The study covers many issues including the economy, tax policies, the minimum wage, job losses, education, training and much more. The Case Study Solution has been prepared to offer a serious discussion on the recent happenings. Some people may even ask how this idea came about.
Walmart was the first to call attention to the Case Study Solution when it was published in the Journal of International Trade Law. The article was written by Ronald Rossmann, a former Walmart executive, who presented data on his views. Rossmann had started out in retail as a young man working for Sears, making around $21 an hour, and later finding employment with Walmart.
One problem that was highlighted in the Walmart case study was the decline in the retail sector. More than one million jobs have been lost since the beginning of the downturn. These losses are projected to continue for the next five years.
The low prices of goods that Walmart offers make it appealing to consumers. They have products from the lowest priced to the most expensive, and even the whole range in between. With their convenient packaging and ease of use, the company can appeal to any consumer.
People tend to work at Wal-Mart because they want to own their own business. At Walmart, a lot of employees are given ownership over their own company and decisions about spending and personal finances. A Walmart employee cannotmake those decisions at the supermarket or even at home.
The Case Study Solution notes that the recent layoffs in the retail sector have not affected retail sales, even though there are only approximately one million fewer people working in the industry than before the recession began. A great deal of retail workers remain employed. What happened was that workers who would have left the industry during the recession found work in other sectors. It also shows that with the kind of investment that Wal-Mart makes, they are reaping the rewards.
The minimum wage law was enacted in California because of the low wages paid to many of the company’s associate and wage workers. They were on the lower end of the salary scale, meaning that they would not be able to live on their earnings alone. The Law also made it possible for some to pay off student loans, and with the help of a college course fee, could start a new career.
It is the Federal income taxes that give Wal-Mart an advantage. They are required to pay a large portion of their profits to the government; and because of their low tax rate, the company does not need to take out as large of a loan to fund their operations.
A Walmart employee would have a tough time paying taxes because they pay a lot of money for their house, car, and insurance. The example also shows that even though the companies are benefiting, there are still benefits to the employee.
Another benefit is the money that the company saves on rent. Wal-Mart avoids paying the rent for its stores because the supply is greater than the demand. Because of this, it pays the rent for the supply, and for the people that work at the store, they get their paychecks for the rent.
For retailers, a Case Study Solution from Walmart would provide a strong foundation for a consumer society. By providing better solutions for businesses that benefit the customers instead of the shareholders, a stable business environment is created. and then even the small companies can help the larger ones too.