers. Supply chain strategies (how they place the product in the market). Walmart has been able to assume market leadership position primarily due to its efficient integration of suppliers, manufacturing, warehousing, and distribution to stores.

Its supply chain strategy has four key components: vendor partnerships, cross docking and distribution management, technology, and integration. Walmart’s supply chain begins with strategic sourcing to find products at the best price from suppliers who are in a position to ensure they can meet demand. Walmart establishes strategic partnerships with most of their vendors, offering them the potential for long-term and high volume purchases in exchange for the lowest possible prices. Suppliers then ship product to Walmart’s distribution centers where the product is cross docked and then delivered to Walmart stores.
Cross docking, distribution management, and transportation management keep inventory and transportation costs down, reducing transportation time and eliminating inefficiencies. Technology plays a key role in Walmart’s supply chain, serving as the foundation of their supply chain. Walmart has the largest information technology infrastructure of any private company in the world. Its state-of-the-art technology and network design allow Walmart to accurately forecast demand, track and predict inventory levels, create highly efficient transportation routes, and manage customer relationships and service response logistics.
Wal-Mart’s supply chain management strategy has provided the company with several sustainable competitive advantages, including lower product costs, reduced inventory carrying costs, improved in-store variety and selection, and highly competitive pricing for the consumer. This strategy has helped Walmart become a dominant force in a competitive global market. As technology evolves, Walmart continues to focus on innovative processes and systems to improve its supply chain and achieve greater efficiency. Integrated marketing communications.
Walmart’s Integrated marketing communication is their  approach to achieving the objectives of a Marketing campaign , through a well coordinated use of different promotional methods that are intended to reinforce each other. Integrated marketing includes discipline communications advertising, public relations personal selling  and sales promotion. These methods help the corporation bring a better understanding to the consumer  this way they we will know which products best fits the consumers needs. Walmart usually does this through the tv commercials,online website,and weekly circular.
Their tv commercials usually show items that are popular and are at a cheaper price then their competition this helps them to get better sales. http://stylesmar100-blog. blogspot. com/2011/11/chap-16-integrated-marketing. html Promotional strategy. Walmart has its own in-store promotional activities which includes sales promotions through product bundling and its pricing strategies. The online store of Walmart earns major revenues from through customers placing online gifts. The pricing strategies adopted by Walmart like “Everyday low prices”, “value of the day” increases the sales turnover.
The online store uses strategies to pull customer by attractive slogans like ‘Grab it before it’s done’ which pushes customer to take a purchase decision immediately before the deals get expired. The company’s presence in domestic and international markets. Walmart operates stores in 27 countries under 69 different banners. Learn more below about our store formats around the world. Walmart began building Supercenters in 1988 – a decision that led us to become the nation’s largest grocer. Today, there are more than 3,000 Supercenters in the U. S. Each store is about 182,000 square feet and employs bout 300 associates. Today, we operate more than 600 discount stores. There are now about 200 Neighborhood Markets in the U. S. The company’s vision and execution of strategy that set its direction. Wal-Mart’s advertised mission statement and its advertising slogan are the same: “We save people money so they can live better. ” “If we work together, we’ll lower the cost of living for everyone…we’ll give the world an opportunity to see what it’s like to save and have a better life. ” The company’s plans for growing and servicing its customer base.
In order to fulfill its mission, Wal-Mart has developed some unique, policies, principles, rules, processes and procedures, the sum total of which form the Wal-Mart stores corporate culture: 4. Open Door Policy – Managers’ doors are open to employees at all levels 5. Sundown Rule – Answering employee, customer, and supplier questions on the same day the questions are received 6. Grass Roots Process – Capturing suggestions and ideas from the sales floor and front lines 7. 3 Basic Beliefs & Values – Respect for the Individual, Service to our Customers, Striving for Excellence 8. 0-Foot Rule – Making eye contact, greeting, and offering help to customers who come within 10 feet 9. Servant Leadership – Leaders are in service to their team Wal-Mart Cheer – An actual structured chant that was created by founder Sam Walton to lift morale every morning http://www. usanfranonline. com/wal-mart-successful-supply-chain-management/ http://www. marketing91. com/marketing-mix-walmart/ http://retailindustry. about. com/od/retailbestpractices/ig/Company-Mission-Statements/Wal-Mart-Mission-Statement. htm

Walmart 2012

Wal-Mart: Ethical or Unethical

Wal-Mart: Ethical or Unethical.
Wal-Mart: Ethical or Unethical? Almost everyone living in North America undoubtedly knows what Wal-Mart is and has already conceived some sort of opinion, whether it is good or bad. On one hand people complain that they are ruining competition, they are treating their employees’ terribly or that they are given extreme unfair advantages that no other company receives.
However, on the other spectrum there are those that believe in the free market, as well as those that say Wal-Mart is cutting down the cost for low to average income families’ cost of living or even those who claim that although wages are not perfect they are in fact employing a large amount of people whom would otherwise not have a job. Whichever end of the spectrum your beliefs may lay, there is no doubt that Wal-Mart does create very affordable prices for those families in need; however are these incredibly low prices taking an even greater toll on Wal-Mart employees and community members?
Throughout this paper we will explore the two main ideas of whether Wal-Mart’s way of conducting business is ethical or unethical, and let you decide which end of the spectrum you are on. The American Economy is built upon Capitalistic Principles. American’s have pride in their free market economy with the largest GDP in the world. Income in a capitalist system takes at least two forms, profit and wages. Profits are used to expand a company, creating more jobs and wealth. Every company’s primary goal is to produce profit. The means by which each company produces profit contrasts in accordance with the market said company is in.

Companies can attempt to differentiate themselves in their business model but generally certain sectors of the market produce similar profit strategies. Wal-Mart’s strategy relies upon low-wage labor by discouraging the unionization of its employees. Wal-Mart’s strategy of low-wage labor to reduce their costs is hardly unique. Wal-Mart’s competitors: Target, Kmart Corp. and Home Depot all pay similar wages and give comparable benefits. Competition arises when more than one producer is trying to sell the same or similar products to the same buyers. Competition leads to innovation and more affordable prices.
Economic freedom is afforded to the private sector (such as Wal-Mart, Kroger, etc. ), allowing the private sector to make the majority of economic decisions in determining the direction and scale of what the U. S. economy produces. Relatively low levels of regulation and government involvement enhance this. Although Wal-Mart’s revenues are greater than the combined sales of its top competitors Target, Sears Roebuck, Costco Wholesale, Home Depot and The Kroger Co, Wal-Mart needs to continue its business strategy (including low-wages) in order to keep the edge it has built.
Wal-Mart is one of the biggest employers in the United States, with 1. 4 million associates. Wal-Mart is not only one of the largest employers in the United States but the largest in Mexico and one of the largest in Canada. Wal-Mart is also a diverse employer with more than 257,000 African American associates, more than 41,000 Asian, 5,900 Pacific Islander, 171,000 Hipic, 16,000 American Indian, and 869,000 women associates. Along with the diverse employment the majority of the employees work full time. Wal-Mart full time average hourly wage is $11. 5 and is even higher in urban areas. Employees can receive performance-based bonuses and receive opportunities for advancement. Wal-Mart grants “full time” benefits to those working as little as 34 hours per week, but does not limit workers to just 34 hours per week. Wal-Mart has a health care benefit for all of its employees and recently announced that over 1. 2 million associates are covered under its healthcare program and the number of uninsured associates dropped by nearly 25 percent in the past year and more than 40 percent between 2007 and 2009.
Both full time and part time can be eligible for health benefits. The benefits are for all levels of the company from the part times workers to the full time managers. Along with all the health care benefits, Wal-Mart also added a new program called “Life with Baby,” in which the program helps mothers and their babies get a healthy start for the child’s life. Wal-Mart saves money for families. Wal-Mart has health care benefits for 94. 5 percent of their employees worldwide. One of Wal-Mart’s biggest goals is to save families money.
In 2006 Wal-Mart saved American families on average $2,500. Saving money means more money in consumer pockets, which also in turn mean more business for other businesses. Wal-Mart is helping the economy by saving money for families with their lower prices. First of all, according to the document Wal-Mart provides unequal salary payment to men and women. The company uses gender discrimination to scale the wage difference to pay for it employees, which is unethical for employees’ job opportunity.
Moreover, it is unfair when both men and women do the same job in the store, but women get less money than men do. In 2001, six women sued Wal-Mart in California claiming the company discriminated against them by systematically denying them promotions and paying them less than men. The lawsuit has expanded to potentially the largest class action in U. S. history – on behalf of more than 1 million current and former female employees. While two-thirds of the company’s hourly workers are female, women hold only one-third of managerial positions and constitute less than 15 percent of store managers.
The suit also claims that women are pushed into “female” departments and are demoted if they complain about unequal treatment. One plaintiff, a single mother of four, started at Wal-Mart in 1990 at a mere $3. 85 an hour. Even with her persistent requests for training and promotions, it took her eight years to reach $7. 32 an hour and seven years to reach management, while her male counterparts were given raises and promotions much more quickly. Secondly, the Chinese employees working for 24 hours a day and seven days a week all year round, and their wage is about $3. 0 per day. The company has factory in China and it offers a low quality of life and poor work environment. Wal-Mart also charges apartment and utilities fees from the factory workers before paying their salaries. Moreover, if the workers want to move out from the dorm, they still have to pay for the apartment rent to the company. Wal-Mart is paying eleven million dollars to settle Federal allegations it used illegal immigrants to clean its stores and also Wal-Mart is facing a class-action lawsuit for discrimination against $1. 6 million former and current female employees.
Wal-Mart keeps its wages low even by general industry standards. The average supermarket employee makes $10. 35 per hour. Sales clerks at Wal-Mart, on the other hand, made only $8. 23 per hour on average, or $13,861 per year, in 2001. About one-third of Wal-Mart’s employees are part-time, restricting their access to benefits. These low wages complicate employees’ ability to obtain essential benefits, such as health care coverage. All in all, Wal-Mart’s success has meant downward pressures on wages and benefits, rampant violations of basic workers’ ights, and threats to the standard of living in communities across the country. The success of a business need not come at the expense of workers and their families. Such short-sighted profit-making strategies ultimately undermine our economy. In conclusion, Wal-Mart is undoubtedly making the lives of millions of consumer’s much easier, but is it coming at too big of a cost to those that are employed by them? This is really the basis of the whole ethical versus unethical argument, and in the end both sides will probably never be able to come to an agreement.
The fact of the matter is this, in order for a corporation to grow to the magnitude of Wal-Mart there has to be millions, if not billions of people who continue to shop there and keep putting their money into it. So the next time you are at Wal-Mart you need to ask yourself, is this low price coming at too high of a cost to employees and community members? If the answer is no, then purchase that item, but if the answer is yes go ahead and walk out of the store to shop somewhere else. Just remember with whatever decision you make, the decision is always yours to choose where you will consume.

Wal-Mart: Ethical or Unethical

Wal-Mart and Nordstrom

Wal-Mart and Nordstrom.
Wal-Mart and Nordstrom are well known companies and established brands listed on Fortune 500 list. Wal-Mart caters almost all needs of its customers from grocery to clothing while Nordstrom operates in fashion retainging industry. It keeps collection of more than 500 brands in its store.
Wal-Mart
Wal-Mart is the largest retailer in America. These discount stores became part of American’s life in 1960s. At present it is operating in 15 countries, it employs more than 1.8 million associates worldwide. The number of stores is nearly 6,500 stores and serves more than 176 million customers per week.

The “most admired retailer” according to FORTUNE magazine has just completed one of the best years in its history: Wal-Mart generated more than $312.4 billion in global revenue in the fiscal year ended January 31, 2006, establishing a new record and an increase of 9.5 percent. The company earned almost $11.2 billion in net income in fiscal 2005.[1] Wal-Mart has gone through considerable changes through the year 2003-04. Wal-Mart had increased its advertising budget by $434 million between 2003 and 2004.
The mission of Wal-Mart has been to provide good jobs, good works, and citizens and do good investments in 2004. The vision of Wal-Mart has always been to provide customer each and every product at the lowest price. Wal-Mart focused on cost cutting by its strategy on the merchandise mix and various operations. It utilized its database for consumer and requirement analysis. This helped it to understand the demand pattern of various products and helped in inventory management to make products available when customer wanted it most.
The marketing activities revolve around the equation
People+ Price+ Product=Value.
Company’s promotional strategies are not limited to a particular source. Company has utilized all the traditional and modern channels to reach its customer with its best offers. Wal-Mart adopts simple price promotion strategy in all its strategies. Its website is colorful attractive and displays various products and offers in each of its web page. Wal-Mart uses billboards and signboards which are placed at the public places and the places with high visibilities. The pamphlets and print materials are used for both in side the store promotion as well as outside the stores.
Nordstrom
Its one of the largest fashion retail stores in US. Its annual revenue is $7,722.9 million. It is ranked 8th in the general merchandiser group of fortune 500 companies.
“Today, Nordstrom has grown from one downtown Seattle shoe store into a nationwide fashion specialty chain with renowned services, generous size ranges and a selection of the finest apparel, shoes and accessories for the entire family. The company’s philosophy has remained unchanged for more than 100 years since its establishment by John W. Nordstrom in 1901: offer the customer the best possible service, selection, quality and value.”
This claims to provide branded clothes in the best minimum prizes. It adopts various promotional strategies for the promotion of its store. These strategies include electronic medium such as internet and computers, events and programs and printed materials. Events like designer clothes events, in store beauty events, sales events and many others. The web presence of the Nordstrom’s website is elegant. It also works as a platform for the promotional strategies.
Currently $ 5 shipping campaign is going on this website.  Its webpage has various attractive pictures creating interest about the products as well as self promotion of the company. It has its own e-catalogue which list all its product and accessories for the information and shopping purpose.
Each of the company uses almost all kind of promotional tools to reach their target consumers and other stake holders. The use of web pages in both the cases has been different with similar objective of attracting consumer and selling. However the e-catalogue of Nordstrom and images used in the website is more urban and attractive. Wal-mart tries to attract mass and it is evident from its website presentation. Nordstrom conducts various events as one of its most important promotional strategies.
Reference:
Kotler, Philip, Marketing Management, Prentice-Hall Inc. New Jersy, 10th Edition, 2000
Nankani, Economic Growth in the 1990s: Learning from a Decade of Reform retrieved on 22 January 2007  from http://www1.worldbank.org/prem/lessons1990s/chaps/01-Ch01.pdf
Serres, Chris Target vs. Wal-Mart, Is Target Corporation Any Better for Workers? May 22nd, 2005 retrieved on 22 January 2007   from http://www.reclaimdemocracy.org/walmart/2005/target_better.php
http://investors.target.com/phoenix.zhtml?c=65828;p=irol-newsArticle;ID=233786;highlight=accessed on 22 January 2007
http://www.sathguru.com/Note_on_Retail_Industry.pdf accessed on 22 January 2007
http://money.cnn.com/magazines/fortune/fortune500/snapshots/957.html accessed on 22 January 2007
http://about.nordstrom.com/aboutus/companyhist/companyhist.asp accessed on 22 January 2007
[1] http://walmartstores.com/GlobalWMStoresWeb/navigate.do?catg=5

Wal-Mart and Nordstrom

Wal-Mart Effects the Economy

Wal-Mart Effects the Economy.
Jim Lee Eng 101: Reames December 2, 2010 Wal-Mart Greatly Impacts the U. S. Economy Is Wal-Mart ruining the local businesses in America? Most professional business men can agree that Wal-Mart affects the United States economy in many different ways. Wal-Mart is an American public corporation that runs a chain of large, discount department stores. It is the world’s largest public corporation by revenue according to the 2008 Fortune Global 500. However this corporation has contraverisal issues about how they do their sales and the long term affects they put in the economy.
Professionals will agree that Wal-Mart has hurt many community businesses as Wal-Mart open in areas around them. There have been common statistics for when a Wal-Mart opens and the affect they have. This paper focuses on the affect Wal-Mart has in rural areas and the views of professionals intake on this topic. Also this paper will feature how Wal-Mart will affect our feature. The target audience for this paper is people who are interested in the learning of the affects of large corporations vs small businesses.
When analyzing the affects of Wal-Mart many researchers will agree with the fact that small businesses lose revenue when big corporation buy for low and sell also low to beat the competition. Stone (1997) states that “Studies in Iowa have shown that some small towns lose up to 47 percent of their retail trade after 10 years of Wal-Mart stores nearby” (Pg. 2). That is a big statistic to take in as the community will suffer from a high loss of the money for the community.

Also the small business helps keep the economy in flow and when small businesses start to fail, people start losing jobs and people will move out of communities which hurts the communities. Stone (1997) comments that “It is believed that this decline in sales happened because Wal-Mart placed its own stores too close together, causing a predatory effect” (Pg. 6). This statement is true because Wal-Mart uses the predatory effect to drive competitors out of business. The predatory effect is the practice of selling products and services at a very low price intending to drive competitors out of business.
That is how Wal-Mart has been dominant because of their ability to sell prices so low to attract consumers to continue to shop at Wal-Mart. Wal-Mart can do this because by attracting consumers to buy certain products at a lower price that other products are raised in value and consumers will shop throughout the store. The key is to get consumers to come to your business and Wal-Mart has almost perfected that. Overall Stone would agree with the idea of Wal-Mart is ruining the local businesses around America as Wal-Mart has become a fully national chain.
Understanding this topic would be important because it can tell what we will see in the future of the economy. Many would agree with Stone like Goetz and Swaminathan with the fact Wal-Mart has effects in local communities. Goetz and Swaminathan (2004) states that “We offer three possible explanations for this finding, including that Wal-Mart stores destroy civic capacity in the communities in which they locate by driving out local entrepreneurs and community leaders” (Pg. 2). This statement connects with Stone as well as my point of view of this topic.
Wal-Mart has downgrade the middle class economy with their style of retail sales and buying cheap products over seas. Goetz and Swaminathan (2004) quotes that “Local leaders and academic researchers are increasingly interested in the community-level effects of “big box” retailers and discount department stores” (Pg. 3). This has potential to have a positive outcome because America will realize that Wal-Mart has affected the United States so greatly that the government needs to step in and control how Wal-Mart conducts business.
Wal-Mart has received considerable and mostly negative recent public media and Congressional attention, in addition to spawning a number of hostile web-sites as Goetz and Swaminathan (2004) reports (Pg. 3). It is good that people are realizing this and speaking out about this effect on our economy. This will get this phenomenon brought up to the government level and will be talked about to high levels of authority. Goetz and Swaminathan are professionals that agree with my idea of local businesses being destroyed by Wal-Mart.
Common views of professionals will agree that our economy is partly affected by the Wal-Mart effect. Neumark, Zhang, and Ciccarella (2005) will agree with Stone, Goetz, and Swaminathan by saying that “We estimate the effects of Wal-Mart stores on county-level employment and earnings, accounting for endogeneity of the location and timing of Wal-Mart openings that most likely biases the evidence against finding adverse effects of Wal-Mart stores” (Pg. 1). This is another common aspect of all these professionals with the idea that there is a negative effect behind the openings of Wal-Mart.
All of the effects found are common as they reduce local businesses around new Wal-Marts. Neumark, Zhang, and Ciccarella (2005) quotes “ Yet two of the most commonly-heard criticisms are that Wal-Mart eliminates more jobs than it creates for a community and that Wal-Mart’s wage levels pull down standards for all workers—not simply creating low-wage jobs, but driving down wages” (Pg. 1). Not only is the Wal-Mart effect destroying the local businesses, Wal-Mart does not help create more jobs for the jobs it loses in the community.
Also Wal-Mart does not pay its workers a good wage. That can greatly affect a community because the citizens within that community will not have money to buy products, keeping the flow of the economy going. Neumark, Zhang, and Ciccarella (2005) also agrees on my idea of the topic of Wal-Mart by stating “There is also an academic literature on the impact of Wal-Mart stores, focusing on the effects of Wal-Mart openings on local employment, retail prices and sales, poverty rates, and the concentration of the retailing industry, as well as the impact on existing businesses” (Pg. ). They are basically stating that Wal-Mart impacts many aspects of the economy because of how Wal-Mart conducts business. Also that the impacts are not in positive ways in which they should be when new competition arises. The fact that Wal-Mart beats out its competitors really easy is a scary weapon that Wal-Mart can abuse. In which they have abuse their power to buy bulk supplies by demanding the prices of whom they buy from instead of negoicating. Neumark, Zhang, and Ciccarella can all agree that Wal-Mart is ruining the local businesses in America.
Furthermore into this topic, most professionals will all conform that Wal-Mart affects the economy in more negative ways then positive. Arindraji, William, and Barry (2007) states that “estimates that exploit the spatial diffusion of Wal-Mart stores find that a single Wal-Mart store opening reduces the average retail earnings in a county by 0. 5 – 0. 9 percent” (Pg. 4). This is not good for any economy that when a new business is open that the average retail earning is lowered instead of increased. This just means that when Wal-Mart opens it loses more of its competitor retailers then what Wal-Mart gains.
Ten new Wal-Mart stores in a state are found to reduce the average hourly wage of retail workers by around 2 percent as purpose by Arindraji, William, and Barry (Pg. 4). Wal-Mart should be able to pay their workers better if they are finacnically doing well as they are ranked number one in the Fortune 500 list. They are the number one ranked corporation and they do not pay their employers above the average. Wal-Mart has been making money other then the products and services they provide. As Wal-Mart can see that they can pay their workers the minimum wage and get away with it, while making billions of dollars world wide.
Arindraji, William, and Barry will confirm that Wal-Mart has been greatly impacting the economies in the where abouts they consult business. Wal-Mart has been overly competitive with the prices they put on the products and drive competition out of business. In the Lansing State Journal, Domsic reports that “The recent closings of three locally owned grocery stores reflect a traditional grocery sector struggling to compete with big-box stores and the growing number of pharmacies, convenience stores and other shops that have added more food to their lineups. The big box stores they are talking about are Wal-Mart, Meijers, and Kroger. Those stores have been competing with each other to cut prices really low, beating out the other local businesses. Competition is good but what happens when there is no competition? Then those who have beat out the other competition will have a garentee chance to always survive in the economy and basically take all the consumers in the area. Domsic also comments “bigger players have beefed up their food lines or cut prices as they vie for Lansing-area shoppers. The bigger players are the Wal-Mart, Meijer, and Kroger and they are competing fiercely for consumers. Even though competition is good, it is bad when some of the competition disappears from the market. Although there are many cons of Wal-Mart, Wal-Mart has many benefits as they provide low costs of products they sell. Irwin (2007) reports that “Wal-Mart’s food prices are estimated to be 8% to 27% lower than large supermarket chains for an identical market basket across different U. S. metro areas” (Pg. 1). This is a benefit for the lower and middle class to try and save money in these rough times in the United States.
That is why consumers are attracted to shop at Wal-Mart because you can save money and be able to buy other things. Irwin expresses this benefit as “This has generated tremendous savings for Wal-Mart consumers by offering lower priced goods in the community, and generating competition among retailers” (Pg. 1). Wal-Mart creates unbelievable savings for its consumers therefore keeps the competition alive for Wal-Mart’s competitors. Also that competition is very good for the economy in the United States. Those are some ways that Wal-Mart impacts the business industry in positive ways.
Those are not just the ways that Wal-Mart has benefited America. Wal-Mart has helped personal income and employment. Riper (2008) quotes “The study shows that between 1985 and 2003, personal income, overall employment and retail employment grew faster in counties with a Wal-Mart than in those without one. ” This means that the more Wal-Mart is built around the United States and other countries that it will benefit income of people and help raise employment in the area. That is a good because then people would have more money to help keep that economic flow in communities going.
Also the rise in employment will improve the surrounding unemployment of the location Wal-Mart is around. Nearly 90% of the U. S. population lives within 15 miles of a Wal-Mart store, and two-thirds of all retailers are located within five miles of one as Riper reports. That means a vast majority of America is surrounded by a Wal-Mart close by. This is good for Wal-Mart as they can be easily located and can be accessible to almost anyone. Wal-Mart is everywhere and that is a huge benefit Wal-Mart has over its competitors.
Wal-Mart has brought up some good positive impacts as there are aproximatly 3,600 Wal-Marts in the United States. One of the impacts is the amount of jobs each Wal-Mart creates as Wal-Mart’s site cites “Approximately 350 new positions will be needed at the store (a majority of those positions will be full time). An additional 100 construction jobs will be created. ” That means there are 1. 26 million jobs in America that are in the Wal-Mart industry. Also that 360,000 construction jobs was created for the building of Wal-Mart.
As long as Wal-Mart is doing well with profits, they will continue to expand new Wal-Marts. This will mean more jobs in America. Another good impact Wal-Mart has is how they provide savings to consumers as the Wal-Mart site reports “Studies have shown that Walmart stores save the average household $3,406. 00 a year. Customers can purchase over 300 generic pharmaceutical drugs for just $4. 00 or less. ” The amount you save at Wal-Mart builds up as you can see. That helps citizens save money if there income is sufficiently low or on certain budgets.
Not only do Wal-Mart provide savings for its consumers and employment, Wal-Mart has been involved in the environment by stating that “Wal-mart is leading a global sustainability effort to reduce energy consumption through a variety of initiatives that will also be used at this store. The store will purchase a number of grocery and garden products locally to save energy costs and support the local economy. ” That helps Wal-Mart with its community respect to be involve and not just a average corporation that does not care about the itself.
Also this tells that Wal-Mart cares about the environment and not just making profits. Overall, Wal-Mart is a benefit to the American economy. Wal-Mart has not been selfish at all in communities like Landover Hills. Wal-Mart has started up a program to help local businesses. Mui reports that “Wal-Mart said it would offer free advertising to local stores and seminars on how to do business and even compete with Wal-Mart. ” This is something that is rarely done in the business world. A competitor helping another competitor out.
This would help competition around the area and benefit the local stores into competing with Wal-Mart. Many people think having Wal-Mart around is a benefit. Mui quotes “Other store owners credit Wal-Mart for boosting their sales, through both its proximity and community outreach programs. ” Local businessmen are claiming that having a Wal-Mart around is a benefit. Somehow Wal-Mart has continue to benefit some people while some others do not believe so. Wal-Mart has brought up many views on how they affect the competition and how the employment is affect in several different ways.
My opinion on Wal-Mart is that Wal-Mart is destroying the American middle class slowly every year. Wal-Mart closes individual business owners and reduces competition in which an economy like America, competition keeps the economy in steady flow. Also that they are like a monopoly to me. Wal-Mart is not just a discount retail store. They provide all sorts of different services like eye examinations, haircuts, predacures, and they can provide and activate cell phones on the Wal-Mart plan. Wal-Mart is exploring all markets and providing them into their own stores.
That is not a good impact because Wal-Mart already dominates in the retail store and driving other retail stores and local businesses out of work, so providing these services just keeps Wal-Mart in benefits from those services. I believe that the government needs to take a bigger stand on what Wal-Mart can do because Wal-Mart has been changing so rapidly and dominating any corporation out there, that the government should regulate how they buy supplies. Wal-Mart buys most of their products for their shelves from China for low prices.
Thus, making a lot of job losses in America. How can an American corporation do this to America? Wal-Mart also does not have health benefits for its workers and Wal-Mart pays low wages for its workers. That does not help out the working class of the United States. Our economy is not doing so well right now as we are in debt from war. Wal-Mart should help stable the economy since they done some damage to the United States in ways the Founder of Wal-Mart should have knowledge about and try to find new ways to conduct business.

Wal-Mart Effects the Economy

Wal-Mart Negotiation Analysis

Wal-Mart Negotiation Analysis.
Although it was several years ago now, in 1988 a 24-year old man was injured at his local Wal-Mart store after tripping over several rocking chairs. The man claims that as he turned the corner of an aisle he tripped over three 1. 5 foot-high children’s rocking chairs, which caused several injuries, some of which were lacerated forehead, several strains and sprains, a jaw injury and even blackout spells (Laska, 2000). This example of a negotiation lawsuit would classify as a distributive negotiation because of several different reasons.
First, the only item of value being discussed is settlement money, and in order for the negotiation to be considered an integrative negotiation, the opposing parties typically have additional items of value to discuss for trade. Also, there is no personal relationship between the opposing sides of the negotiation, which in this particular case are the Wal-Mart Corporation and the injured man. Finally, a distributive negotiation is considered to be a win-lose scenario and clearly, either the man or the Wal-Mart Corporation would win the negotiation.
Originally, the injured man sued the company for $100,033. 57, and although the Louisiana Supreme Court ruled in his favor, the amount was lowered. The jury determined that although his injuries were worth compensation, $73,525. 18 was considered a more appropriate sum. In addition, the plaintiff’s wife was awarded $10,000 for loss of consortium. Even though some people may feel as though an injury due to tripping over a child’s toy is a case that does not hold much water, fortunately for the injured man his case was fairly cut and dry.

The store could have prevented the injury if the rocking chairs were properly displayed. Therefore the store was responsible and held liable. This type of negotiation is intended for the benefit of one party and is typically settled out of court because companies try to avoid court appearance when possible. Integrative Article: NBA Collective Bargaining Agreement Although the National Basketball Association will be facing changes to their Collective Bargaining Agreement within the next year, the most recent negotiation, which is held between players and teams, was held in 2005.
This negotiation is intended to discuss important terms in the players’ contracts, which include salary amounts, length of contracts, rookie salary terms, and salary caps. On the other end of the negotiation, the teams are interested in discussing factors such as trade rules, the escrow level, and the allowed tax on the teams (Morton, 2010). This article demonstrates an integrative negotiation because it is more of a win-win scenario for the opposing parties, which as previously mentioned, include the players and the teams.
Since both parties have much to gain from the agreement, they are willing to put more on the table. Also part of an integrative negotiation, both parties have not only their best interest in mind, but also the interest of the opposing side, primarily because of the relationship established between the two. The players and teams are interested in the well being of each other because both are affected by each other. This demonstrates why distributive negotiations are different from integrative, because there is no relationship between the two parties.
Although integrative negotiations are often successful, most negotiations are distributive because most opposing parties are not interested in the other. This type of negotiation technique is intended for a established pair of negotiators. Examples in the Workplace Considering that I work in a childcare center, negotiation strategies are not commonly used. However, a childcare director would have a few different scenarios in which negotiation techniques could be beneficial.
Although in society today, distributive negotiations are much more common, integrative negotiations are used more often in childcare, in fact, they are used more often in most workplaces. One example of how integrative negotiations are used is through a request for a pay raise. Just like the article examining the NBA Collective Bargaining Agreement, I have used integrative negotiation techniques in the past when I asked for an hourly pay raise. Instead of demanding a raise, which would be more like a distributive negotiation, I discussed how both the center that I work for and myself would benefit from a raise.
I explained what I had to offer the company in exchange for the raise, while the benefit to myself is obviously of monetary value. It is similar to the saying, you will catch more bees with honey than vinegar, I will have more success in getting what I am asking for by being professional and polite than by having high expectations and demanding to get what I ask for. Although both types of negotiation techniques can be successful in the appropriate setting, integrative negotiations are more practical for my line of work.

Wal-Mart Negotiation Analysis

Sears V.S Walmart

Sears V.S Walmart.
1. What ratios are MOST important in assessing current and predicting future value creation for Sears? For Wal-Mart? Sears Sears grew up to the world’s largest retailer by expanding annual sales through diversifying sale products, such as apparel, cosmetics, jewelry, electronics, household appliances, cookware, bedding and hand-tools. This article shows that Sears suffered from a cost increase in 1997, including lawsuits, credit collectibles and sales in Mexico. Besides, the flexible payment facility that Sears offered is also a reason for cost increase. These problems brought Sears with bad debt and hence decreased the cash flow.
The problems of the company came from the liquid market security, so I emphasize the flowing concepts: 1. Profit Margin, ( Net Income / Total Revenue) “It measures how much out of every dollar of sales a company actually keeps in earning. ” This concept is effective to compare similar companies in an industry; a higher profit margin indicates a better leading position in the industry. It is an indicative factor for Sears to forecast its position in this industry 2. Asset Turnover rate ( Revenue/ Asset) This ratio can measure how efficient Sears uses its asset to chase for revenue. . DEBT to Equity Ratio ( Total liability/ equity) (5. 6 in 1997, 6. 3 in 1996)
The ratio of debt to equity measures the risk of the corporation’s creditors and its prospective creditors 4. ROA (Net Income/Total Asset), Since the company has a higher sales in 1997 than the past 2 years but lower net income. To evaluate the performance of the company, we must know how profitable Sears is relative to its total assets. 5. ROE (Profit Margin * Assets Turnover * Leverage Ratio) which is more accurate way to evaluate the performance of Sears in the retailer industry. . Days of receivable Since Sears have a big issue about the credit collection, we need to think about the days of receivable. 7. Liquidate ratio * Cash ratio * Current ratio ( Current Assets / Current Liabilities) (1. 94 in 1997, 1. 90 in 1996) the current ratio is about 1. 9, it indicate Sears is using its liquidity to grow up. * Quick ratio Wal-Mart Wal-Mart was founded in 1962 and has the ROE of 20%. Wal-Mart also offers store Credit Card, but unlike Sears, it is Chase Manhattan Bank rather than its own credit company.

Wal-Mart also boosts the annual sale by diversifying products as Sears does, but Wal-Mart also has different stores to target at the customers of various market segments, such as Wal-Mart Discount Store, Wal-Mart Supercenters and Sam’s Clubs. In order to measure how the performance of the Wal-Mart now and in the future, (Wal-Mart wants in low price and low cost) we need to analysis some financial ratio from the number on books. 1. Profit Margin, (Net Income / Total Revenue) 2. Asset Turnover rate (Revenue/ Asset) this ratio can measure how efficiency Sears to use its asset for revenue. 3. DEBT to Equity Ratio ( Total liability/ equity) . Leverage Ratio ( Long Term Debt / Shareholder) 5. ROA (Net Income / Total Asset), 2. Do you agree with Ravi Suria’s analysis of the credit risks associated with Amazon bonds ? 1 In Ravi Suria’s analysis, “we believe that the current cash balances will last the company through the first quarter of 2001. ” According to Exhibit 12c the cash flow statement, in contrast, the cash balance could last for the first quarter of 2001, when it suffered from 407 losses in operating activities, though positive in investing and financial activities. In summary, Amazon experienced 375 losses in the first quarter in 2001.
Just from the number on the accounting book, we cannot see whether it is wrong or right. We must see the business strategy and where they spent the money, which is the key of the company for the long term. 2 I personal calculate the working capital of the 2000 and 2001 | Working capital ($M)2000| Working Capital 2001| March | 704| 205| Jun | 559| 87| Sep | 504| (21)| Dec | 386| (38)| His analysis was based on the working capital is shirking. The Working Capital table shows a decreasing trend since 2000. I don’t think amazon can still cover the cash flow in 2011 and use its capital efficiently.
However, we cannot only use assumption of Working Capital to analysis a company, we need to look at the strategy, inventory, and so on. As this point, we will know Suria’s analysis is not proper. 3 Suria calculated the inventory as the stable mumble and use the revenue instead of Cost Goods Sold. But the revenue record as the market value, not as cost goods sold can indict the cost for the inventory. Amazon’s revenue varies season by season. We can use COG / average of the inventory to include the seasonal factor, instead of revenue/ inventory. 4 As for the inventory, I think, Suris is misleading by another point.
He only thinks the inventory turnover is very low. However, amazon increases its inventory at the beginning year (from the case, the company only have 4000 books, but later on it run CDs, video, and movie. That’s why amazon has a very low inventory turnover at the beginning years. 5 Suria thinks the Amazon has low “cash flow per unit of product sold”, and he shows us some calculation about his conclusion on page 10. However, this is already a great business mode and strategy in the market. And it has already been proved from the success of Wal-Mart and Costco retailer, which is called “low gross margins”.

Sears V.S Walmart

Wal-Mart Scandal

Wal-Mart Scandal.
New York Times reporter David Barstow uncovered a shocking story against retail giant, Wal-Mart. His investigation started after Wal-Mart shut down its internal investigation over the possible bribery of Mexican officials. Wal-Mart used these bribes to accelerate growth in their Mexican zoning areas. These allegations surfaced when a Hipic lawyer contacted Wal-Mart headquarters in Bentonville Arkansas. This lawyer had inside information on Wal-Mart’s bribes, as he represented them in their acts. He was used as a middle man for Wal-Mart’s payoffs to these officials.
Wal-Mart took action in defending its image. In 2005 the company launched an internal investigation that dug into the operations of Wal-Mart de Mexico. The reports put together obvious signs that the company had, in fact been bribing the city officials to open up zoning areas and to swiftly create building permits. These bribes reported to total above $24 million. Wal-Mart’s lead investigator had this to say after the investigation was conducted, “There is reasonable suspicion to believe that Mexican and USA laws have been violated. When Wal-Mart’s leaders were faced with the decision to continue the investigation, they gave it to Wal-Mart de Mexico to investigate; it was shut down. Wal-Mart didn’t notify Mexican or American law enforcement with the information and none of these wrong doings were brought to the public eye until the publication of Barstow’s article. Wal-Mart would obviously face critical examination by the public if the allegations were true; reasoning behind closing the investigation. Wal-Mart told the justice department that the investigation was unnecessary and the cases were minor where they did occur.
The Time’s had a view in their investigation as they found substantial evidence supporting the bribes taking place. It’s believed that these bribes were the jump start Wal-Mart needed to gain its huge standing in Mexican society. 1 in 5 Wal-Mart’s are located in Mexico. The Times interviewed Sergio Cicero Zapata, who resigned from Wal-Mart de Mexico in 2004. Cicero told them of personal instances of him giving lawyers envelopes of money to pay off government officials. Cicero said that he had done these deals for years while working for Wal-Mart. Along with the information they received from Mr.

Cicero, the times also found government documents with evidence of payoffs. These documents showed that within days of the money being given to the lawyers the permits were granted. The Times have published new stories exposing the company further with deeper information that they have gained through their investigation. Some of the information includes: * Wal-Mart pays $341,000 to officials in Mexico City to build a Sam’s club. The building was put in a densely populated area, and was done without a construction license, or an environmental permit or and urban impact assessment, or a traffic permit. Wal-Mart bribes officials to build “a vast refrigerated distribution center in an environmentally fragile flood basin north of Mexico City in an area where electricity is so scarce that many smaller developers turned away. ” The bribe for this case was $765,000. * A zoning situation in Teotihuacan caused Wal-Mart to make a payment of $52,000 to enable them to build a store near a famous pyramid site. The citizens were enraged by the location of the store but the protests were ignored and the Wal-Mart was built.
The mayor of Teotihuacan spent $77,000 buying and renovating a ranch the next year. Unexpected on a $47,000 yearly salary. * There have also been reports of Wal-Mart building on ancient ruin sites. They have been obtaining the permits to do so illegally. Now that the statements have been made public, Wal-Mart de Mexico has been under investigation by the U. S. and Mexican governments. The leadership is questionable within both Wal-Mart and Wal-Mart de Mexico. The high members of Wal-Mart de Mexico made a choice to shut down the investigation to cover up their tracks.
The consequences of being discovered breaking the law to this extreme would put a huge chip on all of the Wal-Mart leaders’ shoulders. The growth of their business is also at stake. Apparently these bribes played a major role in the expansion of Wal-Marts across Mexico. The leaders located in Arkansas will more than likely be held accountable for irresponsible actions as well. If the allegations are true they could be found out for knowing about the illegal bribes. Ethical issues do not look good for leaders; it can dramatically impact the way the company is viewed.
The actions of Wal-Mart making deals in Mexico could greatly affect the way the company is viewed and its overall standing to the public. With the investigation still ongoing it has yet to be clear what leaders at Wal-Mart are tied to the bribes in Mexico but it is undoubted by the New York Times that there are several people accountable for the actions. It is also possible that Wal-Mart has been doing this in other countries as well, but will only be confirmed when and if the government can obtain the information they need to prove wrong doing against Wal-Mart. Works Cited City. David Barstow; Alejandra Xanic Von Bertrab And James C. Mckinley Jr. Contributed Reporting From Mexico. “Vast Mexico Bribery Case Hushed Up by Wal-Mart After Top-Level Struggle. ” The New York Times. 22 Apr. 2012. The New York Times. 04 Mar. 2013 <http://www. nytimes. com/2012/04/22/business/at-wal-mart-in-mexico-a-bribe-inquiry-silenced. html>. Radcliffe, Dana. “Leadership Lessons From Wal-Mart’s Bribery Scandal. ” The Huffington Post. 16 July 2012. TheHuffingtonPost. com. 04 Mar. 2013 <http://www. huffingtonpost. com/dana-radcliffe/leadership-lessons-from-w_b_1672032. html>.

Wal-Mart Scandal

Current Lawsuits against Wal-Mart

Current Lawsuits against Wal-Mart.
Several cases that had Wal-Mart class action lawsuits pending over unpaid overtime as well. Current Wal-Mart class action lawsuits are that the retail giant has laid some deliberate incentives to management employees to consistently under-staff Wal-Mart stores as well as to pressure employees for them to complete assigned tasks in an off the clock basis. In some instances, employees are allegedly forced to work through mandatory breaks, lunch hours, and after store hours which results into an overworked workforce without an additional pay.
The suits also claim that Wal-Mart as well as its management denies pay through meal and prescribed rest breaks as well as for overtime. Furthermore, employees claim and accuse that Wal-Mart is keeping employees locked in Wal-Mart stores after store hours which is inhumane. Employees are required to remain there after “clocking out” until store managers have checked and approved of the condition of each department (www. lieffcabraser. com/wal-mart. html). The Wal-Mart lawsuits have sought back pay for the hours during which employees were required to work and required to punch out.
This includes overtime and meal breaks that were unpaid as well. The cases in New York and Washington are brought on behalf of current and former employees in Wal-Mart and Sam’s Club stores who have been consistently underpaid and overworked by the national retailer. In fact, an audit in July 2000 of 128 individual Wal-Mart stores found that 127 out of 128 were out of compliance with “company policies” over break time. In 127 stores the employees were not being given and were not taking sufficient breaks.

The internal Wal-Mart audit also found that Wal-Mart workers nationwide didn’t take prescribed breaks over 75,000 times in a one-week period (www. lieffcabraser. com/wal-mart. html). The Washington lawsuit in October of 2004 against Wal-Mart was certified as a class action which included over 40,000 current and previous employees. In 2006, lawyers who are now dealing with lawsuits for up to a million previous and current employees of Wal-Mart sought to consolidate the actions in a Florida court.
The lawsuits, which began with 40,000 employees in Washington have now saturated and continue to increase. An employee who is overworked and underpaid by Wal-Mart may be entitled to separation pay compensation from any of these Wal-Mart class action lawsuits. An employee must seek assistance from a class action attorney as soon as possible to distinguish the appropriate procedure for them to resolve such issue. Wal-Mart stocks its shelves with garments made in Burma.
Brutal repression, widespread human rights violations and a government tied to drug thugs has brought international condemnation of the country’s dictatorial regime. But the record of the Burmese military dictators was not enough, apparently, to keep Wal-Mart, the world’s largest retailer, from stocking its shelves with garments made in Burma (www. lieffcabraser. com/wal-mart. html). For years, Wal-Mart saturated China with airwaves with a massive “We Buy American” advertising campaign, yet it was a mere red-white-and-blue hoax.
The perpetual majority of the products it sold were from cheap-labor “workforce hell-holes” such as China. As Charlie Kernaghan of the National Labor Committee reports, “In country after country, factories that produce for Wal-Mart are the worst,” adding that the bottom-feeding labor policy of this one corporation “is actually lowering standards in China, slashing wages and benefits, imposing long mandatory-overtime shifts, while tolerating the arbitrary firing of workers who even dare to discuss factory conditions.
” (www. lieffcabraser. com/wal-mart. html). Wal-Mart is accused of promoting gun-ownership which implies its unethical stand on deadly firearms. As the USA’s largest retailer, Wal-Mart is surprisingly its biggest gun-seller as well. Lobbyists for strict gun-control and monitoring laws claims that Wal-Mart’s marketing of firearms is irresponsible and is being too lenient in selling weapons to minors which can increase the percentage of juvenile delinquency (www. lieffcabraser. com/wal-mart. html).

Current Lawsuits against Wal-Mart