October 31, 2013
Walmart Walmart opened its doors in 1962 based on Sam Walton’s strategy of creating the lowest prices anytime, anywhere. By 1967, the Walton family was running 24 stores bringing in $12.7 million in sales. By 2012, the company served more than 200 million customers each week, employed 2.2 million associates worldwide, in more than 10,000 stores in 27 countries. After waiting years to open a “Superstore” in India, ambitious plans to expand in the country have seized to continue. India, the world’s largest retailer, has a difficult time with the regulations of the country as well as finding a foreign chain to help invest in the country’s $400 billion retail sector (Pasricha, 2013). Walmart has said it would end its joint venture with Bharti Enterprise Limited amid continued difficulties navigating regulations on foreign investments. To continue the organizational success Walmart has achieved, the organization will need to continue to research several key factors. These factors include: India’s restrictive rules on foreign firm operations, the target market blunder, Walmart’s past efforts to penetrate the retail industry in India, and any challenges encountered in partnership with Bharti. Walmart ceases operations in India because of failed partnership and restrictive government regulations on foreign investments.
Wal-Mart’s Ethics Wal-Mart set its business foundation on values and ethics that leads the company. The values that direct the company and leadership are three fundamental beliefs, which are respect, exceptional service to customers, and striving for excellence. Wal-Mart’s guiding principles are put in position to assist employees to make informed, ethical decisions with integrity. Sam Walton set the following guiding principles for employees to follow (Wal-Mart, 2008).
• Act with integrity (Wal-Mart, 2008).
• Lead with integrity, and expect others to work with integrity (Wal-Mart, 2008).
• Follow the law at all times (Wal-Mart, 2008).
• Be honest and fair (Wal-Mart, 2008).
• Reveal and report all information truthfully, without manipulation or misrepresentation.
• Work, actions, and relationships outside of your position with the company should be free of any conflicts of interest (Wal-Mart, 2008).
• Respect and encourage diversity, and never discriminate against anyone (Wal-Mart, 2008).
• Ask your manager of the Global Ethics Office for help if you have questions about this Statement of Ethics, or if you face an ethical problem (Wal-Mart, 2008).
• Promptly report suspected violations of the Statement of Ethics (Wal-Mart, 2008).
• Cooperate with and maintain the private nature of any investigation of a possible ethics violation (Wal-Mart, 2008).
• When involved in an ethics investigation, you should reveal and report all information truthfully. You should present all the facts you are aware of without personal opinion, bias, or judgment (Wal-Mart, 2008).
The company is the leading retailer in the world that has gone green. Wal-Mart’s focus in 2005 was to create a sustainability strategy that involves reducing waste, sell sustainable goods, and use renewable energy. Wal-Mart communicated its mission to its 60,000 suppliers through a packaging scorecard that essentially assists with purchase decisions. The company executed its goal by building energy-efficient stores and implemented reusable bags created by recycle materials (Wal-Mart, 2008).
Every business association of Wal-Mart functions are projected to encompass a comprehensive set of guiding principles offering direction to employees and business associates in every worldwide location. Wal-Mart also publishes several “global policies,” which are designed to give associates a set of rules that are the same for all locations. Wal-Mart’s Statement of Ethics is valid global policy associates must abide by. However, the company stipulates that if the Statement of Ethics does not…