Walmart

WalMart

The addition of Walmart in this is kind of interesting. How can there be two (or more) sides to a store? I think actually that there can be two sides to it.

Walmart is good:

Walmart is a huge company, and so has a lot of positive spin off effects as well as direct effects. WalMart employs many thousands of people; one of the largest employers in the US and Canada. This has a great positive effect on communities that are dependant on the jobs that are provided by Walmart – without Walmart, these communities would likely cease to exist.
Also, as any person who has shopped at Wal-Mart can tell you, they are cheap.This is a huge benefit for people who have less money; especially those with kids. Kids clothes, diapers, baby food, toys, food in some places, is cheaper at Walmart than any other store. Some people definitely have a higher standard of living because of the cheap goods available at Walmart. Also, the spin off industries, such as construction, trucking, and the other stores that spring up around WalMart all benefit from WalMart’s existence.

There are some indirect benefits to Walmart as well. Walmart unquestionably lowers prices for consumers at other stores, because they have to compete. If other stores don’t have comparable prices, Walmart will be the store of choice for people who have price as the primary concern. Walmart also forces it’s suppliers to be more efficient, by refusing to pay higher prices to it’s suppliers higher prices. This is a good thing overall: efficiency is the key to successful business. Walmart is also responsible for a lot of imports from all over the world – factories exist in places that didn’t before Walmart – so Walmart is a global economic driver. There is a strong argument that when a community loses manufacturing and other blue collar jobs, the void is filled by retail; and WalMart is one of the few retailers that can provide enough jobs to replace an entire factory.
Jobs are also available for seniors and teenagers – one of the few places that does not see age when it hires.

WalMart is also a social place. Many people make trips to Walmart with friends and family – for some people, it is there only time to get out. Plus, with all the restaurants and other stores that surround it, a trip to WalMart can be a day out. You can do almost all your household shopping at Walmart, if you want.

Lastly, Walmart stock consistently does well. It is blue chip, but has a decent return, and is constantly looking to improve it’s share price and dividends, which it does by expanding. It is a part of many mutual funds, and a good part of a balanced portfolio. It is an American company, which is important for some people; they want to invest in America, not some other country.

Walmart is Evil:

This is an opinion held by many people. They believe that Walmart, essentially, drains the soul out of a town. When a Walmart comes to an area, particularly smaller centres, it puts all the small retailers, the mom and pops who have a stake in the town, out of business. Walmart has no stake in a town – it is there to make money and too bad if some less efficient businesses go under.

There are other problems with Walmart. They pay low – they have to keep their prices low. Maybe people who did work in manufacturing end up at WAlmart, but that’s only because there is no where else to go. Walmart can also be blamed for the loss of those same manufacturing jobs – by demanding such a low price for goods that it retails, manufacturers in the US and Canada have had to shut down when they could not meet these demands – and the jobs went overseas. Walmart buys most of its goods from China now, which is giving more and more clout to the Chinese manufacturers while taking it away from the American ones.

There are ethical issues with Walmart as well. Walmart has many products made in sweatshops, which a lot of people have a moral concern with, especially when child labour is involved. They also have a history of not promoting women or minorities – effectively, institutionalized racism and sexism.

Walmarts are also considered a blight on the suburban and urban landscape. They are ugly to look at, surrounded by a massive parking lot with no trees or grass anywhere near them. They are unaccessable except by car, which makes them an environmental liability. The buildings themselves are huge drains on power to keep them warm and cold. And of they ever decide to move, the location is essentially ruined for any other business, simply because of it’s size.

Where I Stand:

I think that Walmarts are evil, plain and simple. But I still shop there from time to time, because some things are just so much cheaper that it is hard not to; so I guess that makes me evil too. I also feel that Walmart make people ugly. Whenever you enter a Walmart, there are no attractive people anywhere – including in the mirror. I think that this is because an ugly store makes it customers, staff, and suppliers ugly. And the lighting doesn’t help. But overall, I think that the positives Walmart does have are far outweighed by the negatives that it brings to the world. I do think that there is certain bit of irony, lost on most people, that a company like Walmart, the quintessential American company, is responsible in part for the destruction of the traditional American way of life. It is also appropriate – for the enemy is always closer at hand. We have met the enemy, and they are us.

How I relate:

I have never worked for a Walmart, but know many people who have; and those who have good things to say about it are few and far between. Further, people who yell about how great the free market is and Walmart is a shining example of it, don’t work or shop there; nor do they want their families too. I think that it is a well run multinational; I think that it’s growth prospects are limited, though. I have thought that Walmart needs to take a few bold steps to really dominate the American market on a few more levels.

I think they need to start selling those really cheap Chinese cars; and they need to start building apartments above their stores. And soon, there will be a whole new city type, called Waltown. I truly believe that this will happen. I try to shop at Walmart as little as possible, and I refuse to buy groceries at Walmart. I also think, though, that companies like that tend to self destruct after a certain point, and I could see Walmart falling apart if they make a few really bad decisions – and those decisions will be related to cheap goods from China, and labour and safety laws.