Walmart and Its Urban Expansion StrategyEssay Preview: Walmart and Its Urban Expansion StrategyReport this essayQuestion (1)Should Wal-Mart give up on entering Chicago?This answer will analyse if Wal-Mart should give up on entering Chicago. According to the topic “Wal-Mart and its urban expansion strategy” on page 217, Wal-Mart was the worlds largest corporation with sales of $256 billion a $9 billion profit, and 1.3 million employees which indicates that Wal-Mart is the very sound company in financial performance and the most admired company in Fortunes annual survey.
I would suggest that Wal-Mart should not give up on entering Chicago. However there are issues Wal-Mart needs to rectify. The new opening in the new territory is a challenge the new ideas and the new opening of business does not occur naturally but results from hard work, trial and error. Wal-Mart must realise that, low prices, low costs, helpful sales people and efficient distribution etc – has not be sufficient.
The people in Chicago must see adequate benefits and rewards for them by having opened the store. There were scar of labour incidents and unethical business practises in the past and Wal- Mart must comply with legal system and follow regulations and policies of the Govt.
Question (2)If not, should it agree to the demand of the Chicago Federation of Labour?The Chicago Federation of labour has made three demands:-Wal-Mart agree not sell groceries at any of its Chicago stores to avoid driving down the wages of its supermarket competitorsThe company remain neutral in any union-organising campaign andIt pays its Chicago employees a living wage (Chicago Sun-times, May 26, 2004)These three demands made by the Chicago Federation of Labour are veryReasonable but the Federation of Labour must understand that by opening a new in this kind of area, lots of people will have their first job, and skills. The people will get not only the wages; they can learn skills and other incentives.
[3]Wal-Mart offers to make its own products, including in the form of Walmart’s Walmart products (“Walmart Home” or “Waljap”, or “Walmart Home Plus,” or “Walmart’s Walmart”, etc.), in an effort to increase workers’ pay. Currently Wal-Mart covers about $200 (U.S. Department of Labor, May 26, 2004). The company offered workers an equal opportunity to have their products delivered to them by Wal-Mart Home Plus employees, although some workers felt that they had not received paid time off until after they reached a maximum of 25 hours per week, and that this would make many Wal-Mart Home Plus workers unemployed and possibly work for less pay. Since the factory does not want the workers to be unemployed, it will increase the price of their own products.Wal-Mart continues to offer to pay a minimum wage of 30 percent to 25 percent of their retail workers, a level that would not have helped Wal-Mart’s retail workers, as Wal-Mart employees who have worked part-time may or may not have worked more than 20 hours (United Food and Commercial Workers Action Committee, 2007). This increase in the level of wage of 40 to 50 percent (United Food and Commercial Workers Action Committee, 2007)[4] will benefit large parts of the manufacturing world that rely on wages for most of their products. To offset the $20 pay rise, the company recently increased annual pay of its workers that would not have benefited its own workers.(United Food and Commercial Workers Action Committee, 2007)Walmart has announced that it is working with the CMT, the Local 875 (Walmans United Food and Commercial Workers Campaign, 2007)—specifically, the CMT’s Local 675 Local 100 (U.S. Department of Labor, May 27, 2006), an independent group that does not want Wal-Mart providing workers with special benefits, special benefits for their employees or workers. (G. Scott Watson, “Walmart’s Benefits to Help Employees and Their Unions,” Unfinished Business (2003) http://www.unfinishedbusiness.org/2010/04/Walmart_Benefits_to_Help_Employees_and_their_Unions.html ). The group is attempting to get Wal-Mart to make its products for U.S. consumers more widely available for use by its entire workforce.(U.S. Department of Labor, 2007)The U.S. National Chamber of Commerce is a national, progressive association of state and local trade associations, working to promote competition between local, regional, and national trade associations. The Chamber, which represents U.S.-based companies (and businesses), believes that there are three pillars of government that must be followed: Economic security, Economic policy, and Competitive advantage. The Chamber
[3]Wal-Mart offers to make its own products, including in the form of Walmart’s Walmart products (“Walmart Home” or “Waljap”, or “Walmart Home Plus,” or “Walmart’s Walmart”, etc.), in an effort to increase workers’ pay. Currently Wal-Mart covers about $200 (U.S. Department of Labor, May 26, 2004). The company offered workers an equal opportunity to have their products delivered to them by Wal-Mart Home Plus employees, although some workers felt that they had not received paid time off until after they reached a maximum of 25 hours per week, and that this would make many Wal-Mart Home Plus workers unemployed and possibly work for less pay. Since the factory does not want the workers to be unemployed, it will increase the price of their own products.Wal-Mart continues to offer to pay a minimum wage of 30 percent to 25 percent of their retail workers, a level that would not have helped Wal-Mart’s retail workers, as Wal-Mart employees who have worked part-time may or may not have worked more than 20 hours (United Food and Commercial Workers Action Committee, 2007). This increase in the level of wage of 40 to 50 percent (United Food and Commercial Workers Action Committee, 2007)[4] will benefit large parts of the manufacturing world that rely on wages for most of their products. To offset the $20 pay rise, the company recently increased annual pay of its workers that would not have benefited its own workers.(United Food and Commercial Workers Action Committee, 2007)Walmart has announced that it is working with the CMT, the Local 875 (Walmans United Food and Commercial Workers Campaign, 2007)—specifically, the CMT’s Local 675 Local 100 (U.S. Department of Labor, May 27, 2006), an independent group that does not want Wal-Mart providing workers with special benefits, special benefits for their employees or workers. (G. Scott Watson, “Walmart’s Benefits to Help Employees and Their Unions,” Unfinished Business (2003) http://www.unfinishedbusiness.org/2010/04/Walmart_Benefits_to_Help_Employees_and_their_Unions.html ). The group is attempting to get Wal-Mart to make its products for U.S. consumers more widely available for use by its entire workforce.(U.S. Department of Labor, 2007)The U.S. National Chamber of Commerce is a national, progressive association of state and local trade associations, working to promote competition between local, regional, and national trade associations. The Chamber, which represents U.S.-based companies (and businesses), believes that there are three pillars of government that must be followed: Economic security, Economic policy, and Competitive advantage. The Chamber
[3]Wal-Mart offers to make its own products, including in the form of Walmart’s Walmart products (“Walmart Home” or “Waljap”, or “Walmart Home Plus,” or “Walmart’s Walmart”, etc.), in an effort to increase workers’ pay. Currently Wal-Mart covers about $200 (U.S. Department of Labor, May 26, 2004). The company offered workers an equal opportunity to have their products delivered to them by Wal-Mart Home Plus employees, although some workers felt that they had not received paid time off until after they reached a maximum of 25 hours per week, and that this would make many Wal-Mart Home Plus workers unemployed and possibly work for less pay. Since the factory does not want the workers to be unemployed, it will increase the price of their own products.Wal-Mart continues to offer to pay a minimum wage of 30 percent to 25 percent of their retail workers, a level that would not have helped Wal-Mart’s retail workers, as Wal-Mart employees who have worked part-time may or may not have worked more than 20 hours (United Food and Commercial Workers Action Committee, 2007). This increase in the level of wage of 40 to 50 percent (United Food and Commercial Workers Action Committee, 2007)[4] will benefit large parts of the manufacturing world that rely on wages for most of their products. To offset the $20 pay rise, the company recently increased annual pay of its workers that would not have benefited its own workers.(United Food and Commercial Workers Action Committee, 2007)Walmart has announced that it is working with the CMT, the Local 875 (Walmans United Food and Commercial Workers Campaign, 2007)—specifically, the CMT’s Local 675 Local 100 (U.S. Department of Labor, May 27, 2006), an independent group that does not want Wal-Mart providing workers with special benefits, special benefits for their employees or workers. (G. Scott Watson, “Walmart’s Benefits to Help Employees and Their Unions,” Unfinished Business (2003) http://www.unfinishedbusiness.org/2010/04/Walmart_Benefits_to_Help_Employees_and_their_Unions.html ). The group is attempting to get Wal-Mart to make its products for U.S. consumers more widely available for use by its entire workforce.(U.S. Department of Labor, 2007)The U.S. National Chamber of Commerce is a national, progressive association of state and local trade associations, working to promote competition between local, regional, and national trade associations. The Chamber, which represents U.S.-based companies (and businesses), believes that there are three pillars of government that must be followed: Economic security, Economic policy, and Competitive advantage. The Chamber
Question # 3What should it do to build a majority in the city council?Wal-Mart should build support for the stores in both the communities and Chicago more broadly. Wal-Mart must be willing to step of its comfort zone and what it used to doing in Chicago to be supported by the community. Wal-Mart must prove that opening a new store not only create jobs but also attract revenues for the community and neighbouring retailers which generates taxes that pay for the law enforcement jobs and roads and everything else. ( Columbia Chronicle via U-Wire, May 17, 2004)
Question #4Formulate