Wal-Mart vs. Mom and Pop
Amber Ellis
English 111
Leslie Bolser
November 6, 2011
Is Wal-Mart smothering small town America? As of 1994, Wal-Mart had 2,504 stores across the U.S. and was expected to open 125 more that year (Ortega 205). Wal-Mart stores do over $67 billion dollars in annual sales (Norman 207). Everywhere there is evidence of new establishments being built. It seems that cities are now reaching out further and small towns growing up overnight. Some call it progress; others call it sprawl. One of the most recognizable faces popping up in the new development is the brainchild of Sam Walton, the founder of Wal-Mart. New Wal-Marts are being constructed as currently estimated at the rate of one a day. These superstores invite strong feelings pro and con and the effect of their presence is much debated. The purpose of this paper is to examine the effects of the discount superstore entering into a community. Discount stores like Wal-Mart allow small to medium towns with little population growth to hold customers to the local shopping area by cutting down on trips by locals to bigger urban areas with lower prices
(Stone 210).
Is Wal-Mart an example of the great American dream or a small town nightmare? It is difficult to travel far without finding a Wal-Mart looming on the horizon bustling with shoppers scrounging to save money. Founded in 1962 in Bentonville, Arkansas by entrepreneur Sam Walton, Wal-
Mart has grown into a commercial superpower offering products and services in a one-stop shopping format that may include: automotive service, banking, fast food, optometry, photography, and hair and nail salons. Wal-Mart provides low-cost shopping for the cash- strapped consumer. However, the question continues as to whether the end result is positive or negative when Wal-Mart locates a store, which can sometimes be over 200,000 square feet, on the edge of town. Proponents of the mega-superstore cite
English 111
Leslie Bolser
November 6, 2011
Is Wal-Mart smothering small town America? As of 1994, Wal-Mart had 2,504 stores across the U.S. and was expected to open 125 more that year (Ortega 205). Wal-Mart stores do over $67 billion dollars in annual sales (Norman 207). Everywhere there is evidence of new establishments being built. It seems that cities are now reaching out further and small towns growing up overnight. Some call it progress; others call it sprawl. One of the most recognizable faces popping up in the new development is the brainchild of Sam Walton, the founder of Wal-Mart. New Wal-Marts are being constructed as currently estimated at the rate of one a day. These superstores invite strong feelings pro and con and the effect of their presence is much debated. The purpose of this paper is to examine the effects of the discount superstore entering into a community. Discount stores like Wal-Mart allow small to medium towns with little population growth to hold customers to the local shopping area by cutting down on trips by locals to bigger urban areas with lower prices
(Stone 210).
Is Wal-Mart an example of the great American dream or a small town nightmare? It is difficult to travel far without finding a Wal-Mart looming on the horizon bustling with shoppers scrounging to save money. Founded in 1962 in Bentonville, Arkansas by entrepreneur Sam Walton, Wal-
Mart has grown into a commercial superpower offering products and services in a one-stop shopping format that may include: automotive service, banking, fast food, optometry, photography, and hair and nail salons. Wal-Mart provides low-cost shopping for the cash- strapped consumer. However, the question continues as to whether the end result is positive or negative when Wal-Mart locates a store, which can sometimes be over 200,000 square feet, on the edge of town. Proponents of the mega-superstore cite
Cited: Ortega, Bob. "Ban the Bargains." Writing and Reading across the Curriculum, 6th ed. Eds. Laurence Behrens and Leonard J. Rosen. New York: Longman, 1997. 203-207. Norman, Albert. "Eight Ways to Stop the Store." Writing and Reading across the Curriculum, 6th ed. Eds. Laurence Behrens and Leonard J. Rosen. New York: Longman, 1997. 207-209. Stone, Kenneth E. "Competing with the Discount Mass Merchandisers." Writing and Reading across the Curriculum, 6th ed. Eds. Laurence Behrens and Leonard J. Rosen. New York: Longman, 1997. 209-216. Reich, Robert B. “Don’t Blame Wal-Mart.” New York Times, February 28, 2005 Entenza, Rachel R. “Is Wal-Mart smothering small town America?” Entrepreneurial Executive, Annual, 2005 Dean, Andrea M and Sobel, Russell S. “Has Wal-Mart Buried Mom and Pop? The Impact of WalMart on Self Employment and Small Establishments in the United States.” Economic Inquiry, forthcoming Basker, Emeck. ‘‘Selling a Cheaper Mousetrap: Wal-Mart’s Effect on Retail Prices.’’ Journal of Urban Economics, 58, 2005b, 203–29