Preview

Walmart and Ethical Decisions

Powerful Essays
Open Document
Open Document
1542 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Walmart and Ethical Decisions
Wal-Mart Paper
Through the course of running a business, a company interacts and cooperates with many different distinct groups of people who have some kind of claim upon the company’s success. These groups are known as stakeholders and each group has a different set of goals for the company, as well as influences upon their business. One of these major stakeholders is the government, who act on a local, municipal, and federal level. The government’s regulations, authorizations, and general dealings can all have major effects on the way a company is run. These rulings, as do all actions influencing a corporation, have moral implications as well, whether ethical or unethical. It is perfectly fair for people to organize as self-governing groups and fight the damage Wal-Mart causes in communities that depend on the innovation rampant in small business operations. Cities already control the zoning laws within their limits and so they have the right to deny any proposal, therefore organized communities should be able to keep Wal-Mart out of their area. Zoning ordinances are regulations are important considerations when choosing a business location. If communities do not believe that Wal-Mart, a big box retailer will add value to their city, whether it is jobs or lower prices, then communities can reject the building of a new Wal-Mart location. Wal-Mart store openings kill local jobs. The new entry into the market does not guarantee employment opportunities nor increase overall retail activity. Wal-Mart is trying to take advantage of the current economic downturn by promising jobs and investment into local neighborhoods that have taken a hit from the recession. Government has broken up monopolies in the past and Wal-Mart makes itself a monopoly in small communities, therefore communities should be allowed to organize to help the government keep Wal-Mart out of small communities. Wal-Mart has established a successful discount department chain. In small

You May Also Find These Documents Helpful

  • Powerful Essays

    Loblaw Case Study

    • 2714 Words
    • 11 Pages

    Although the entrance of Wal-Mart in the grocery sector is new in Canada it isn’t new to our neighbours to the South, the United States. Although they have took a big majority of the market and is the number one top food retailer it has not prevented other grocery retailers to compete with them. Kroger’s, Supervalu, and Safeway are just some of the few grocery retailers present in the states. These retailers have been able to maintain and increase their sales every year since the presence of Wal-Mart. Some factors that have helped in this is that Wal-Mart stores are mostly situated in the farthest part of town because of their needs of big pieces of property, which made these stores more favourable due to the fact that they were situated in more favourable…

    • 2714 Words
    • 11 Pages
    Powerful Essays
  • Satisfactory Essays

    Walmart's Cost Structure

    • 500 Words
    • 2 Pages

    The Wal-Mart cost structure is known to be the lowest in the retail industry. Many economists do not agree with this structure because although consumers are happy with low prices Wal-Mart has forced its suppliers and competitors small and big to lower their prices in order for them to maintain the image and reputation of having the lowest prices around for quality products. Many cities and neighborhoods have banned Wal-Mart due to the fear of small businesses being run out of business sue to not being able to compete with a giant like Wal-Mart.…

    • 500 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Mom and Pop Shops

    • 1143 Words
    • 5 Pages

    The article states shopping center have developers to lesson mom-and-pop shops in new centers in U.S. Regency. It has reduced the amount of small shop space and including new development. It also states that the regency is having a harder time filling empty spaces with new mom-and-pop tenants and franchises than in the past. As stated in a recent article from the Neighborhood Retail Alliance, because when Wal-Mart enters a town undeniable harm happens to small and medium sized entrepreneurs. Not only does the company sell numerous types of goods, its’ sure to grow, it often prices them below cost in order to drive out local competition. These new developments have come at a time when everyday low prices which is the growth model that Wal-Mart necessarily wants to pursue long term. In recent years many of its competition have close up shop because they could not complete with Wal-Mart prices. There were shops of all kind like bakeries, shoe stores, pharmacies. Then Wal-Mart comes along.…

    • 1143 Words
    • 5 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Walmart Case Study

    • 620 Words
    • 3 Pages

    I believe that Wal-Mart truly can harm the downtown areas of small communities. As stated in the case study there is not really anyway to go up against Wal-Mart and win head-on. You have to try and come up with a niche or special market that Wal-Mart cannot carry at such a low rate like its other products. It’s almost like a David vs. Goliath but in the retail industry and you have to find that one lucky rock that helps you win.…

    • 620 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    Wal-Mart Controversy

    • 755 Words
    • 4 Pages

    Wal-Mart is the world’s largest retailer, but controversy surrounds their operating practices (Ferrell, Fraedrich, & Ferrell, 2013). The company known for significant sales profits, a large employee base, and the everyday low price provided to consumers is clouded by the pressure applied to suppliers requiring continuous reduction in pricing (Smith & Young, 2004). The small startup company that has grown to a multitude of stores across several countries does have some positive impact, but is it overshadowed by debatable ethical choices.…

    • 755 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Wal-Mart Ethics

    • 2358 Words
    • 10 Pages

    References: Bhatnagar, Ritu. (2005). Dukes v. Wal-Mart as a Catalyst for Social Activism. Retrieved July 12, 2005, from the University of Phoenix Library EBSCOhost database…

    • 2358 Words
    • 10 Pages
    Better Essays
  • Powerful Essays

    Ebc Essay

    • 1257 Words
    • 6 Pages

    2. Employees – According to the Freeman’s stakeholder theory, a company should not focus only on shareholders interests, but also on the interest of whole range of groups, or stakeholders, part of which are the employees. Wal-Mart is in conflict with that theory, since they do not mind the opinion of their employees. The employees are closely related to Wal-Mart while they are working there and they receive the salaries from the shop. Since employees have contracts with the company their interests are protected and closely related to the companies operations. The employees are influenced negatively because they receive very low wages. Instead of paying for its employees to have health benefits, Wal-Mart is making the government to take care after them. The store offers an expensive medical-care health package, which employees cannot afford. What is more is that the job tasks for first floor staff are enormous, compared with the salaries they receive. Furthermore sometimes the additional working hours of the workers are not written properly,…

    • 1257 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Walmart: an Ethical Analysis

    • 2965 Words
    • 12 Pages

    “And we've become very doubtful of our information sources, because they're all controlled by these huge multilateral corporations.” 1 – Brian De Palma. At first glance, one can realize that Palma attempts to convey the simple message that large corporations have the influence to change the way people think. However, if his message is examined in even more detail, we can come to the realization that corporations are more influential than any other form of system; whether it is government or civil society. Thus, it is fair to argue that businesses can be at the topmost position of our triangulation model of influence 2. Furthermore, it can also be stated that corporations and businesses, indirectly control the fate of civil society and are to be held responsible for the well-being of the general population. With power comes responsibility, and a corporation should be responsible for the well being of not only its employees but every stakeholder that it affects. However, the largest corporation of them all, Wal-Mart, has repeatedly decided to overlook all of it’s social responsibilities. With annual revenues exceeding $400 billion3, Wal-Mart has been involved in numerous issues regarding unfair treatment against it’s employees. Issues such as poor working conditions, low wages, lack of health insurance and anti-union approaches have shown Wal-Mart to be a corporation that mainly focuses on a single-bottom line approach. Wal-Mart’s unethical practices are not only present in the United States, but also in countries like China, Bangladesh and others all over the world.…

    • 2965 Words
    • 12 Pages
    Powerful Essays
  • Good Essays

    On average, most communities with Wal-Mart’s in their town turned out far better on taxable sales than others without Wal-Mart’s in their town. There are many opinions when it comes to making a big decision like this in your small town, especially when it comes down to a town with many family owned businesses. Another reason they may think it will help is because they won’t have to run to 5 different store to pick up totally different objects and it will save them money in the long run. There are more pros to having Wal-Mart in you town like, it provides a great amount of tax revenue for the local community. It also provides temporary construction jobs during the process of building it. Building a Wal-Mart may also cause people to move into that community and it will also help the real state company’s sell more houses. Wal-Mart will provide training for people from ages 16 and up and also trains teens for their life of work ahead. While the biggest argument is that Wal-Mart will hurt the economy and business of small businesses , but Wal-Mart is starting a discount where they are trying to work with family owned and small businesses in helping…

    • 1136 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    The issues in this case revolve around social responsibility. Although the company’s initial ideals were based on providing a better alternative to price-fixing local businesses, Wal-Mart has taken the right to choose away from the consumer. Wal-Mart provides a very desirable situation for the consumer that is looking for the lowest prices. But for the employees of the company, which may have no other option but to be employed there, they are not receiving the same consideration. The reduced wages and lack of competitive benefits is a sign of negligence on social responsibility. Wal-Mart also has the power to strip a community of its independence and character. Not only do they strip the community of the businesses that have shaped the community for many years, they create structures that tower over the unique architecture of the community by erecting unsightly and value lowering structures. Can you imagine how hard it is to sell a house that is next door to a Wal-Mart? Wal-Mart attempts to tap into any market that is lacking one of their stores. Establishing stores in communities that lack the infrastructure, building in elite communities, and creating a need where the need is not desired are all examples of Wal-Mart’s socially irresponsible…

    • 1532 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    Hello Walmart

    • 1027 Words
    • 5 Pages

    Disadvantages for owners of small business located nearby are several. Let’s start by mentioning that small towns are surrounded by and full of small business that support the local economy and employ the local population. With the presence of Wal-Mart, small businesses that offer similar products will be obligated to reduce their price to the minimum in order to compete with the big retail company. According to Dartmouth College, in 2009, they conducted a study that indicates the “the impact a Wal-Mart store has on a local business is correlated to its distance from that store. The leader of that study admits that this factor is stronger in smaller towns”. Wal-Mart is using what…

    • 1027 Words
    • 5 Pages
    Good Essays
  • Good Essays

    Wal-Mart Swot Analysis

    • 640 Words
    • 3 Pages

    Wal-Mart has not fared well with the labor unions and has been accused of wrongdoings including many workplace rights abuses. It often finds itself in trouble with regulators as well. The company has tendencies to put smaller “mom-and-pop” shops out of business because of its sheer size and ability to undersell most, if not all, of its closest competitors. Concerns have been expressed over the use of sweatshops in foreign markets, bringing up accusations of human rights injustices and taking away jobs from American workers.…

    • 640 Words
    • 3 Pages
    Good Essays
  • Good Essays

    The point that I took away after having read the case report on Wal-Mart was that the reason Wal-Mart is able to continue mistreating their employees is because we as consumers support the continuation of the same unfair labor practices by giving them our repeat business over other the choice of spending our dollars at local merchants in our area. It’s my opinion after having read the business case report on Wal-Mart that it’s the public’s common perception Wal-Mart is both socially as well as environmentally aware, conscious and pro-active in local communities, internationally as well as globally. Combine that with their numerous achievements such as the following: 2010’s Most Valuable Employers for Military by CivilianJobs.com & 2010’s Donor of the Year by Feeding America, for providing funds, vehicles, and more than 100 million pounds of food to the fact that “Planet Wal-Mart,” is supported by millions of people all around the world. I feel that it’s necessary to point this fact out, that this company, the largest retailer in the world is supported by so many. That the company has such support from so many followers in different capacities in spite of the fact that the sheer presence of the giant super-center is considered to be somewhat of a “death sentence” to America’s smaller towns. Small town “Main Street/Downtown” areas are desolated/”strip mined” in a sense. They are robbed of their values and the small town “feel” or identity which is an essential component of what makes the people and the town who they are. Also, it’s been seen time and time again when the move of this devouring monster into…

    • 902 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Wal-Mart, one of the world’s top 500 companies, is famous for its low prices. As a premier company, Wal-Mart has served as a fantastic business model to many growing companies. Because Wal-Mart provides many job opportunities, the American unemployment rate is also reducing gradually. However, Wal-Mart practices “aggressive policies” (Featherstone) against its workers and labor unions that represent them. The vast majority of Wal-Mart employees, except for executives and managers, receive minimum wage, which is an insufficient salary to support a family. There is public consensus that Wal-Mart should consider balance its right to make a profit with its humanitarian responsibility toward its employees. Wal-Mart’s business practices threaten the American ideal of a company that can achieve world class profits while treating its employees with “justice, equality, and fairness” (Featherstone).…

    • 1090 Words
    • 5 Pages
    Good Essays
  • Better Essays

    Hello Walmart Case Study

    • 1999 Words
    • 8 Pages

    Wal-Mart is always looking to expand to small towns and undeveloped countries, therefore Wal-Mart representatives are seeking approval from the planning commission of a small town to build a new store. The Representatives have to be able to overcome negative criticism from owners of small businesses located nearby and town residents, or residents of towns nearby.…

    • 1999 Words
    • 8 Pages
    Better Essays