Is Wal-Mart Good For America

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Is Wal-Mart Good for America? As the world's largest company, Wal-Mart has revolutionized the way Americans shop. They provide a one-stop shop where you can get everything you would possibly need and offer some of the lowest prices. They have over 3,800 stores nation wide and employ thousands of American workers. They have increased the productivity in the United States, and continue to be the leading example of how to have a successful company. But in order to obtain all of this success, they had to change the way that businesses in the United States had been operating for years. One of Wal-Mart's main principles is to offer goods at the lowest possible prices for their customers. In order to do this, however, they pay all of their workers low wages. But the main way that Wal-Mart offers such low prices is by buying their products from companies who make their products in other countries such as China. In places where minimum wage can be as low as 10 cents an hour, these companies can afford to sell their products for less than what the American companies can produce them for. This drives the American companies to open factories in other countries as well. The producers of Wal-Mart, for example the company that makes the beds that will be sold at Wal-Mart, are at the mercy of the superstore. As the largest company in the world, Wal-Mart is obviously the largest customer for all of their producers. This gives them the power to demand the prices they want to pay for the products they are buying. If Wal-Mart purchases 65% of all of the goods sold buy a producer, the producer can not afford to lose Wal-Mart as a client. So when Wal-Mart demands that the producers sell them their products for 20% less than what they would normally be sold for, the producer can choose to either lose 65% of their bottom line or sell their product to Wal-Mart at the lower price.

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