Preview

Wal-Mart: unethical business practices.

Better Essays
Open Document
Open Document
1404 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Wal-Mart: unethical business practices.
Wal-Mart, the big giant, the place where a lot of people usually do their shopping for the low prices and the variety of products was founded by Sam Walton. Walton was an entrepreneur with an innovative vision, started his own company and made it into the leader in discount retailing that it is today. In fact, Wal-Mart is considered to be the biggest company in the U.S. and it has stores worldwide. According to PBS, "Wal-Mart employs more people than any other company in the United States outside of the Federal government, yet the majority of its employees with children live below the poverty line."(www.pbs.org) In addition, Wal-Mart likes to portray itself as a seller of U.S. manufactured goods but in reality the company has products on its shelves made in foreign countries and at questionable workshops. It would seem that Wal-Mart encourages "made in the USA" but it really encourages products made outside the USA. As a result, Wal-Mart has forced many manufacturers out of business. As a matter of fact, this big giant is facing a significant amount of controversy for unethical business practices. In fact, some of these unethical business practices include the following.

Labor Union Opposition:

Wal-Mart is a non union organization that feels it does not need third party intervention. So, instead of unions, Wal-Mart has an open door policy that encourages employees to take their complaints beyond management. But, according to PBS, the open door policy does little to help its employees but gives the business the leverage it needs to terminate unwanted non compliant help. In addition, Employees start out at lower wages than unionized corporations and end up quitting by the end of the first year. Wal-Mart also prohibits employees from talking to union representatives. It is unethical for Wal-Mart to prohibit employees to talk to union representatives since according to the National Labor Relations Act, employers are not allowed to discourage employees from forming a

You May Also Find These Documents Helpful

  • Good Essays

    The other issue is the company Wal-Mart is not unionized. The workers at Wal-Mart have started to try to create a union. But a union at Wal-Mart was never formed due to the company’s anti-union group that created by Wal-Mart, which employees who voted for the union were fired. Olsson states that "Wal-Mart has responded to the union drive by trying to stop workers from organizing—sometimes in violation of federal labor law" (609). Here she proves that Wal-Mart is against the union and will do what it can to stop one from forming. This…

    • 603 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Sam Walton opened his first store in the 1960’s among a small town in Arkansas. As a known supporter of American manufacturers, Sam Walton promoted American business and economic growth. Throughout the years, the company expanded rapidly, and with the passing of Wal-Mart’s original founder the corporation’s ethics declined. The retail chain we all know of today is not the same as it once had been. Wal-Mart went from a local competitor to the monopolized money hungry corporation that is currently spread across the globe. According to research by the United Food and Commercial Workers International Union, there were over “4,300 world-wide Wal-Mart and Sam 's Club stores” in the year 2003. A documentary titled “Wal-Mart Nation” also states that “Wal-Mart opens a new store every 1.5 days” (Munger). The corporation also shifted their use of American manufacturers to foreign producers along with company expansion.…

    • 2954 Words
    • 10 Pages
    Good Essays
  • Good Essays

    Wal-Mart does not benefit the American economy. It is a privately owned business that was established in 1962 by Mr. Sam Walton in Bentonville, Arkansas. Walton opened Wal-Mart as a one-stop shop providing services at unbeatably low prices. Wal-Mart has opened many stores, and its development dominating most parts of the American society. Arguments have been raised on the implications of these low prices to the U.S economy and its communities. Film maker Robert Greenwald highlights the impacts of Wal-Mart on small American societies in the film, "Wal-Mart: The high cost of low price." Greenwald has covered different aspects of Wal-Mart in the film like increasing government spending, eliminating small business and abuse of workers. According to Greenwald, overreliance on Wal-Mart has negatively impacted the American economy and society, both locally and internationally.…

    • 602 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    According to “The Mounting Guerilla War against the Reign of Walmart” by John Logan and “Labor Takes Aim at Walmart – Again” by Spencer Woodman labor at Walmart is awful, employees in warehouses are working in bad working conditions and workers in the retail stores are not earning the wages they deserve. Woodman’s article talks about the different ways that Walmart workers are treated. The workers affected are not just associates in the stores but the ones who are working in the warehouses that Walmart contracts. This article also talks about the different organization out there that are trying to help the employees. For example, Untied Food and Commercial Workers (UFCW) was trying to help by organizing Walmart when it came to labor laws. There is also a group among the different Walmart’s called OUR Walmart, which is a way of employees to have their voice heard for only five dollars a month. The article also talks about a few different strikes that happen at a few different Walmart’s, and the strikes are generally over working conditions and wages.…

    • 622 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Walmart Ethical Issues

    • 174 Words
    • 1 Page

    There are many discussions and theories of ethical practices regarding corporate social responsibility. When many corporate companies focus solely on their bottom line, many of their leadership and ethical decisions come into question. In particular, Walmart is the largest "big box" retailer in the world doing billions in sales every year with their low price philosophy. Though starting as a humble neighborhood store, Walmart has now become an unstoppable behemoth which many people are now taking a notice of. This paper is about analyzing the Walmart’s leadership and ethical practices. In 2005, Walmart faced various stakeholder problems in spite of its tremendous achievement as a retail brand. Walmart was related to various issues: outsourcing…

    • 174 Words
    • 1 Page
    Satisfactory Essays
  • Satisfactory Essays

    Ethical Issues In Walmart

    • 452 Words
    • 2 Pages

    The company selected for the discussion is Wal-Mart. It is recognized to be an American multinational retail corporation that is into hypermarkets, discount department stores and grocery stores enjoying its presence worldwide. The company works well upon customer’s expectations and wishes and draw in favorable response as well. It turns up very much helpful from the standpoint of realizing greater growth and progress as well. There rests great necessity going for understanding the situation and adapting accordingly.…

    • 452 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Wal-Mart is a nationwide company and is a household term almost everyone knows. Some people find it as a store that tends to help the less wealthy, while others find it to be the complete opposite in aiding underprivileged families. Wal-Mart has different attributes to show that it is a good source of assistance for our society. Those services consist of low prices, a variety of goods, and it provides jobs. These details might be over looked when not observed closely, preventing people from truly appreciating what Wal-Mart is doing for our society. Despite all of the controversy, Wal-Mart is good for America.…

    • 888 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Walmart is the largest American company, a true retail giant. It is a staple to everyday life in American communities across the country. Whether in your home town or traveling out of town one can most often find a Walmart. Each week, more than 245 million customers in nearly 11,000 stores in 28 countries and e-commerce websites in 11 countries. With net sales of $482.2 billion annually, Walmart employs 2.2 million employees worldwide. As consumers we relate to the bright yellow smiley faces, store front greeters and discount pricing signs. It is what we have come to expect for those of us that shop there. Walmart is a place to get more for your hard earned money. Making the consumer a Walmart stakeholder. For years consumers have…

    • 680 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    In 1988 Sam Walton founder of the greatest discount store of all time was awarded a title. Walton’s name was found in Times Magazine as most influential person to have lived in the 20th century. The founder of Walmart’s goal was to achieve having a store that provided“ a one stop shopping center, with an unlimited supply of product at unbeatable prices”. What Walton failed to foresee, was the destruction and, negative effects that his business would bring all over the globe. Is it possible that the biggest company in the world could bring harm to there own employees? The answer is yes; they would and continue to do so. They come into cities affecting a large amount of members in the communities; right after settling in they do a great deal of damage. Walmart is a supermarket that changed the industry of retail, though it ended up ruining the lives of thousands of hard working citizens. These people are Americans who want to keep a job but have to endure inexcusable treatment from Walmart. Employees have been treated so poorly that lawsuits and protestors around the world have come to stand outside of the nearest Walmart in town to protest. The negative affect of these huge supermarkets led to the spiral of many great pharmacy’s, clothing, hardware stores etc. These types of stores went down the drain as soon as “Big Walmart” came into town. Since the existence of Walmart it has challenged communities big or small to stay open and keep there employee’s wages down and there cost of merchandise down, leaving the other store owners with no profit forcing them to close down. This is the only way Walmart has operated and that’s lowering cost and making sure all other surrounding competitors shut down. Some do not speak up because as a consumer, they do not see a reason to why they should complain if what they are buying is a complete bargain. That way of thinking keeps many unemployed and many Walmart workers receiving the same…

    • 1497 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    If it doesn’t benefit them, then they’re not interested. In 2008 a Minnesota judge ruled that Wal-Mart had violated labor practices more than two million times by forcing workers to work off the clock without pay and not allowing them time for breaks. In 2000, Wal-Mart settled out of court with 69,000 workers in Colorado who also claimed they had been force to work off the clock. In 2005, they were forced to pay 172 million dollars to 116,000 California employees who had been denied a lunch break on shifts over six hours. In total, Wal-Mart has 53 class action lawsuits over wage and labor violations in the United States. This is not necessarily a massive impact on the economy because these workers aren’t paid a great sum of money, but a company that is willing to compromise the very thing that makes them able to operate in order to try to squeeze a little more profit out of their books is not the kind of place that I want operating in my America.…

    • 853 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Walmart is the largest retailer in the universe and has the most jobs in the private sector currently. They presently have more than 2.2 million people employed worldwide. With a large amount of money, stores, and influence, they have been part of thousands of legal issues. Over the past 10 years, Walmart has put out of business a number of individuals by having the same products at a lower price. They have not only shut down a number of businesses due to the undercutting of competitor prices but they also made a great deal of people lose higher paying jobs during their expansion to pay their employees very low wages with marginal benefits (Logan 2014). Walmart has seen a great deal of external social pressures however we will focus on the external social pressures they have encountered due to their direct effect on the economy. Since Walmart is a big factor in regards to the economy a number of people look to them for assistance in acquiring a job. Nonetheless, Walmart has impacted the economy by not offering well-paying jobs to employees and having very…

    • 977 Words
    • 4 Pages
    Better Essays
  • Good Essays

    This means no benefits for that 40% of workers. Nearly all of these people working for Walmart make unfair wages and low hours and they can’t fight Walmart on this. A lot of times the places Walmart puts out of business are the places with high wages and good benefits. None of the thirty thousand stores have formed a union, money managers are trained to break up union talk. Walmart heard rumors of a possible strike on black friday. Walmart's employees found a union to help back them in the decision so that the employees could get higher wages and more full time positions. This didn’t happen because Walmart is prepared for situations like this and management is trained to diffuse union…

    • 1896 Words
    • 8 Pages
    Good Essays
  • Powerful Essays

    Since its establishment in 1962, Wal-Mart has grown to be one of the biggest conglomerates in the world. Inevitably, with the expansion of the company, the weight and number of social and ethical issues facing the company has increased.…

    • 2735 Words
    • 11 Pages
    Powerful Essays
  • Better Essays

    Ethical Perspectives

    • 1302 Words
    • 6 Pages

    Sam Walton, Founder of Wal-Mart makes the statement” Wal-Mart asserts its dominance as a retailer in the United States by preventing its labor force from unionizing. “All along this company’s global supply chain we are seeing millions of workers in disparate work roles but who are…

    • 1302 Words
    • 6 Pages
    Better Essays
  • Good Essays

    American Dream

    • 648 Words
    • 2 Pages

    low pay. Along with this, the policies of Wal-Mart are strictly against any form of union efforts.…

    • 648 Words
    • 2 Pages
    Good Essays