CLOSING CASE HOW WAL-MART WON CHICAGO In a retail desert on the South Side of Ch
ID: 393185 • Letter: C
Question
CLOSING CASE HOW WAL-MART WON CHICAGO In a retail desert on the South Side of Chicago, $3 million to elect a cadre of pro-union aldermen to amid vacant lots and signs promoting "affordable the city council bankruptcy," sits a highly contested 200-acre plot The mayor looked outside the city limits and that's the future of Wal-Mart. The company famous saw that unions hadn't tried to stop Wal-Mart from for low prices and high growth is nearly tapped operating in the suburbs. "Why didn't the unions out in the sticks and suburbs. Today, just 47 of its object in the 'burbs? Suburbs are flooded with 4,300 Wal-Mart and Sam's Club stores are in big those stores," the mayor says. As for the argument cities, and most of those are in Dallas and Houston. that small businesses in the city would be imperiled go to New York and see all the small stores which Since 2006 a single Wal-Mart has been home have closed up. It's not because of Wal-Mart. It's steading in Austin, a mostly African American Chi because people are not spending." Daley also cago community with an unemployment rate of says Wal-Mart's management "got caught up in 40 percent, its alderman says. Now the company a national thing" by being too sensitive to attacks 9 Urban America is the company's last frontier wants to put two dozen more stores in the city, in- cluding a 145,000-square foot Supercenter on that from unions The open warfare between labor and Wa 200 acre plot. In an area ravaged by poverty and Mart showed no signs of ending until the recession desperate for the 400 jobs the Supercenter would forced both sides to reconsider. Chicago's politi provide, you'd think this would have been a slam cal leaders realized the city couldn't continue t lose sales tax dollars to big boxes in the suburbs Afer the first Chicago Wal-Mart opened, while failing to embrace the jobs offered by, the unions and community organizations successfuly WalMarts of the world. WarMart had to feec obbied the city council to pass an ordinance re the growth monster to keep shareholders happy auiring WalMart and other big box retailers to So on May 3 [2010] an unprecedented informa y at least $10 an hour, with benefits. The legis negotiation between company executives and la ation infuriated Wal-Mart and its chief advocate, bor leaders was held near O'Hare Internationo Mayor Richard M. Daley. In response, Daley, the Airport, according to three people who attended country's longesttenured bigcity mayor, exercised The executives joked that Sam Walton would b his first and only veto, then watched labor spend turning in his grave if he knew about it, though th dunk. It was notExplanation / Answer
(1) Demographics have played a very important role in the above mentioned case:
(2) The economic and political factors which made the job difficult were:
(3) Yes! According to me Wal Mart could have handled the situation well as follows:
(4) According to me, Wal Mart can be considered as a corporate good guy because it considered to open up store in a location where employment rates were low and where people wanted work, so they tried to generate employment for the people. Moreover, they negotiated with the unions and elected officials despite of the fact they made policies against Wal Mart.