Is Wal-mart good for the U.S. economy?

Answer 1

Yes.

I think they actually help keep inflation in check by pushing for low prices. They also help the US families through their low prices by allowing them to have greater purchasing power for their dollars. But in order to get low prices, they are pushing their suppliers to go overseas. But I think there is a net gain for the US economy.

Answer 2

Probably not. They claim that by buying from overseas manufacterers (specifically China) they can pass along savings to the consumer. However the consumer rarely sees much of this as a savings. Wal-Mart draws people into the store with great prices on selected items, but other items are as or more costly than elsewhere. So unless you only buy the specific item you are probably not saving.

But assume for a moment that you are realizing some savings. Do those savings offset the loss of US jobs? Remember, the people who are out of work are probably customers of the businesses you, your wife, father or others work for. And if they haven't got a job, they aren't buying those products. So you (or your wife, father, etc..) don't get quite as big a raise when that time comes.

See how it works?

Additionally, Wal-Mart has a policy of hiring only part-time employees whenever possible so they don't have to pay benefits. And they also tend to release those who are full-time when they start making too much money. And they have been accused of hiring illegals for cleanup and store maintenence.

We have about a $260 billion trade deficit with China right now and much of that is consumer goods... and Wal-Mart is the nations largest retailer. Do the math.

Regardless of what the experts say, even a first year finance student knows that trade deficit is bad for our economy.

Answer 3

Yes. Wal-mart has done more to help the poor in this country then any government welfare program.

Wal-Mart's model has brought really low prices to people, both in Wal-Mart and by forcing the competition to lower prices. Contrary to the other poster, yes their items are far cheaper than in many other retailers, and not just the specials.

Oh, they're not perfect, and they do some things I'm not crazy about, but yes, the US is better because Wal-Mart exists.

Answer 4

Despite local concerns to the contrary, Yes

They have succeeded in a free market economy by reducing costs constantly and maintaing their expected level of quality, They have played the free market game very well, almost to the point of monopoly, however they are not a monopoly and likely won't be.
- They were an early adopter to the use the global market to acquire cheaper goods. That irritates US suppliers of these products because jobs seem to go overseas (actually, it usually shifts those US jobs from production of goods to services to deliver and support them). Although that seems bad to many, it is good. Being a global partner helps the peace process (we don;t war with trading partners), keeps costs down and avails good that many couldn;t afford.
- They were an early adopter to electronic transactions of purchases and payments to their suppliers...that is huge cost saving to a company and expensive for smaller companies (like a local retailer or drugstore) to emulate. Walmart leverages their size to be less costly. That is good to any economy to have a business grow and be efficient....forcing competitors to do the same.
- They have provided jobs and benefits to communities that had little of that. Conversely, they overwhelm many local stores who lose their jobs and businesses. That is a good/bad tradeoff and a sour pill for those who lose.
- They have fought unions. That is bad for the economy. Collective bargaining is the only control to ensure fair practicces by Walmart
- Their low prices provide goods to those that may not afford them otherwise. That is good to the US economy.

Overall, a succssful company is good.

Answer 5

It's depend on the perspective of top management of wal-mart:
Good, if the management put customer interest, community interest & employee interest above share holder & management interest. Meaning: the customer satisfation, community development, employee's wealth become first company's goal, or, the increasing of share holder's wealth will be achieved when the other interest has been satisfied.
Bad, if management put share holder interest as main goal.

Answer 6

I don't know, but they're good for the economy of my household...lol....they've saved me a ton of money this year alone...