Case 1 Wal-Mart: The Main Street Merchant of Doom
Questions for discussion
1. Major issues in this case:
Wal-Mart taking over America as America’s largest retail store.
The opposition to Wal-Mart getting organized.
The “buy American” plan.
Wal-Mart adding to the loss of American jobs by buying cheaper foreign goods in which putting local small businesses out of business. Wal-Mart is the largest purchaser of Chinese goods in any industry.
CSR: Social: All about status as being the largest company.
Social responsibility: Huge impact on small merchants resulting in loss of jobs.
Economical: Providing low cost products to Americans without effecting local businesses.
Legal: Wal-Mart has a large number of lobbyists on its payroll and a number of other hired political consultants to help it. Political action committee grew to become the biggest corporate donor to federal parties. Wal-Mart needs comply with specific laws.
Ethical: Take into consideration the impact on local small businesses of the communities it moves into, listen and respect the wishes, concerns and cultures of those communities, reduce environmental impact.
Philanthropic: Wal-Mart needs to give back and make contributions in which they do.
Wal-Mart has had a large impact on urban sprawl and has created traffic congestion. Wal-Mart is environmentally aware and has received many awards.
-Concern with leaving downtown area.
Wal-Mart has the responsibility to provide low cost and quality products to Americans the best way they can without affecting small merchants.
2. He offered profit sharing, incentive bonuses and stock options in an effort to have his Wal-Mart associate’s share in the wealth.
“Wal-Mart way” – reflected Sam’s idea of the essential Wal-Mart culture that was needed for success. Sam felt that when a customer entered Wal-Mart in any part of the country he or she should feel at home. – Exceeding customer expectations and helping people...
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