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Author Topic: Wal-Mart and the economy  (Read 585 times)
Gojira
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« Reply #15 on: October 11, 2007, 07:25:39 PM »

You don't identify a connection between corporate pressure to reduce production costs and the accidental release of defected and dangerous products?

Interesting comment.  Yet, Mattel (as an example) isn't the only company that supplies their products.  Maybe the suppliers and retailers should of have had a more active role however when business is usually based on trust after good reputations, businesses shouldn't have to expect such things to happen.  But don't think that risk management teams aren't all over this.  They are going to make sure that something like this isn't going to happen again.  The cardinal rule is admitting mistake, and that has happened.

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Evil? No, just complicated. As a single organization it is only a product of economic circumstance. The owners of Wal-Mart are forced to engage in harmful practices due to the competitive market.

Forced? I don't think so.  Complicated? Maybe.  Mattel at first tried to blame China's producers only later to blame themselves.  The business world is much complicated but I don't think we should be so quick to blame retailers even if they have had an indirect effect on production.  If certain production standards can't be met, truthful companies should be open about it.  That's it.  If not, government needs to step in.  And china did.  Supposedly.

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« Reply #16 on: October 12, 2007, 01:13:07 PM »

Walmart will change its policy, all people have to do is care more about policy than price.  Everyone wants to blame Walmart for everything, but does anyone understand that Walmart will only do what people want them to do?  Buy more expensive products from another firm and eventually Walmart will care, they don't have a monopoly, only the lowest prices.

Of course we can throw out the fact that Walmart, especially when located in poor areas, lowers the food and clothing costs substantially 10 - 20%. 

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Global Insight reviewed a wide range of previous studies that indicated that the efficiencies that Wal-Mart has fostered in the retail sector have led to lower prices for the U.S. consumer. These results were supported by statistical analysis which found that the expansion of Wal-Mart over the 1985 to 2004 period can be associated with a cumulative decline of 9.1% in food-at-home prices, a 4.2% decline in commodities (goods) prices, and a 3.1% decline in overall consumer prices as measured by the Consumer Price Index-All Items, which includes both goods and services.

The main driver of this impact was a 0.75% improvement in the overall efficiency of the economy. Increased capital intensity and lower import prices were secondary drivers. The 3.1% decline in the price level was partially offset by a 2.2% decline in nominal wages, so that the net effect was to increase real disposable income by 0.9% by 2004.

Global Insight]http://www.globalinsight.com/MultiClientStudy/MultiClientStudyDetail2438.htm]Global Insight
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chovy
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« Reply #17 on: November 19, 2007, 01:45:52 AM »

I've got new hope for WalMart, if they come through on their promise.

They are going green, according to the CEO. Reducing product packaging, one cereal box that contains no air, would save 1,500 trees. vs. the existing packaging that is 20% air (no product).

They are also giving preferential treatment to supply siders that demonstrate an acceptable level of green technology at their facilities.

In 2 years, the goal is to have all WalMart trucks operating on biodiesel.

They are also retrofitting their stores with renewable energy as part of the energy mix where appropriate. That includes auto dimmers that adjust the lighting based on the amount of sunlight that is coming into the store (much more efficient than "all on or all off"). They are also adding solar panels on the roofs, and wind turbines as well.

This is a good sign to see one of the most competitive companies ever known take a lead in this area.
« Last Edit: November 19, 2007, 01:49:42 AM by chovy » Logged
Biker Dude
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« Reply #18 on: November 19, 2007, 05:47:27 AM »

I can't recall exactly where but somewhere locally I have seen a store with a wind generator...
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chovy
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« Reply #19 on: November 19, 2007, 08:29:48 AM »

I saw one in Austin, TX
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