In: Economics
Read the following:
In 250 words or more, Identify 3 reasons why Wal-Mart might be good, and 3 reasons why Wal-Mart might be bad for America. Then indicate your opinion, and why.
1) Criticisms of Walmart’s effect on small retailers fall flat
because of Americans’ role in that effect . Consumption is the only
democratic component of the corporate world: small retailers fail
because Americans choose Walmart. Walmart provides cheaper, better,
more accessible services than its competition
2)Since 1990, when Walmart became the world’s largest retailer, the
global rate of poverty has been cut by two-thirds. That’s the
sharpest decline in human poverty in all of history, more than one
billion people have been lifted out of poverty during that period
and Walmart is a major force in that effect. 3) The benefits of
Walmart’s efficiency are not only economic, as illustrated by the
company’s response to Hurricane Katrina. Walmart’s response to the
hurricane was lauded even by its critics: it donated more than $20
million worth of merchandise, including food for 100,000 meals, and
it promised jobs for all of its displaced workers
The Points against Walmart
Then it was the anti-Walmart debaters turn. Their argument is mostly about how Walmart treats its workers. They say Walmart not only pays low wages but they also:
Focus on part-time workers. That causes the workers to have
total wages that entitle them to Medicaid and SNAP (food
stamps).
Cause society to subsidize Walmart and that enables Walmart to pay
their workers poverty wages.
Cause their suppliers to cut corners. Four years ago, over 1100
people in Bangladesh were killed because of a fire in a substandard
building making products by
Walmart
My opinion : For America in particular Walmart is good , the
argument of lack of competition or loss of market for poor
suppliers won't stand for America . If Walmart can provide better
prices than competition , it is good for America . If Walmart can
maximise consumer satisfaction , let it do business.