Criticism of Walmart

A Walmart Supercenter in Madison Heights, Virginia (2005)

The American multinational retail chain Walmart has received criticism from parties such as labor unions and small town advocates for its policies and business practices.

Criticisms include charges of racial and gender discrimination,[1][2][3] foreign product sourcing, anticompetitive practices, treatment of product suppliers, environmental practices,[4] the use of public subsidies, and its surveillance of its employees.[5] The company has denied any wrongdoing and said that low prices are the result of efficiency.[6][7][8]

In 2005, labor unions created new organizations and websites to criticize the company, including Wake Up Walmart (United Food and Commercial Workers) and Walmart Watch (Service Employees International Union). By the end of 2005, Walmart had launched Working Families for Walmart to counter those groups. Efforts to counter criticism include a public relations campaign in this same year,[9] which included several television commercials. The company retained the public relations firm Edelman to interact with the press and respond to negative media reports,[10] and has started working with bloggers by sending them news, suggesting topics for postings, and inviting them to visit Walmart's corporate headquarters.[11] In November 2005, a documentary film critical of Walmart (Walmart: The High Cost of Low Price) was released on DVD.

Critics say that Walmart's lower prices draw customers away from smaller Main Street businesses, hurting local small town communities, and that the company hurts the United States economy by relying excessively on Chinese-produced products – Walmart is the largest importer in the United States in many categories, such as electronics and fast-moving consumer goods.[12][13] The 2006 book The Walmart Effect by business journalist Charles Fishman contains much of the criticism, though it also enumerates Walmart's positive impacts within society.

  1. ^ Kabel, Marcus. "Walmart, Critics Slam Each Other on Web". The Washington Post. July 18, 2006. Retrieved on July 31, 2006.
  2. ^ Sellers, Jeff M. (April 22, 2005). "Women Against Walmart". Christianity Today. Retrieved July 31, 2006.
  3. ^ Sellers, Jeff M. (April 22, 2005). "Deliver Us from Wal-Mart?". Christianity Today. Retrieved on July 31, 2006.
  4. ^ O'Donnell, Jayne (May 28, 2013). "Walmart waste". USA Today. Retrieved December 3, 2013.
  5. ^ Norman, Al (2004). "The Case Against Wal-Mart". Raphel Marketing, p. 7. ISBN 0-9711542-3-6.
  6. ^ Copeland, Larry. (March 13, 2006). "Wal-Mart's hired advocate takes flak". USA Today. Retrieved on July 31, 2006.
  7. ^ Rodino Associates. (October 28, 2003). "Final Report on Research for Big Box Retail/Superstore Ordinance". Archived March 26, 2009, at the Wayback Machine Los Angeles City Council. Retrieved on July 31, 2006.
  8. ^ Smith, Hedrick. "Who Calls the Shots in the Global Economy?" PBS. Retrieved on July 31, 2006.
  9. ^ "Walmart Corporate – We save people money so they can live better". walmartfacts.com. Archived from the original on May 16, 2008. Retrieved May 6, 2016.
  10. ^ Barnaro, Michael. (November 1, 2005). "A New Weapon for Wal-Mart: A War Room". The New York Times. Retrieved on August 1, 2006.
  11. ^ Barbaro, Michael. (March 7, 2006). "Wal-Mart Enlists Bloggers in P.R. Campaign". The New York Times. Retrieved on August 1, 2006.
  12. ^ Boaz, David. (November 8, 1996). "Chrysler, Microsoft, and Industrial Policy". Archived February 3, 2006, at the Wayback Machine Cato Institute. Retrieved on August 17, 2006.
  13. ^ Bandow, Doug. (March 26, 1997). "Can 'Unbridled Capitalism' Be Tamed? Archived February 3, 2006, at the Wayback Machine" Cato Institute. Retrieved on August 17, 2006.