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Paper Of The Decade

1218 words - 5 pages

The Walmart Act

Wal-Mart is an American multi- cultural corporation. This store chain has been able to bring in millions over the course of a few weeks. Wal- mart has been able to generate such success through a plethora of reasons, such as the ability of keeping prices low inside the store. Also it offers numerous amounts of products, from home goods to sporting goods; Wal- mart is easily considered a “one stop shop.” Wal- mart can attribute an abundant amount of its success to knowing exactly what the customers want. The barcode has been Wal-marts best friend since the beginning of the multi billion dollar business. This barcode allows Wal-Mart to decipher between what its costumers want and don’t want. Also the store consistently offers lower prices than its competitors (target, Sams, and Walgreens). Soon, the customers of Wal-Mart begin to expect the good deals on virtually every product inside of the store. This dependency, then leads to a growing amount of loyal costumers as well as the jump in sales. The lower prices, which are promised to the customers, can be kept around because of the efficiency in Wal-marts products. The promotion of great efficiency allows Walmart to still beat out their competitors, by selling more of the same product for cheap. All of the following are just minor scratches in the surface for what Walmart plans to do to ensure the promotion of productivity. Personally, when asked the question if something is good for Wal-Mart, is it good for America? I would have to answer yes. Walmart is producing objects of quality that consumers actually want to purchase. But on the same note, the cost of this success at which Walmart prides itself on, comes at a price. While Walmart is lowering its prices, by pushing for quantity, many companies may not be able to receive a noticeable profit. Also, by lowering the prices of its items, it then lowers worker standards, leading them to a life of minimum wage. Although Walmart’s everyday low prices are convenient for the consumers, that same convenience is not reciprocated behind the scenes. On one hand you have the positive effects of having low prices, such as the expanding of certain productivity by increasing efficiency; Therefor making every home run a lot smoother knowing that the goods inside of their house are a lot more affordable. From a study done by an accredited MIT economist, Jeremy Hausman, Walmart’s prices are eight percent to 39 percent lower than the prices of its competitors. Making almost everything inside the store affordable for families who are not as fortunate as others families. The negative aspect of the low prices, are the low wages, and for lack of better terms inadequate benefits. “In October 2003, some 70,000 union employees of the nation’s three largest grocery store chains went on strike in southern California over their employers plan to cut wages and benefits.” (pbs). During the time of 2003 Walmart was paying its workers an average of $9.64 per...

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