Ethics and Management of Wal-Mart
Abstract
Standards, values, morals and ethics have become increasingly complex in a postmodern society where absolutes have given way to tolerance and ambiguity. This particularly affects managers in Human Resources, where decisions will affect people’s jobs and their future employment. This paper will look at the history of Wal-Mart and it will glance at the management style and Ethics of Wal-Mart towards it internal and external customers.
Wal-Mart Ethical and Management Style
Wal-Mart is not only the largest retail company but it is the largest company in the world. It is bigger than Home Depot, Target, Costco, Kroger, Sears and Kmart combined. The only competitor that might be considered to be Wal-Mart biggest and closest rival is Target, but it is still small in comparison. Wal-Mart succeeded over their rivals due mainly to Walton’s focus on the ignored small-town market, an innovative distribution and inventory control system that allowed the company profitably to undersell rivals, and Walton’s ability to build a strong feeling of community among workers and customers (Vance and Scott, 1994).
Wal-Mart Stores operates retail stores in various formats across the world. In the U.S. the retail formats operated by Wal-Mart include discount stores, supercenters, neighborhood markets, marketside, and Sam’s clubs. Internationally, the company operates in Argentina, Brazil, Canada, Chile, China, Costa Rica, El Salvador, Guatemala, Honduras, India, Japan, Mexico, Nicaragua, Puerto Rico and the UK. (www.datamonitor.com, 2011). Wal-Mart is more than just another large company, in 2011 their total revenues was $419 billion and they employed over 2.2 million workers in the United States at about 3,600 stores and more than 550 employees at Sam’s Club (Neumark et al, 2005). Wal-Mart’s success has drawn both imitators and critics. Wal-Mart has been accused of putting thousands of local stores out of business, driving down wages and forcing its workers
Standards, values, morals and ethics have become increasingly complex in a postmodern society where absolutes have given way to tolerance and ambiguity. This particularly affects managers in Human Resources, where decisions will affect people’s jobs and their future employment. This paper will look at the history of Wal-Mart and it will glance at the management style and Ethics of Wal-Mart towards it internal and external customers.
Wal-Mart Ethical and Management Style
Wal-Mart is not only the largest retail company but it is the largest company in the world. It is bigger than Home Depot, Target, Costco, Kroger, Sears and Kmart combined. The only competitor that might be considered to be Wal-Mart biggest and closest rival is Target, but it is still small in comparison. Wal-Mart succeeded over their rivals due mainly to Walton’s focus on the ignored small-town market, an innovative distribution and inventory control system that allowed the company profitably to undersell rivals, and Walton’s ability to build a strong feeling of community among workers and customers (Vance and Scott, 1994).
Wal-Mart Stores operates retail stores in various formats across the world. In the U.S. the retail formats operated by Wal-Mart include discount stores, supercenters, neighborhood markets, marketside, and Sam’s clubs. Internationally, the company operates in Argentina, Brazil, Canada, Chile, China, Costa Rica, El Salvador, Guatemala, Honduras, India, Japan, Mexico, Nicaragua, Puerto Rico and the UK. (www.datamonitor.com, 2011). Wal-Mart is more than just another large company, in 2011 their total revenues was $419 billion and they employed over 2.2 million workers in the United States at about 3,600 stores and more than 550 employees at Sam’s Club (Neumark et al, 2005). Wal-Mart’s success has drawn both imitators and critics. Wal-Mart has been accused of putting thousands of local stores out of business, driving down wages and forcing its workers