With Walmart however its not just the employees they like to screw around, its the small and medium businesses that are the suppliers for the company.
What happens is that the contracts allow for a renegotiation every year. Year 1 no problem, the supplier typically gives a reasonable price which Walmart accepts. Year 2 Walmart comes back and tells the supplier to knock 5% off the price. If not Walmart will go overseas to a Chinese supplier who can meet that price. That's not so bad so the supplier usually complies. Unfortunately Walmart then does it on year 3 and 4. Quite rapidly the supplier finds that his margin has disappeared and they either have to let the Walmart contract go (which has its own problems) or they have to go overseas themselves to meet the new price. In the end the supplier and the people working for that supplier in the US lose out. On Mon, Sep 27, 2010 at 3:50 PM, Sisk, Kris <ks...@gckschools.com> wrote: > >>Didn't you use that example last week and didn't Jerry shoot it down? > They don't raise prices and they create as many new business as the > ones they replace. > > I must've missed it. I missed a lot of the list last week. It was a busy > week. I'll have to go hunt through the archives. > >>Also, WalMart, like most retail jobs pay around minimum wage and > employee college kids, housewives and retirees. If you are working > there as a career they do have management opportunities but not that > many. > > That's what they'd like. The truth of the matter is that an awful lot of > people depend on full time Wal-Mart jobs to pay the bills. I know > several of them and they make more than minimum wage (not that they're > well paid by any stretch, but it's not minimum wage). Admittedly most of > them are high school graduates or people who such useful majors as > philosophy or, but that doesn't change the fact that they work full time > at Wal-Mart. One in particular actually has a business degree but stays > at Wal-Mart because she's getting by just fine (and, I think, is scared > of change). The last several years Wal-Mart corporate has been bending > over backwards to make their lives miserable because it costs them a > hell of a lot less to fill the schedule with college kids, housewives, > and retirees who don't qualify for full time benefits. > > ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Order the Adobe Coldfusion Anthology now! http://www.amazon.com/Adobe-Coldfusion-Anthology-Michael-Dinowitz/dp/1430272155/?tag=houseoffusion Archive: http://www.houseoffusion.com/groups/cf-community/message.cfm/messageid:328006 Subscription: http://www.houseoffusion.com/groups/cf-community/subscribe.cfm Unsubscribe: http://www.houseoffusion.com/groups/cf-community/unsubscribe.cfm
