Impact of Wal-Mart on the US Economy Essay -- Business Economics

Impact of Wal-Mart on the US Economy Wal-Mart has had a significant sparing impact on the US, as well as the economies of countries that have traffic with the US. Wal-Mart is the mans biggest company of any kind, with 80 percent of the households in America purchasing something from the superstore it is the nations largest retailer. Wal-Marts continuing legal injury reduction has given Americans the advantage of being able to afford 15 to 20 percent more than they previously could. (Hansen) In a world governed by globalization and greed, competition has become rigid as a result firms like Wal-Mart have utilized advanced marketing strategies to promise that they are on the neck of competition, and are the core deciders of the market. (Ortega) However, Wal-Mart made decisions that were of a disadvantage to aspects of the economy, including the depletion on a sm wholly scale of Small township USA. Wal-Mart has been of a great advantage to the US economy, be ing the worlds largest private employer thus providing more jobs. Wal-Mart is currently employing 1.5 million which equals to the population of 12 states. In addition, Wal-Mart has caused the lowering of prices of competitors known as the Wal-Mart effect, this saved Americans close to $100 billion in 2002. (Hansen) On a smaller degree, this caused an individualist American to save 15 to 20 percent of their income on necessities, allowing the nimiety to be utilized in a fashion that allows an expenditure which fulfills a specific luxury to the individual, for example a car etc.. From my point of view, this allows the less(prenominal) advantaged to be able to purchase beyond necessities, and causing more coin to spread through the market rather than the recycl... ...al-Marts methods to keeping these prices slew have been immoral. In addition, they have taken advantage of town resources for example, subsidies, employee benefits and victimization of cheap labor. Even though they have surpassed significantly in attracting customers all over the nation, they failed to do so ethically. This has created losses to competitors, and the battle for profit is an current one. Therefore, I believe that Wal-Mart has become an economical disaster to competitors and the US as a whole. This is due to the exporting of huge amounts of funds to Asian countries, which in turn reduced the funds in the US due to uninterrupted import costs. Works CitedHansen, Brian. Big-Box Stores. Are They Good For America? 14 (2004). 14 Mar 2005 <www.libraries.psu.edu/cqresearcher.Ortega, Bob. Ban the Bargains. The Wall Street journal 11 Oct 1994.