I've probably been unjustly hard on Wal-Mart Stores, Inc. (NYSE:WMT) in the past. It's not that I don't like them, it's more a case of not liking some of the moves they've made as a corporation. The one thing that really set me off was when on September 14, 2006, Wal-mart announced the phasing out of their layaway program. Without knowing the true reasons why they elected to do that, I thought that made things tougher for their potential customers who have limited buying power. I still feel that way somewhat, but I admit I failed to get Wal-mart's side of the story. The reasons Wal-Mart cited were declining use and increasing expense. They did state that they were examining other financing options for their customer's large ticket purchases. It seems like sound logic to me. Perhaps I overreacted.
In any case, I thought that now would be a good time to get Wal-mart's side of the story. I've been looking at news articles and press releases on their web site and I must say that I am impressed. I never realized just how much Wal-mart actually does for the communities they serve. When you step back from the obvious "hype" issues and take a big picture view, Wal-mart actually takes on quite a nice warm glow. I found a multitude of admirable projects that Wal-mart leads or is involved in. I'd like to share some of those with you.
The $4.00 prescription drug program: Yes, it's a marketing strategy but let's be realistic. This move by Wal-mart will save American consumers millions of dollars in prescription drug costs. This is not a price rollback; this is a cost GIVE BACK. This program will put money directly back into the hands of hard working Americans.
Wal-Mart's Acres for America: Acres for America is a one-of-a-kind partnership between Wal-Mart Stores, Inc. and the National Fish and Wildlife Foundation to conserve critical wildlife habitats for future generations. Wal-Mart Stores, Inc. has committed $35 million over 10 years to permanently conserve at least one acre of priority wildlife habitat for every developed acre of Wal-Mart Store's retail campuses.
The Jason Foundation, Inc. Wal-Mart Stores, Inc. on November 17 2006, announced a three-year commitment to donate a total of $750,000 to the Jason Foundation, Inc. (JFI) in a shared effort to support the organization's mission of providing information, tools and resources for youth suicide prevention.
America's Second Harvest: Through a nearly $1.5 million donation from Wal-Mart Stores, Inc. for its national BackPack Program, America's Second Harvest-The Nation's Food Bank Network will deliver backpacks filled with nutritious, protein-rich food to school children in need. Local food banks nationwide will receive grants for its program during a series of regional events.
American Indian College Fund: Wal-Mart Stores, Inc. announced a $66,000 grant to the American Indian College Fund (AICF) in support of the Wal-Mart Tribal College Scholarship Program. The grant, announced at the American Indian College Fund Flame of Hope Gala in New York on November 9, 2006, will provide $66,000 to the nation's 32 tribal colleges and universities.
National Minority Supplier Development Council: Wal-Mart Stores, Inc. on November 1, 2006, announced a $1 million grant to the Business Consortium Fund (BCF). BCF was established by the National Minority Supplier Development Council (NMSDC) to address the lack of traditional lending opportunities for minority businesses. This announcement comes after the company made an initial $1 million donation to the BCF last October. The additional funds will continue to assist the organization in financing NMSDC-certified minority businesses across America.
The above examples are only a portion of the overall beneficial things that Wal-mart has been involved in world-wide. It seems to me that mainstream media has largely ignored most, if not all of them. Perhaps a few more people need to take notice of the fact that having given more than $245 million to charity last year, Wal-Mart is proud to have been named by the Chronicle of Philanthropy as the largest corporate cash donor in America. That sure beats any old price roll back.
My apologies if I have been unfair to you, Wal-mart. But remember, we're watching you closely, perhaps you need to speak up more about all the good things you've done!!!
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Reader Comments (Page 1 of 1)
11-20-2006 @ 11:21AM
alklan said...
Wal-Mart is not just another evil corporation.....they are THE Evil Corporation!
Has any organganiztion ever cost the USA more manufacturing jobs, more mom and pop stores, more cos that service these now defunct small stores, worsened our tax base, built on more cornfields, congested more roads and on and on!
Sure they give a few bucks back, but my guess is the drug companies will be coerced to give back more to Wal-Mart and get no fan fare than Wal Mart gives to anyone with much fan fare!
Wal-Mart is not only the face of evil, they are the body and mind as well!
11-20-2006 @ 11:26AM
Robert Hatfield said...
perhaps you shoud get just a few facts before painting such a broad stroke of all companies into one basket?
Your "voice" gets some people so riled up that they never change their opion even after the facts are known.
11-20-2006 @ 11:40AM
TD said...
Still crying over mom and pops, typical blinder wailing. Have any of you ASKED if mom and pop is dying? Probably not, because if you did you'd find out that we're SUPPLYING mom and pop. The Co. is less expensive to these small stores than their regular suppliers. It's called ... adaptation, between Sam's Club & WMT, we supply most of what they need all in one trip. The mom and pops that have fallen by the wayside were dying before we got there.
11-20-2006 @ 12:22PM
allan said...
Which facts are incorrect?
That Wal Mart is the largest importer from China in the USA?
That Wal Mart stifles competition by blowing out nearby competitors in the food business with its' multi store support, then increases prices after the competition leaves?
That the in town small stores demise was hastened by Wal Mart. Look to places like Vermont where Wal Mart incursions in the burbs have been controlled and see the great small towns that do much more than survive!
Wal Mart supplies those stores by demanding lowewr prices from vendors than any small store can ever get...by saving customers pennies whilst cost towns jobs and money.
Sorry if I seem passionate, I simply don't accept the monopolistic stature of Wal Mart....and as one involved in domestic manufacturing I see the results of exporting jobs by the thousands!
11-20-2006 @ 12:32PM
kelly said...
Their peice meal offerings to a few select organizations doesn't change the fact that instead of providing decent health care for their workers, they make you and i, the taxpayer, subsidize the cost.
How can a company with over 11 billion in profit make taxpayers foot the bill? How is that okay?
11-20-2006 @ 1:04PM
Richard said...
My comment on the part about Layaways "The reasons Wal-Mart cited were declining use and increasing expense" It's not a declining use the fact is with so many Wal-Marts opened you have more store to use the layaways at. Wal-Mart used to have 500 stores so they had high dollar sales and layaways. Now the have 3000 store the dollar amount for layaway are the same total but each of the store has less layaways in the stores there for the single store is doing less so lets dump the whole layaway program right? and have the customer pick up a new Wal-Mart credit card so Wal-Mart can collect intrest on the unpaid balance that the customer would not have paid if they could have put the merchandise in layaway. Wal-Mart is not a leader it's a follower in greed.
11-20-2006 @ 1:10PM
Michael Williams said...
If people really stopped and thought about how Wal-mart started out. Back in 1962 Sam Walton opened a mom and pop store. He towered over all the competiotion because he knew what people wanted and what price they wanted it for. Now adays people like the mom and pop stores for convenience and specialized service something as big as Wal-mart can't offer. Also I would like to say Wal-mart has a great option for healthcare. I know because I have it. As for you guys still pondering over the story from moons ago about Wal-mart turning it's associates to state ran healthcare, GET OVER IT, IT WASN'T TRUE THEN AND IT'S NOT TRUE NOW. I would like to see a positive story aired on the news or the front page of the newspaper but that'll never happen because it's not what the public wants to hear.
11-22-2006 @ 8:04AM
Coldspring said...
If Wal-Mart wouldn't have gotten so big, then another company would have. It's the capitalistic American way. Someday, everyone will probably be complaining about another businesses putting Wal-Mart out of business.
11-21-2006 @ 3:00PM
eric said...
"I would like to see a positive story aired on the news or the front page of the newspaper but that'll never happen because it's not what the public wants to hear."
me too. maybe you can lead me to it. wasn't true that wal-mart was encouraging employees to use state services? that's new to me. please, the least you can do is back up what you say...
11-22-2006 @ 10:50AM
Wasabichimera said...
Why don't you contrast these donation with the sales and profit of the Wal-Mart corp? What a sad list of community efforts. For a company with billion of dollars of sales a year a 1 million dollar donation is more than pathetic, it's a shamble. The small dollar amount of these show Wal-Mart does not care and is only do this for good press, the good press you just provided.
11-25-2006 @ 9:28AM
Cliff Abrahamsen said...
Each individual wal-mart gives to the community in which it serves. ask some of the police depts sams and wal mart has donated money to them to use in buying protective vests for officers. they have given money to fire depts for use in showing kids how to escape from burning houses, for buying and installing smoke detectors. they also give to schools for different programs. they are one of the biggest contributors to cmn childrens miracle network. as for mom and pop clossings walmart didnt force them out.between new regulations from health depts,no place to buy merchandise,there are no wholesalers for small business, tobacco companies offering deals to large chains, which is in violation of govt reg,but the cig cos and reps wont call on small business, in most cases wal mart has kept a lot of small stores open. i know this is a fact since i operated a small business for 15 years and bought most of my stuff from them..a lot of vending cos and wholesalers do the same thing because they can buy it cheaper from sams.
11-28-2006 @ 6:04AM
Fruit Helmet Cat said...
I don't believe the charitable contributions make up for the impact to the economic workforce. Keep in mind, all companies give back, it's because they have huge tax incentives to do so. Everything you see in Wal-mart is stocked there from a vendor who went to Walmart to see if they wanted their merchandise in wal-marts store. Walmart says yes and they agree to a price. Then eventually walmart starts to nickel and dime you and since you are now fully dependent on them as a source of income you are forced to sacrifice your inventory or else. If you can't do it, then Wal-mart will tell you to go to China and produce it cheaper to meet their demands. What I'm describing might seem a bit like deja vu to some. It should, it's the way Ebay is operating. The walmart blueprint turns the small business vendors into the American sweat shop. Think about the US and then 3rd world countries. Now flip it. When the US no longer can maintain its economic power, it has little to leverage with against other countries. Cheap isn't that important to me when I think of how I want my country to succeed.