Assignment 2 The Walmart Argument Final Begins

Answer

The Walmart Argument Final Begins

            Walmart Inc. is an American multinational retail firm which operates different chains of discount departmental stores, hypermarkets, and groceries from the United States. Walmart is one of the leading retailers in America which has significantly benefited the region’s economy. Walmart’s positive aspects in America outweigh the negative ones.       Walmart’s positive aspects in America outweighs the negative because the firm has improved the region’s food security, offered affordable entertainment service, and reduced the rate of human poverty in the region.

            Walmart benefits the American community because it offers supercenters which improve the region’s food security. Arguably, Walmart’s supercenters have the capacity to expand on the availability of food, lowering the food prices, and hence improving on the food security in the US (Courtemanche, Carden, Zhou, and Ndirangu 177). Evidently, the availability of the retailer’s supercenters has ensured that all the household members can have an access to enough food at all times to guarantee that they maintain a healthy and active lifestyle. Notably, poor food security constitutes an event whereby the body suffers from a nutrition deficiency and hence poor health outcomes. However, Walmart’s entry to the grocery sector in the US has promoted food availability by providing its commodities at low prices Courtemanche et al. 178). This factor contributes towards a better inventory control as well as fewer stock outs by the existing rivals in the market which enhances the food access reliability in the American economy. Furthermore, the Walmart supercenters have also prompted the existing local retailers to lower their food prices, thus ensuring that the people from the lower-income earning households can easily access food depending on their financial capabilities (Courtemanche et al. 179).

            Walmart also benefits the American economy by offering high quality yet affordable video streaming subscription service. According to the Weekend Australian, Walmart is working alongside Mark Greenberg, a veteran television executive, on the potential service likely to be provided by the company (Schwartzel 22). This will ensure that the consumers in the market access a cheaper monthly subscription service in comparison to the alternative producers such as Netflix and Amazon (Schwartzel 22). Evidently, in 2010, Walmart purchased Vudu, an online movie streaming service which benefits the Americans by providing them with an option to rent or purchase individual films at a significantly low cost (Schwartzel 22). This suggests that the people will easily spend their time on desirable leisure activities other than remaining idle due to the high costs of entertainment.

            Walmart also benefits the American economy by reducing the rate of poverty in the region According to Kestenbaum, Walmart has remained to be the global largest retailer since 1990 (Kestenbaum). Since then, the global rate of poverty has been significantly reduced by two-thirds. This value forms a basis of the sharpest decline ever recorded in history in relation to human poverty. Arguably, the retailer has played an effective role in lifting more than a billion people out of poverty since the 1990 through the creation of jobs and the delivery of food and other retail products at significantly lower prices than the competitors in the market (Kestenbaum).

            Conclusively, Walmart’s positive aspects in America outweigh the negative since the retailer has curbed instances of human poverty, provided affordable entertainment, and maintained food security. Offering lower prices for its commodities has forced the competitors in the market to cut down on their prices, thus benefiting the American community even further.