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Walmart is a large, successful, and vibrant retail store that is found throughout the world.

As part of its folksy history, it was started by Sam Walton in 196 . !t is now head"uartered in #entonville, Arkansas. !n addition, it is one of the most successful corporations to ever have graced the planet, delighting its shoppers with ama$ing deals, magnificent variety, and humongous locations. %any of the locations have supermarkets, banks, and even restaurants as part of the e&perience for the consumer. 'owever, Walmart has faced its share of problems and criticisms from people all over the globe for Walmart(s business practices. )he organi$ation has been steadily trying to rebrand itself in to a friendlier and supportive shopping encounter. 'aving a large, successful company like Walmart come in to a community has many positives and negatives, and deserves a thoughtful case analysis. *or owners of small businesses located nearby, there are a myriad of potential pros as well as cons associated with a proposal to allow the building of a new store. +n the positive side, there will be much more local traffic in the way of consumers, and that will undoubtedly bring added business to the area. 'aving an established Walmart may make any location a ,destination( shopping area of sorts, where local business owners can ma&imi$e their differences to attract business -such as the appeal of supporting local merchandise, improved personal contact with the customer, and direct dealings with persons the consumer knows well as opposed to an automated message on Walmart(s customer service phone line. .nfortunately, there will be negatives as well, including loss of competition for similar products, as it is unrealistic to say that local business can compete with prices offered by a large national corporation. Some local businesses may be forced to find

new ways to attract and retain customers, leading to the strain of needing or finding "uality creative personnel to help with promotions. As before, there will be pros and cons of this situation. !f we start with the pros of the situation the consumers will have access to a large variety of merchandise, likely at low prices. )hey will also have the availability of e&cellent customer service policies regarding e&changes and returns. *urthermore, clients will e&perience the convenience of having many of their favorite products for purchase under one roof, which allows them to make fewer trips -and save on gasoline/ to buy things they need. Some negatives may arise as well, such as increased congestion from the inflow of customers from areas outside the store. )here will undoubtedly be an impact to the townspeople and their friends and neighbors who own local businesses as they find it difficult to compete in this new environment. )he city may see an increase in crime associated with the store, such as theft and break0ins of cars in the parking lot. A recent article addressed some of the concerns facing Walmart today as well as highlighting its strengths. -1./ )his study was enlightening for several reasons. *or one, Walmart is clearly aware of the negative vision the company has had in the workplace as well as in its reputation. *rom the article, it is shown that Walmart is taking proactive steps to increase its viability in today(s economy and reposition itself as a giant in the big bo& area of businesses. )hese steps include recasting the company(s mission, updating its logo, re0establishing faith with its multitude of employees, broadening Walmart(s appeal, improving the appearance of the store, revolutioni$ing its offerings for prescription drugs, and promoting ,green( merchandise and working practices.

)here e&ists little doubt that Walmart has established itself as a retail 1uggernaut2 however, the company continues to meet resistance when it seeks to e&pand its presence in nationwide and global markets. +ne e&ample of a current issue includes a backlash by local people and store owners against the development of a new location in )he 'eights region of 'ouston. As reported by the local affiliate, 3)430)5, opposition has been building against Walmart and its plans. 6evertheless, Walmart has launched a public relations campaign to fight the resistance to its preparations for building in )he 'eights. %any in that neighborhood are opposed to the store and have organi$ed a strong anti0Walmart campaign. 6ot to be discouraged, Walmart7s response includes a new website touting the good the Walmart will bring to the area and flyers encouraging residents to support the pro1ect - /. )he e&ecutives at Walmart are sensitive to community and employee concerns, and are committed to doing their best to improve society while keeping its local feel intact. As far as decreased competition, they say that Walmart will bring in loads of new 1obs both for the construction of the store, as well as for people to staff the registers and serve as managers. Walmart has an e&cellent reputation for hiring both young as well as elderly workers to become part of the team. )o the community at large, Walmart may be able to bring ta& cuts through local government. )hat will lead to better public services, such as police and fire stations, and even improved educational standards at local schools. As to crime, Walmart attests that they do their best to patrol the parking lots to drive away unsavory individuals who wish to prey on the customers. )he added police stations that have been previously mentioned will also be help in this task.

%any business leaders have looked to Walmart, and it founder, Sam Walton, as a visionary in the industry. !n their view, Walton observed that small towns in America needed retail stores that offer a large assortment of merchandise at discounted prices. )his concept, radical as it was when he began his empire in 196 , gave rise to other retail industry contributions, such as volume buying on a scale never done before, new economical distribution methods, and a management system that rewarded employees with generous incentives -8/. )hese ideas are all in keeping with appropriate business strategy. Walton knew that it was critical to determine where e&actly the company was, and then devise where he wanted the business to be in a certain number of years. )hen, he consciously developed the steps that he needed to take to reach that long0term goal. *urthermore, Walton has nourished his initiatives as he passed on his legacy to his de facto successor, '. 9ee Scott -8/. :rior to Walton(s death, he mentored '. 9ee Scott, who would become ;<+ of Walmart after over = years with the company2 Scott said that it was Walton himself who was his greatest champion. >)hat is what Sam did so well,? Scott says. >'e didn(t talk about motivation but about the environment, about treating everyone with respect and dignity, about setting high e&pectations and improving every day. )hat creates an atmosphere that causes 9= percent of the employees to go beyond what people would e&pect from them. -6/? Among the candidates for a top level position within the organi$ation, only Scott, then e&ecutive vice president of logistics, had been actively mentoring and developing a successor, %ike @uke. )hat turned out to be a key factor in Scott being promoted to <&ecutive 5ice :resident of merchandise and @uke taking over the top logistics role.

*rom that 1ob, Scott went on to become president and ;<+. *rom Walton himself, continued with those who followed him, Walmart has been able to weather the storms that have faced it, and have even succeeded as other companies have failed. Walton7s success flowed from his cheerleading management style, his ability to instill the principles and management philosophies he preached into Walmart7s culture, the close watch he kept on costs, his relentless insistence on continuous improvement, and his habit of staying in close touch with both shoppers and associates -1/. @espite Walton(s goals and enthusiasm, Wal-Mart's disappointing financial performance
and a deteriorating share price in 2005 led to speculation prior to the company's early June shareholders meeting that Lee Scott would also resign. ma!or reshuffling of top e"ecuti#es at Wal-Mart clarifies the

company's succession strategy and shifts a $road slate of e"ecuti#es into areas of new responsi$ilities that will influence the company's performance for years to come %&'. (n fact) Scott did resign in 200*) pa#ing the way for the man he mentored se#eral years prior %+'. @uke became the ;<+ of Walmart in

==9 after 1oining Walmart in 199A -B/.


,ould there possi$ly $e truth to the allegations against Walmart as le#ied $y the anti-Walmart $logs such as Walmart Watch %WW'. -his site is choc. full of alarming information that counters e#erything Walmart has $een trying to rectify now that the corporation has a new ,/0 in 1u.e. -he allegations $y WW include false testimony $y Walmart to the go#ernment on $ehalf of their newly launched $an.ing $ranches in Walmart stores) discrimination) wage and hour issues) poor co#erage of its employees) and a dismal en#ironmental record %*'. Well) that is damning e#idence to say the least. 2urthermore) WW urges e#eryone to sign a 34andsha.e agreement with Sam5 to support its initiati#es. s mentioned on it site) 3(f you want people in the stores to ta.e care of the customers) you ha#e to ma.e sure you are ta.ing care of the people in the stores.5 -his was said $y Mr. Sam Walton himself) and is now $eing espoused $y the people at WW %60'.

+n another anti Walmart blog site, Wake .p Walmart -W.W/, they continue with the Walmart complaints, and many of them are similar to the claims of its associates at WW. According to W.W, there are two visions for AmericaC Wal0%art7s America, where profits come before people, and our vision, where people come first.

!n Wal0%art7s America, workers are paid poverty level wages even when they work full0time.

!n our America, workers are paid a living wage with proper health and retirement benefits.

!n Wal0%art7s America, wealthy companies shift their health care costs onto ta&payers like you and your families.

!n our America, corporations live up to their responsibility and provide their employees with ade"uate and affordable health care coverage.

!n Wal0%art7s America, suppliers are forced to make their goods cheaper even if it means shipping ..S. 1obs overseas.

!n our America, we value ..S. 1obs and companies that buy and sell D%ade in America.D

!n Wal0%art7s America, women are paid less than men. !n our America, women and men are treated e"ually 0 fair pay for everyone -11/.

)hese are significant charges that are being brought against this marketing behemoth. .nfortunately, there is little way to negotiate the truth from all the various

sources, as they all have an agenda to fill. Walmart(s is to continue their known way of business and maintain their large profit margins. While not commendable, it is certainly not illegal. 'owever, the critics of Walmart insist that there are crimes being committed at Walmart, if the critics could only find themE !n the meantime, Walmart continues to grow at an almost fungus like pace across the country, and the world, in fact2 moreover, Walmart would have no market share at all if it weren(t for the multitude of people who shop there on a regular basis. !t is undoubtedly frustrating, but these facts are part of the consumer driven culture we are bound to accept while being members and supporters of a democratic and independent society. )he truth remains that any of us could take up our spears in action against the steamrolling sales giant, if only we could avoid the convenience and prices. )here are however, steps any group may take if they wish to prevent their town from becoming the ne&t victim of the good and bad associated with Walmart. *or one, W.W suggests that you develop a strategy for success. !nterestingly, this is e&actly what Sam Walton did those many years ago. Secondly, W.W says to plan your tactics. Again, almost directly out of Walton(s own mouth. )hird, they propose that a group take advantage of the law and legislative tools. *ourth, a group needs resources and allies in their fight. And lastly and possibly most importantly, find others in the community to share your beliefs and values -11/. )his list may seem trite, but it is basically the same set of goals Walton proposed for himself when starting the first Walmart store in Arkansas in 196 -1 /. )here is very little stopping a band of committed and dedicated individuals to come together and target Walmart. )he problem is that many people 1ust may not want to. )he good news for the management of Walmart is that they have a

legion of devoted supporters who wish to continue to stretch their hard earnned paychecks to provide for their families in today(s dismal economy. !n addition to all the steps Walmart is taking to keep itself at the forefront of the big bo& industry, the American government is aiding them by allowing this miserable financial climate. %ost years, many people want to save a few dollars2 this year is imperative. 4eferences 1. Walmart Stores !nc. in ==FC %anagement7s !nitiatives to )ransform the ;ompany and ;urtail Walmart #ashing,D by Arthur A. )hompson, ;86GH;B==. . httpCIIabclocal.go.comIktrkIstoryJsectionKnewsIlocalLidKG6 1GB9LrssKrss0ktrk0 article0G6 1GB9 8. httpCIIinvestors.walmartstores.comIphoeni&.$htmlJcK11 G61LpKirol0govboard
7. 8apner) Su9anne %2e$ 6+) 200*'. :,hanging of the guard at Wal-Mart:. 2ortune. http;<<money.cnn.com<200*<02<6&<news<companies<.apner=scott.fortune<inde".htm. >etrie#ed 200*-0&-6?.

A. httpCIIwalmartstores.comIpressroomInewsI1=191.asp& 6. Williams, 9. - ==8/ :aving )he Way *or 9ogisticsC Wal0%art(s '. 9ee Scott. Supply ;hain %anagement 4eview. ManuaryI *ebruary ==8 : G0F.
&. -roy M. %2005' :Wal-Mart shuffle clearly defines successor plan:. 1S@ >etailing -oday. http;<<findarticles.com<p<articles<mi=m02@A<is=6*=77<ai=n65?*B2&2

+. Sil#er) S %200+' Wal-Mart's Scott to Step 1own. Dealerscope . @orth merican Au$lishing ,ompany . http;<<www.dealerscope.com<article<lee-scott-resign-ceo-wal-mart-ne"t-year-replacedmi.e-du.e-700&+B< *. http;<<walmartwatch.com<issues<corporate=culture<

1=. httpCIIwalmartwatch.comIhandshake 11. httpCIIwww.wakeupwalmart.comIchangeI


62. httpCIIwalmartstores.comIpressroomInewsI1=19F.asp&

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