I can’t speak for Wal*Mart Watch or any other group, but I can tell you my problems with the company.
First, their business strategy is based on destruction of competing businesses when they open a new store. even sven understated the case. A number of my favorite stores that had been small-town fixtures for a long time were killed by Wal*Marts.
Second, our economy in Montana stinks right now. If I can shop in a locally-owned business that returns 45% of what I spend right back into our economy, versus a Wal*Mart that only returns 13%, it seems like the responsible thing to do. Why finance Bentonville when I can support my own state?
Third, when a WalMart opens in a town, they make a big deal out of creating new jobs. Perhaps they do “create” 200 new WalMart jobs, but they’ll destroy more than 200 other jobs when they do it, and many (most?) of them will be higher-paying jobs with better benefits.
Fourth, I’ve been an entrepreneur my whole adult life. I like seeing innovative new products from individuals with good ideas. Unless you have a pile of venture money, a good sales rep, and no desire to sell anywhere other than Wal*Mart, you’ll never get in the door there. They only want to talk to the “big guys.”
Finally, I like choices. I like to have several different places to buy things. As Wal*Marts come into town and kill off their competition, I have no more choices.
Here’s a link to a Frontline transcript with respect to Wal-Mart. The part about their dealings with Rubbermaid is particularly interesting.
And, what MsRobyn said. Maybe it’s just that the shelves are a little farther apart, but I don’t get the claustrophobia in a Target that I feel in Wal-Mart. And I don’t feel morally compromised by shopping at Target, either…
That’s absolutely ridiculous. And if that is the truth for you, then you’ve never been out of your town. That may be because of where you live and the kind of employees (and customers) they have. Every single Wal-mart I’ve been is is clean, well-stocked, and has courteous employees. That includes California and Maine where I live. I driven across the country many times and I always go to Wal-Mart if I see one. I have never seen what you describe. I did, once, see a dirty MacDonalds in Buffalo, New York and it was in a bad part of town and that was because of the employees, who apparently didn’t know what clean meant. And could have cared less. I believe it had to close because no one with any work ethic would work in that part of town.
My question: they don’t get paid well enough for what? doing a job that requires very little training? If you want to get paid more, go to college or get some technical training in a job that is in demand. I did it with three kids. I absolutely hate the idea that some people have that they are entitled. I worked very hard for everything I’ve ever had and I resent people who want to live off of my taxes because they resent the things I have that I’ve worked so hard for. I believe in TEMPORARY welfare if someone is down on their luck because of market forces, but to expect your employer to provide welfare just because really irks me.
If you want Macy’s prices and want beautiful displays and expensive goods, go to Macy’s. but stop complaining about Wal-Mart. I want lower prices and I get them there.
The absolute ONLY reason I’m glad Bush is in office is that he has mismanaged things so badly that the states are getting less and less federal subsidies, to the crisis point. And guess what is going first? The welfare programs. Subsidized housing, free and subsidized medical care, free everything because you are on disability for having panic attacks, free EVERYTHING, that I have to pay for. I’m glad about that. The free ride is shutting down. A civilized society takes care of the “real” poor and children; not my neighboor who is going on third-generation handouts and expects it.
Wages- A good summery of how Wal-Mart decreases the earning power of the poor can be found in this UC Berkeley Study. Information about how they force taxpayers to support their workers can be found here. This is a good rundown of how you can run a business with rock-bottom wages without paying your workers rock-bottom wages.
Unions- I can’t find a comprehensive cite listing all of the ways which WalMart has fucked with unions, but herearesomeplacestostart. This article is kind of long, but interesting. Here is another good article.
The Right Wing Factor- Here is their official stance on reproductive health. Here is some info on their politicalcontributions
Everything Else- The definitive book detail WalMarts sex discrimination and various labor violations is Selling Women Short. This detail’s WalMart’s affinity for Chinese goods. Here is information about how WalMart violated the Clean Water Act on a large scale multi-store basis.
There is a ton of information out there, some more trustworthy, some less. But what I’ve cited only scratches the surface.
I have always felt a pickle is a pickle; and I never bought Vlasic because I felt they were selling the name, not the product. I bought the cheaper brand. Vlasic has been around a long time and could have continued selling in thousands of grocery stores and continued to make a profit. They wanted to reach a bigger market, but that was at the cost of giving up the niche they had developed as a “special” (and expensive) pickle. Their choice as far as I can see.
A lot of people reading this probably have lots of choices in the stores they patronize. I have Wal-Mart and one grocery store. Like a large majority of the country. Are we forgetting middle America when we think Wal-Mart should be the savior of the welfare class employees? Yes, that farmer should pay more for his pickles because after all Vlasic is the elite of pickles. That’s total crap as far as I’m concerned.
Why not? Because you’re going to make pennies on each jar, and all your customers who buy high-margin quart jars will buy no-margin gallon jars instead. Duh. The right decision (using hindsight, of course) is to tell Wal-Mart “We can’t sell it that cheap”, let them go to a competitor.
I’ve always believed that if there is no margin to be had at the price desired, you shouldn’t worry too much about your competitor “stealing” the business.
I don’t like unions. I grew up, probably unlike you, when they were powerful. They almost ruined the auto industry. And, to come up to the present, my son, who is a college student, worked in a grocery store this summer, and was forced to contribute $40.00 a week to a union that, according to an article in Reader’s Digest, is squandering the money on Hawaiian vacations and huge salaries for it’s officers. Unions still control the waterfront to the extent that goods can’t be delivered to our shores without their cooperation. those guys get paid more than a doctor, due to the union.
I like Wal-Mart. I will contine to shop there and I hope organizations like Wal-Mart Watch don’t ruin a good thing. And, I hope they never get unions. I worked in a place like Wal-Mart years ago (Zayre’s) and nothing has changed according to what people tell me. It’s still run for the bottom line, like ALL other businesses. Corporations are businesses, not welfare organizations. Corporations are in business to make money for their shareholders. But then, those who are marching in the streets over Wal-Mart’s practices probably aren’t investing in the stock market. Corporations are what make this economy run. I say, those of you who think you have it so bad, take a trip and see the rest of the world. Comparativly speaking, this is paradise that you are trying to ruin, only you just don’t know it. Whine, whine: well that doesn’t make it right. Grow up.
I have this creepy feeling lately that the generation that starting growing up when TV and blockbuster movies became part of everyday life think that what they see depicted there is real. Maybe that is the source of all this outrage about you have material things and I don’t and I’m entitled to them. Most people don’t have endless material things. If they do, it’s from the enormous credit card debt that Americans have. And only 9% of U.S. taxpayers make over $100,000, and these days that isn’t very much if you have a couple of kids. This skewed vision of reality was showcased, when people actually expected that after hurricane Katrina that the government was this well-oiled machine that would quickly spring inito action, save everyone and make it all better with bottomless buckets of money. That is only in the movies. Scary but true.
So, Wal-Mart didn’t take away your 4X4 or your new furniture, or your designer clothes or your new digital TV. Look elsewhere.
The keyword being “spin”. Spin is nothing more than a facade.
MsRobyn, I’m another fan of Target. Their stuff is a LOT nicer, and the store is much cleaner and looks better than Wal-Mart. Every time I go to the latter, I feel dirty.
That is the gist of the argument against Wal-mart. They have the power over their suppliers to dictate the price and profit margin because they have the power to destroy you if you do not comply.
Say Vlasic says, sorry Wal-mart, we can’t do that. Wal-mart says okay, we’ll find someone who can or just do it ourselves with our own brand. Now Vlasic is not being carried by the largest company in the world and is out 30% of its market. What’s more, that 30% is handed directly to a competitor.
The argument against them is that they have that power to break or break a company (rather than make or break) like that. It’s damned if you do, damned if you don’t to a T.
Even in hindsight, they didn’t have much choice. They opted for the one with the immediate gain rather than loss, and still ended up losing.
The examples of Huffy and Levi Strauss later in the article are in the same boat. These are companies that have been around for decades, growing from garage businesses into name brand institutions, that now have the unenviable choice to either play by Wal-mart’s rules and be destroyed later, or be destroyed now.
Until sooner or later your local production is packed up and moved to China or India or some other low wage paying country and there aren’t any jobs left to pay you. Then you’ll either need the temporary assistance you deride, or will have to work at the only employer in the area left, Wal-mart.
suzeekay do you have any substantive replies to any of the points even sven raised, or is accusing her of “whining” and spouting off trite Randian cliche’s about “businesses aren’t welfare states” (No one said they were, but if you actually read even’s post you’ll note that walmart is taking advantage of government welfare programs to keep their wages low) all you can do?
First, if someone is being paid substandard wages while working at Wal-Mart to support three kids, they’re going to be hard-pressed to find the time or money to go to college at the same time. Second, expecting your EMPLOYER to pay a living wage is NOT expecting them to provide “welfare”, but to pay you enough to live on. Salary and/or wages are NOT in any way, shape, or form “welfare.”
And just because YOU were able to do something does not mean that everyone else can. Different situations-walk a mile in someone else’s shoes sometime.
So?
Seriously, so what?
OMG, my competitor is cranking out 30% of the pickle volume while making 3% of the pickle profits? Horror of horrors, they’re selling vast quantities of pickles for no profit? I’m not seeing the big problem here. Let THEM go bankrupt. Yes, Vlasic may not be getting the revenue increases they desire, but selling product for no profit is not a situation where you can make it up in volume. They still had a standing invitation with 70% of the market for shelf space, at profitable margins, with the strongest brand name in the business, why is that such a bad situation? Maybe you have to let some people go, maybe close a factory, hunker down and weather the storm, companies do it all the time.
This is why CEOs get the big bucks, to know when to tell a retailer to go pound salt. To know when a deal is bad and walk away. Any moron can get walked over by Wal-Mart, and sell product at no margin, it takes good management to know when to fold 'em and walk away.
I have walked in poor shoes all I will ever want to. And to generalize with that same old cliche about, “welllllll, just because you can go to school, doesn’t mean everyone else can.” An excuse for people who want to have excuses. Free childcare, pell grants, ever heard of them? The only ingredient the government can’t add is motivation. You have to provide that.
I absolutely do not agree in any way, shape or form that employers are required to pay a “living wage” to their employees. They are not required to pay you enough to live on and I have no idea where that concept could have come from. I think they are required to pay you what your work, on a competitive basis, will bring you in the marketplace. If you can be replaced by any smuck off the street then your pay will be low; if you are a neurosurgeon or a popular Hollywood actor than you get more money. Please think seriously about why you believe that my son, who owns a business, should be responsible for supporting your family when all you do it stock inventory? Are you taking some kind of moral stance here? God wants him to do it? Please explain.
People try to support a family on McDonald’s wages too. There is nothing wrong with an honest day’s work but this isn’t the place for a single mother with three kids. Wal-Mart and McDonald’s just post an available position and wait for an acceptable candidate to show up. That person could be an 18 year old male that lives at home or that single mother with three kids. How would Wal-Mart know in advance who is going to get the job and why would they care?
The alternative is to institute additional minimum wage laws that increase minimum wages taking into account factors like life status, number of dependents, age (older = more money because of retirement), debt, and health status (increase factor by each health problem to offset incedental healthcare costs).
There is a socialist bill that I could really get behind (for entertainment purposes only).
I have been around lots of people with strong negative opinions of some types of people on welfare. However, I never heard anyone critisize near-full-time workers for taking advantage of programs that they qualify for. That situation even applies to some junior elisted military members stationed in expensive areas and almost everyone knows someone that has been in that situation. I have been destitute, wealthy and almost everything in between. My system is when things start going to hell is to start looking into doing something different. If you try enough workable ideas, something good will happen. That is just basic survival strategy and everyone should know it.
You are talking about a whole nother debate (intergenerational welfare dependence).
Losing 30% of a multi-million dollar a year business is not as easy to fix as letting “some people go” or closing “a factory”. Especially when your nearest competitor is given a huge boost like that.
The remaining 70% of Vlasic’s business is from other retail outfits like supermarkets, which are also feeling the pinch from Wal-mart’s underpricing. They’re raising prices to compensate for the loss of business from people who justify paying the low low price of $2.97 because it’s easier on their wallets, which translates to even more people passing by the supermarket on their way to buy the cheaper competitor’s brand at Wal-mart. Which means reduced sales beyond the initial 30% loss. See where this is going?
Vlasic was damned no matter what they did, so they did what most businesses do, opt for the short term gain/long term loss over the immediate loss, and hope to find a way out of it in the window of time bought by that choice.
Wow, you’ve just solved the nations poverty problem! And to think the answer was that simple. I mean, motivation. It was right there in front of us the whole time. :rolleyes:
You’re focusing far to narrowly on one aspect of Wal-mart’s shittiness, and that you’re completely insane if you truly believe a Hollywood actor is as irreplacable as a neurosurgeon.
Out of curiosity, how easy does your son, who owns a business, make it for his poorly paid employees to, once having motivated themselves, go to school so they’re not just some “smuck off the street” deserving of low pay?
Hmm - I suppose it’s because the culture here in Canada is a bit different, but Walmarts are just not the same as they are in the US. For one thing, they’re not as big in size - the stores are sort of normal sized, as opposed to being 5 football-field sized.
I assume that the Canadian stores are covered under a branch of the US parent company, but I’m not sure they’re the biggest game in town around these parts (although they could be). Also, Canada doesn’t have those wacky employment rules like down in the states, so workers aren’t necessarily paid a boat load of $$, but at least they get over time, double-time and a half for stat holidays, maximum working hours, etc. etc.
Personally, for my cheap stuff, I tend to be a Zellers girl, but I did buy my carpet shampooer at Walmart.