Wal-Mart is a companythat believes in diversification in business, workforce and in thecommunity. Wal-Mart has branched outover the years going from an everyday general store to having a stronghold onother markets such as retail and groceries putting Target and Kroger at risk (Flannary,2006). By diversifying, Wal-Mart hasbeen able to expand their horizons in different industries, both locally andglobally. This is a huge advantage forthem and this has created more opportunities over the long run. Wal-Mart also has one of the most diversifiedworkforces. They make it their missionto create opportunities for all people, no matter race, gender, disability,etc. (McMillon, 2016). Over 40% ofWal-Mart’s associates, over 30% of Wal-Mart’s managers and over 20% ofWal-Mart’s officers are people of color.
When it comes to gender, over 50% of Wal-Mart’s associates, over 40% ofWal-Mart’s managers and over 30% of Wal-Mart’s officers are woman (McMillon,2016). Wal-Mart has also made it theirmission to employ veterans, people of the LBGT community, etc. This also give Wal-Mart an advantage becauseit makes them a more welcoming presence in the retail and groceryindustry.
Wal-Mart continues to grow in allaspects. I would recommend that theycontinue to diversify all throughout markets, employees and the community. They have huge advantage over their currentcompetitors, but if they continue to explore new markets, there is noindication that they would fail.
Theyhave excelled in every market that they have entered. They need to keep pushing the bar as high asthey can. I would also recommend thatthey try to enter markets that may be a little weak in that there are not manyhigh-profile competitors. This wouldmake it easier to penetrate and take over a market for such a huge entity suchas Wal-Mart. Wal-Mart’s ethics statement reads asfollows:”Global Ethics isresponsible for promoting Walmart’s culture of integrity.
This includesdeveloping and upholding our policies for ethical behavior for all of ourstakeholders everywhere we operate (corporate.walmart.com).”This statement is basedoff three general guidelines:· Serves as a guide and resource for ethicaldecision making· Provides a confidential and anonymousreporting system· Leads a continuing ethics education andcommunication system(corporate.walmart.com)Although Wal-Martpreaches about ethics, the have been scrutinized by many. They have been viewed as a company that don’tpractice ethical behavior.
They areknown for going back and forth with their suppliers, treating their employeespoorly and not living up to the standards that they have set for themselves(Crofoot, 2012). Wal-Mart’s Social/Global responsibilityapproach is:”Working with others, weaspire to reshape whole systems to achieve significant and lasting improvementin social, environmental and economic outcomes. For example, enhancingenvironmental sustainability in retail supply chains means addressing theirsocial and economic dimensions, too. We have placed, and will continue toplace, increasing emphasis on social issues such as empowering women andpromoting worker safety and dignity (corporate.walmart.com).”Wal-Mart can boast thatthey live up to their social responsibility to some extent when it comes to thebusiness side and responsibility to their consumers. They do employ over two million people of allraces, genders, etc.
, bring low prices to consumers, keep suppliers in businessand donate to charity regularly (McGraw-Hill, 2014). However, this does not make up for the factthat they do not usually run an ethical corporation. Their employees are often forced to work morethan the law requires and their suppliers are often cheated out of money theydeserve (McGraw-Hill, 2014). Wal-Mart also provide a sustainabilitystatement that reads:”Working with others, weaspire to reshape the way we work to achieve significant and lastingimprovement in environmental and social outcomes, in a way that also improvesour business. Our approach accelerates us towards our three aspirational goals:to create zero waste, operate with 100% renewable energy and sell products thatsustain our resources and the environment. We are using our strengths to notonly further work in our own operations, but to also help create a moresustainable value chain (corporate.walmart.
com).”Wal-Mart can also boastabout living up to their sustainability statement to some extent. They are well known for keeping up with the “goinggreen” trend. They do strive to reduce environmentalimpacts and provide more affordable and healthier products (corporate.
walmart.com). However, their treatment of their employeesis very well known.
Wal-Mart needs to address issues that has, andwill, hurt them in the long run. They needto fix the problem within their company and then work on the other issues. Wal-Mart should focus on improving their employee’shours and pay. They do promote from within,which is good, but their employees today work long hours for minimal pay. In order to keep growing, Wal-Mart needs to builda stable community starting from within.