Walmart Rolling Back Savings and Rolling in Wealth
Walmart has become a household name. It is a budget retailer that sells a wide range of consumer goods. Walmart is the world’s largest retailer with stores in over 27 countries and net sales approximating $345 billion. Walmart was founded in 1962 by Sam Walton in Rogers, Arkansas. Sam Walton strived to provide a budget friendly retail store that praised small-town, Christian values that include, loyalty, hard work, conformity, and patriotism. Although Walmart has significantly changed since its establishment, Walmart continues to reflect important features of its early beginnings.
Walmart has grown rapidly over the years and now employs approximately 2 million people across the world in over 11,000 stores. Generally, business analysts suggest Walmart’s success relies highly upon three factors, Walmart’s early adoption of advanced information and logistics technology, its capacity to restrain labor costs, and its skill in micromanaging suppliers. Walmart is considered to be responsible for a major shift in the structural organization of the global economy.
Up until recently, the world’s most powerful businesses were manufacturers, not retailers. As the major supplier of clothes, toys, sporting goods, and groceries, Walmart exerts its influence on its supply chains, who make crucial decisions about where their goods are produced, how they are produced, stored, transported, and so on. To ensure their “everyday low prices” Walmart also holds firm their labor discipline. Thus, Walmart employees earn less than the poverty level.
As Walmart continues to rise from the small “Walton’s five and dime shop it once was, it continues to raise the question “What’s next? Walmart plans to provide us with ‘Supercenters Of The Future,’ which would include solar powered panels, bio-fuel-capable boilers, and wind turbines. Walmart has superseded what Sam Walton thought it would be, and the Walton family continues to reap the benefits of it, as the Walton’s are the richest family in the United States. In May 2018, the annual Sunday Times Rich List indicated the Walton family’s wealth is at $174.9 billion.