Frontline Explores America’s obsession with discount stores despite massive job lossAmerica’s obsession 3400 Wal-Mart stores 100 million people shop at Wal-Mart stores each week Sales in 2003 topped $256 billion

Global Procurement Center Based in Shenzhen, China Third busiest port in the world Employs several hundred 80% of Wal-Mart’s 6000 global suppliers are located in China Wal-Mart & China are a joint venture

Wal-MartWal-Mart is a Discount Store Cheap labor because the jobs are in China China employees make 50 cents a hour, $100 a month Manufacturers a wide array of consumer goods These goods, from clothing to electronics, can be bought at low prices

Offshore Global Center: China Wal-Mart imports $15 to $30 billion a year of China’s goods

Result Alteration in United States’ Economy

How? Coercing the eruption of information technology & global economy Operates the largest satellite system in the world Powerful retailers manipulate production of goods to offshore

How? Wal-Mart has mastered the process of production, movement of goods, warehousing of goods, ensuring goods arrives on time at the right place, and for a cheap price Developed in-house brands Gain of supply-chain efficiencies by working directly with factories More profit for Wal-Mart

How does Wal-Mart know what consumers want? Barcodes: Reveals everything about a productBarcodes Information about how often the barcodes are purchased are relayed to the manufactures from Wal-Martbarcodes Hence, the manufacturers are dependent on Wal-Mart for demand information

What does this mean? The manufacturer becomes dependent and subservient to the retailer, Wal-Mart

Wal-Mart has created a Monopsy Major buyers for groceries & toys Controls 38% of the market for several goods Manufacturers are forced to sell to them at low prices

Why? Wal-Mart wants to provide consumers with quality products & low prices

Why Not? Americans are consumers and workers Americans may receive discounts for quality goods but loose jobs in the process Not only effects U.S. but other countries as well

Wal-Mart Model of Employment Low-wages Low benefits Low skill Rapid job turnover

Interview With CEO H. Lee Scott Employee discussion Exploitation vs. opportunities

Opinions of those who are proponents of opening a Wal-Mart in Ashland, VA

Those who disagree with opening a Wal-Mart in Ashland

Sprawl Busters: Helping Average Citizens Discourage Unwanted Development