All said and done, the entry of Wal-Mart into a town causes significant mortality for many businesses. However, the public relations of Wal-Mart always insists that their drive to introduce a store in any locality is drawn from the fact that they want to deliver low prices to customers and not driving local merchants out of business as widely believed (Gillette, 2002). The democratic principles of allowing people to vote on whether a store can be located in a place demonstrates how Wal-Mart plays good corporate citizenship (Coates, 2005).
If the decision to locate a store was autocratic, then mortality rates of local merchants would be skyrocketing. The mortality of local merchants due to introduction of giant discount stores not just Wal-Mart is an indication of one of the harmful by products of Capitalism. Conclusion The world’s powerful retail company is vetted in the globe as a chain that offers products at low prices. The retail giant has been phenomenal in markets that it enters. In this case, often it has received negative publicity as a brutal killer of local merchants.
Pundits say that the entry of this global chain has been attracting traffic to the stores to the demise of local
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The extremely low prices offered by Wal-Mart is what is driving local merchants out of business.
Brunn, S. D (2006) Wal-Mart world: the world’s biggest corporation in the global economy, CRC Press Carl Manning Associated Press (2003) Weathering Wal-Mart: Local Merchants find ways to Compete with Retail, Retrieved 23 July 2009 from http://findarticles. com/p/articles/mi_qn4188/is_20030801/ai_n11403609/ Coates, T. P (2005) Wal-Mart’s urban romance, Time South Pacific (Australia/New Zealand edition) 08180628, no. 35