Tuesday, November 23, 2010

Report on “Is wall mart good for America”

Report on “Is wall mart good for America”

Hello friends, 

today our professor   showed a video on wallmart and gives an assignment on "is wall mart good for America,"? this assignment is a worthy one and i want to  share the   reviews with you guyz,your feedback is open for  this blog....thanks.
    The wall mart video shows that wall mart makes its way to the global arena of business because of its revolutionary business strategies. It becomes an icon in the global retailing business.
·         Because of its unique strategies and standards wall mart enjoys the leadership position in retailing market, which ultimately forces the competitors to follow the country retail head to survive in the market.
·         The video also shows that wall-mart facilitates the “one stop one shop store”, which provides customers a variety of goods and services under one roof at its level best low market price.
·         Wall-mart is also able to provide the consumer all such things because, the reason behind the retail giants success is :
·         Purchasing goods at a cheaper price from the different suppliers.
·         Make high profit by selling high volume turn over.
·         Selling goods at a lesser or cheaper price (which is claimed to be the lowest price in the market).which ultimately provides the low cost strategy advantage.
·         To provide the customer with low cost qualitative goods, they search for the manufacturers who are in line to provide goods as per the wall-mart’s demand. At the same time the wall-mart tries to reduce the production cost also.
·         Here china comes into the picture, because china is one of the leading product manufacturer .here the supplier bargaining is also possible and the retail giant also showed interest in low cost products from china. Here the retail giant tried to achieving success in spite of losing its global standards.
·         China is known for cheaper and low standard products .when wall-mart outsource products from china to make available the products at cheaper price in the American and global market. The contract between wall-mart and china manufacturer had directly affected the local manufacturer, labor and retail sector as a whole.
·         This action by the retail head finally success-ed cut-down the roots of both manufacturing units and labor forces. At the same time it closed down the competitor retail businesses also (because it was not possible combat with such low cost strategies.).
·         This video also shows, Rubbermaid(known for quality) was one of the manufacturer , who was not able to reduce the price as per the  wall-mart’s  demand and loses its sales (because not able to make it into the partner wall-mart’s sell shelf, and ultimately dropped by wall-mart).It doesn’t looks ethical with Rubbermaid from the partnership  point of view, it contradict with the loyalty factor
·         It shows that actually wall-mart doesn’t provide lowest price cost but the customer feel that the moderate price is the lowest price as claimed by retail giant.
·          As my view concerns, I think everything must be ethical,as we need to consider the people around the business environment as well as the country people .some may ask there is no space for ethics  while making a good profit but reply is that ethics is not compulsory  rather than considerable to the firm.
·       In this video one person spoke about the fairness regarding combat business ,of course there is no space available for ethics while business concerns ,but in due course wall mart should  take care of the standardization of its products as well as the standard of living of Americans . this strategy may suit for the wall-mart way of business and country partner china, but at the same time deals with unfairly to the country people.

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