Saturday, February 22, 2014

What are the problems that Walmart has faced ethicaly , and what has the company done to address them?

I think
that any business on the level that Walmart is on in terms of volume and wealth generated is
going to have its share of ethical challenges.  Certainly, Walmart has had their level of
ethical challenges.  Walmart has responded to such claims in a manner which can say that
progress has been made and that the ethical challenge has been addressed.  Yet, these situations
have not entirely dissipated and still linger around the perception of Walmart.


The most sustainable ethical problem Walmart faces is one in the realm of business
practices.  The idea of "predatory pricing" as one intended to drive out competition
can be seen as ethically questionable.  Walmart claims that this is not as much predatory, as
much as it is a desire to deliver the lowest possible costs to consumers.  The result,
deliberate or not, is to drive out local and smaller businesses that cannot afford to price at
the level Walmart can due to its bulk purchasing power.  

Another ethical
challenge Walmart faces is in the realm of labor relations.  Operating without unions, Walmart
sets its own compensation scale as well as its own employee practices. There have been some
charges of whether or not some of these practices have been ethical, such as the denial of
collective bargaining and addressing hiring practices.  

Specific studies
have shown that Walmart's hiring practices might not be ethically sound, especially in regards
to gender bias.  The questionable interpretation of child labor statutes is another area where
ethical concerns have been raised.  

In each of these cases, Walmart
commenced an internal review and claimed to have steps to remedy the challenges.  However, in
the end, all of these add up to create some level of doubt about the sincerity of Walmart in the
issue of ethical challenges, striving to put forth its economic viability as compelling and
attractive to its brand.

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