Many believe that the increasing prevalence of major retailers is terrible not only for local economies, but for America as a whole. The ubiquitous presence of Walmart throughout the country is often pointed to as the largest sign of this negative trend. The corporation has been accused of driving local businesses out of operation, treating workers poorly, and contributing to the rise of cheaply
. made foreign goods.Upon entering a new market, Walmart is known for its aggressive competitive practices. Many products are initially priced well below manufacturer suggested prices and sometimes at a loss for the chain. The extremely low sale prices are usually not matchable by mom and pop stores and even mid-size or larger chains. Consumers take every opportunity to stretch their shrinking dollars and are often forced to choose savings over local loyalty. Certain employees are often tasked with visiting competitors to determine current sale prices and store promotions and recording their findings. These findings are then used by Walmart to undercut their rivals. Many stores are unable to compete and often go out of business due to lack of customers.Many allegations of poor treatment of workers have been made against the company throughout its history. Charges of being disallowed mandated breaks, having to work off the clock, and being discriminated against for promotions and raises based on gender or race have all been levied at the store or judicial level. Walmart recently reduced and revoked benefits from most of its part-time staff and made the working requirements for benefit eligibility much stricter. The stores are also infamous for their zero tolerance policy of union organizing. Anti-union videos are one of the first things new employees see, and entire departments that managed to unionize have been discontinued.Founder Sam Walton was famous for his policy of having the lowest prices. What should be a boon to consumers is terrible for workers and small business owners. The cutthroat negotiating process for getting prime shelf space in a Walmart store often involves small domestic businesses having to sell their products to the corporation at a major loss. The company also procures a large amount of merchandise that has been manufactured in foreign countries such as China and Indonesia. This contributes to the outsourcing of local jobs which causes further damage to the economy.More reference links: http://webhost.bridgew.edu/jhayesboh/badbusiness.html http://walmartwatch.org/
