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Column: End world poverty? Shop Wal-Mart?

  • U.N. environmental consultant Rene Dubois might be horrified to see the phrase he coined in 1972 applied to the world's largest retailer, the source of all evil for many so-called progressives these days. And yet ... Dubois was suggesting that ecological awareness should begin at home, asking us to think about how our individual actions reverberate through the environment and culture even on a global scale. In the area of economics, there is nowhere this insight might better be applied than to the relationship between Wal-Mart shoppers and millions of Chinese peasants looking for a way out of grinding poverty. Consider some numbers: •From 1990 to 2002 more than 174 million people escaped poverty in China, about 1.2 million per month, according to the Asian Development Bank. •Wal-Mart had an estimated $23 billion in Chinese exports in 2005; perhaps 70 percent of Wal-Mart's products are made by various manufacturers in China; in addition, Wal-Mart has 60 retail stores in China and directly employs about 30,000 Chinese. •Extrapolating from these numbers, Wal-Mart might well be single-handedly responsible for bringing out of poverty about 460,000 Chinese per year, according to Industry Week magazine. So, even without considering the $263 billion in consumer savings that Wal-Mart provides for low-income Americans, or the millions lifted out of poverty by Wal-Mart in other developing nations, it is unlikely that there is any single organization on the planet that alleviates poverty so effectively for so many people as Wal-Mart does in China. Moreover, insofar as China's rapid manufacturing growth has been associated with a decline in its status as a global arms dealer, Wal-Mart has also done more than its share in contributing to global peace. How can this be, given the vast and growing literature documenting Wal-Mart's faults? We have seen workers in the factories of Wal-Mart's suppliers complain on tape about being forced to work long hours under terrible conditions. Certainly no one should be forced at any workplace. And yet even articles documenting Wal-Mart's faults often mention other facts that ought to be considered before coming to too quick a judgment concerning the overall impact of the corporation. In a Washington Post story titled "Chinese Workers Pay for Wal-Mart's Low Prices," documenting abuses of workers at Wal-Mart suppliers in China, the authors point out that: "China is the most populous country, with 1.3 billion people, most still poor enough to willingly move hundreds of miles from home for jobs that would be shunned by anyone with better prospects." If we care about alleviating global poverty we need to take this fact seriously. Without Wal-Mart, about half a million of these people each year would be stuck in rural poverty that is, for most of them, far worse than sweatshop labor. D. Gale Johnson, an economist who studied regional inequality within China, described the enormous disparity between urban and rural workers as "the great injustice." Urban workers earn about 2.5 times as much as rural workers. Even after counting the higher cost of living in urban areas, urban workers make about twice as much. Not surprisingly, massive numbers of people are moving to the city to work in factories. In 1990, 71 percent of China's labor force was in agriculture, whereas by 2000 that percentage had dropped to 63 percent: This great migration represents roughly 100 million people leaving rural areas to earn, on average, twice as much as they had on the farm. Other than economic growth, there is no way to double the salaries of 100 million people (and growing). After the 2004 Asian tsunami, more than one-third of Americans gave an aggregate of more than $400 million in charitable aid, an extraordinary outburst of giving by any standard. And yet there are more than 630 million rural Chinese remaining, many of whom are living on less than a dollar per day. While each would welcome a charitable dollar if we could get it to them, that charitable dollar, representing one good day's worth of income, would not do them nearly as much good as would a job in the city paying twice as much day in, day out. Charity cannot take place on an adequate scale to solve global poverty. Despite Jeff Sachs' enthusiasm for foreign aid, Bill Easterly, in his book "White Man's Burden: Why the West's Efforts to Aid the Rest Have Done So Much Ill and So Little Good," makes a compelling case that government-to-government aid damages economies as often as it helps them. Does anyone think the World Bank raises more people out of poverty than does Wal-Mart? What about social entrepreneurship? Ashoka, the highly regarded social entrepreneurship organization certified as among the "Best in America" charities, highlights among its hundreds of projects a worker's cooperative in Brazil that is growing rapidly: Each member contracts individually with Coopa-Roca, but the collective meets weekly. Membership in the cooperative grew from eight members in 1982 to 16 in 2000, and has surged to 70 steady members today. Is it heroic to raise one person up out of poverty each month, but merely a statistic to raise up a million? There is a thatched-ceiling to poverty alleviation through micro-finance. It may well be the case that the vast majority of Grameen Bank micro-entrepreneurs experience considerably greater pride and happiness in their work than do the factory workers hired by Wal-Mart suppliers. But most of these micro-entrepreneurs, who borrow less than $100 each and then repay the loan, do not experience as large an increase in standard of living as do those rural Chinese who move to urban areas and thereby earn an extra $1 or so per day, $365 or so dollars per year. Poor, rural micro-entrepreneurs selling eggs to other poor rural peasants simply do not have access to the vast pipeline of wealth from the developed world. Most of the sweatshop workers in Japan in the 1950s and '60s, as well as the most of the sweatshop workers in Taiwan and South Korea in the 1970s and '80s, are now middle-class retirees in developed nations. Likewise most of the "underpaid" Chinese workers of today will retire in a state of comfort and luxury unimaginable to them in their rural youth, as average Chinese wages will gradually rise just as they have risen in every other nation that has experienced long-term economic growth. At present rates of economic growth, China will reach a U.S. standard of living in 2031. Paul Krugman, one of the most aggressively left-liberal economists writing today, understands how economic growth helps the poor. Writing for Slate in 1997, he said: "These improvements ... [are]the indirect and unintended result of the actions of soulless multinationals and rapacious local entrepreneurs, whose only concern was to take advantage of the profit opportunities offered by cheap labor. It is not an edifying spectacle; but no matter how base the motives of those involved, the result has been to move hundreds of millions of people from abject poverty to something still awful but nonetheless significantly better." The Nobel laureate economist Robert Lucas once said, "Once you start thinking about economic growth, it is hard to think about anything else." Non-economists, especially those associated with the environmental movement, regard this as evidence that economics is a form of brain damage, a cancer on our Earth. But rural Chinese peasants surviving on less than a dollar per day do not regard economic growth, or Wal-Mart factory jobs, as a cancer. When a Mongolian student at a U.S. workshop on globalization heard U.S. college students denounce sweatshops, he shouted: "Please give us your sweatshops!" An unreflective passion for social justice may be one of the biggest obstacles to creating peace and prosperity in the 21st century. While there are most certainly factory owners in China whom we would rightly regard as criminal in their treatment of their workers, it is important not to confuse these incidents with the phenomenon of globalization. It is a good thing that Wal-Mart is encouraging more humane standards in its suppliers' factories. And yet it is also important to remember that Wal-Mart's "vast pipeline that gives non-U.S. companies direct access to the American market," as Charles Fishman, author of "The Wal-Mart You Don't Know," described it, is a vast pipeline of prosperity for the hundreds of millions of rural Chinese whose lives are more difficult than we can imagine. Act locally, think globally: Shop Wal-Mart. 1.How does the attitude of Chinese workers differ from the attitude of American workers toward Wal-Mart? 2.How has Wal-Mart lifted many Chinese out of poverty? 3.Why is Wal-Mart viewed as a cancer by the American Left but not by Chinese? 4.How would one imagine that Wal-Mart may help the Chinese military and result in creating a superpower out of this large developing country? Please give your opinion and why?

  • Answer:

    Heh. Whatever answers you receive, they're not going to change your opinion, are they? Surely you can find a more appropriate venue for your proselytizing.

Benedict A at Yahoo! Answers Visit the source

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Excuse me but, are you asking a question; or are you writing a book?

dorianalways

Are you sitting comfortably? Underestimate Walmart Woes at your peril. Though Walmart Woes is a favourite topic of discussion amongst monarchs, presidents and dictators, it is yet to receive proper recognition for laying the foundations of democracy. Since it was first compared to antidisestablishmentarianism much has been said concerning Walmart Woes by socialists, who are likely to form a major stronghold in the inevitable battle for hearts and minds. Though I would rather be in bed I will now examine the primary causes of Walmart Woes. Social Factors Society begins and ends with Walmart Woes. Back when Vealinger reamarked ?the power struggle will continue while the great tale of humanity remains untold? [1] he, contrary to my learned colleague Sir George Allen?s recent publication ?Into the eye of , could not have been referring to eighteenth century beliefs regarding society. A society without Walmart Woes is like a society without knowledge, in that it provides standards by which we may judge our selves. Nothing represents every day life better than Walmart Woes, and I mean nothing. It is intrinsically linked to adolescent inner acclimatisation. Economic Factors We no longer live in a world which barters 'I'll give you three cows for that hat, it?s lovely.' Our existance is a generation which cries 'Hat - $20.' We will begin by looking at the Inter-Spam model, which I hope will be familiar to most readers. Market Value Of Gold Walmart Woes There is no longer a need to argue the importance of Walmart Woes, it is clear to see that the results speak for themselves. The question which surfaces now is, how? Obviously the market value of gold will eventually break free from the powerful influence of Walmart Woes, but not before we see a standardised commercial policy for all. Perhaps to coin a phrase Walmart Woeseconomics will be the buzz word of the century Political Factors Modern politics owes much to the animal kingdom. Comparing the ideals of the young with the reality felt by their elders is like contrasting the vote of the man in the street with that of one more accustomed to Walmart Woes. Let us consider the words of that silver tongued orator, nobel prize winner Aaron T. Time 'Taking a walk across hot coals will inevitably hurt your feet.' [2] What a fantastic quote. To paraphrase, the quote is saying 'Walmart Woes wins votes.' Simple as that. One thing's certain. The Human species liberally desires Walmart Woes, and what's more human than politics? Conclusion In summary, Walmart Woes has a special place in the heart of mankind. It brings peace, applauds greatness and always chips in. I will leave the last word to the famous Whoopi Lennon: 'I love Walmart Woes? Yes! Hurray for Walmart Woes!' [3]

Red

First, If I saw a book with the title, "The Wal Mart You Don't Know", there is zero chance it is not propaganda for Wal Mart. This is not a reference work, Friend. It is advertising & propaganda. Speaking of which, no opinions out of China counter the Party Line & the party line is Wal Mart is good. Any corperation putting money in my pocket is good. Yeah. Really great & unbiased information on which to form an opinion!. DuBois was talking about individual action when he said, "act locally, think globally". Perhaps you might want to read his views on multinational corporations? Probably not; that would make you re-think your position on Wal Mart .Better standard of living in the shops in the city? No way, Jose. Anywhere on Earth, it is always much more expensive to maintain the same standard of living in the big cities than in rural areas, not to mention eating better growing some of your food & a better quality of life. If you really want to read truth about the effect of multinational corporations & their relation to poverty in starving countries, read "Global Reach'. What they wrote is even more obvious today than when it was written, & it was not financed by a huge corporation. It might even be true. It is neat to be able to use anecdotal evidence to support your point of view, but what about the big picture? Wal Mart is the largest corporation in the world. They did this using the big business model of borrow big, buy cheap, gain income from volume you pay less for because you are buying bigger quantities, keep only the items in inventory that moves case lots within 30 days & refuse to carry the rest. Offer less selection on individual items so the rest move faster.. Temporarily pay a little more than the going rate for labor, thus improving the quality of their workforce at the expense of other similar stores in the area. Advertise your socks off. All this began with Sam Walton taking some big gambles, true, but Wal Mart has a huge corner on the department /grocery store market. Assume all of the above is true in China + they got in on the ground floor there. Wal Mart locally: In my area, the nearest Wal Mart is always less than 15 minutes away. The nearest Sam' Club always less than 25. They have been trying to build 2 more for about 3 years, which will cuts that driving time in half. The Problem? They are saturating the area further. Labor costs are lower now that competition is down. They locations they wish to build on will prove to be very expensive for the county due to lost taxes (county's fault), the need to upgrade roads, sewers, storm drains & water that simply cannot handle the additional load Wal Mart will create. WM has made sure in the courts that they will not pay that cost.The state made them move from one location that would have destroyed the last remaining wetlands left along the US 19 corridor. WM will get their way eventually. They have the legal talent to plug all loopholes that could keep them out. And the local neighborhood be damned. Two quiet residential neighborhoods will be screwed as a result. Even the County Commissioners are not pleased. Past history local: Retail jobs and the number of small local businesses that invest all they clear locally has gone down as a result of WM moving in. The nearest WM is using about 1/3 of the total local police force manhours to arrest shoplifters. The city is not reimbursed for this expense; it is straining the budget seriously & cutting service elsewhere as a result. Working conditions in the store itself have deteriorated greatly, with benefits being slashed. Customer service, once good, is poor. In spite of a good economy here, the number of empty storefronts is growing, victims of the superstore concept. Their community service activity is non existent. To put it plainly, they are a poor corporate citizens. And did I mention that in departments where outside competition is way down, prices are rising at a higher rate? WM is less of a bargain now. Let's see. Less competition = higher prices. I think I learned that in high school. New Hampshire: For many years, New Hampshire has spent $ Millions to keep Wal Mart out. That state is not liberal, by any means. Polls show, that if put to a vote, WM would remain banned in NH. But the courts ruled otherwise. NH know what is coming. They have seen what has happened in other areas of the country when Wal Mart moved in. Local businesses die .Their entire way of life, their culture, their attraction for tourists will suffer. It would be different if WM stayed in the larger cities, but they target smaller populated areas because that is where they compete the best. Land, permitting, & site work is cheaper & small business is easier to drive bankrupt. Corporate Citizenship: Microsoft executives have donated $ Tens of Billions to help people in Africa. Publix encourages volunteerism. Home Depot works in cooperation with private groups to help displaced older workers.regain employment, hiring many themselves. Progress energy is working with conservation organizations.to preserve valuable natural habitat & other conservation efforts. BP is investing heavily in alternative energy development. Even Weyerhauser & Kimberly Clarke are experimenting with sustainable harvest of forests. Uhh. Can Anybody tell me what WM is doing to make this a better planet? Besides making humungous profits from Chinese workers? They don't even sell American anymore. What happened with that.? I shop at Wal Mart for about 2/3 of my groceries. At my standard of living, I can't avoid WM.. There are still a few locally owned stores - hardware, electronics, auto supply - who either have exactly what I want or will order it. I will pay that small premium in price in an attempt to keep them open for the day WM starts raising prices. When the competition is weak enough, they will . Check back in 5 years to see if I am right, & also to see if those Chinese workers are any better off. Don't think that will happen either.

bob h

I was at your store #2874 last night, I bought a universal wheel for game cube, while I was proceeding out your greeter/security want to be asked me for the reciept, I told him him I am not giving you a reciept you keep asking me for a reciept each time I come to the store you do the same thing, I asked for the store manager he said go to the customer service desk. I said no I am not you call your MGR, some one came and called a member of management; Tony came he was assistant mgr, told him what happen he was ok and yes I understand your feeling and I was to leave the store with out showing my reciept, then some trash said this the stor policy that we need to check reciepts for large items I said and who are you? with nasty attitude he said I am the head of security, I am like yeah, he said THIS IS "THE IS STORE POLICY TO CHECK LARGE ITEMS" I said this is $49.97 item show me the policy the say so, he said I am not showing you anything,and if you leave the store without showing the reciept I will stop you and wont make you leave the store and I will call the police, I said call the police and I also stated that are holding me aganist my will? he said I am doing my job(I wonder about his loss provention report) so he called the police. then some female assistant mgr came with street attitude waving her hand and moving he neck do not yell, I said put your hand and do not point at me. So you guys ganging up on me holding me in side the store and the security waiting outside( everything on camera). then Tony approached after they checked their camera to see whether I paid or not came and said the man is doing his job, I said no he is not doing his job HE IS HARRASSING customers. I showed Tony MY reciept and left then I turned around and told the greeter/security wants to be IT IS NOT STOLEN I PAID FOR IT. sure enough the head of security was waiting for me outside the store and I was hoping and I say it again to stop me. I got home and called the store for the DM phone number they wont give the number and I called a different store on RT 9 asking for the Number they do not know the number, they said call 1-800-walmart, I called the automated service. I am reallly upset and very very very mad for the treatment that I recieved and I WILL CONTINUE TO SHOP AT WALMART AND I HOPE THAT HAPPENS AGAIN

Nazeeh

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