Walmart Is A Commodity Chain - 1494 Words

As I read this article I was intrigued because it talks about how Walmart would not exist without the poor because they are forcing desperate people to accept lower paying jobs to keep them within the poverty level. Walmart is a commodity chain. Commodity chains keep this country and others country’s people shopping. There are two types of commodity chains, producer-driven and buyer-driven. The producer-driven chains are in industries with specific products that are controlled by producers for global production (Coe, Kelly, and Yeung pg. 235). These would be the manufacturers. Buyer-driven chains are retailers of name brand merchandisers who establish and control global production of their products. These are referred to as buyers because they source their global goods from suppliers globally (Coe, Kelly, and Yeung, pg. 235). One huge example of a buyer-driven commodity chain is Walmart. Walmart needs people to buy their products and it is those poor individuals who buy these goods/products. Middle and upper class individual can afford to go elsewhere to shop, but poorer individuals cannot. Walmart creates and maintains poverty. Two professors from Penn State University performed a study that concluded that all countries that had Walmart stores in the last 11 years had greater poverty rates than those who did not. These professors were Stephen Goetz and Hema Swaminathan, and they wrote â€Å"These results have potentially profound implications for public policyShow MoreRelatedWhat Makes A Buyer Driven Commodity Chain Is Walmart1338 Words   |  6 Pages Commodity chains are what keeps this country’s people shopping. There are two types of commodity chains, producer-driven and buyer-driven. The producer-driven chains are formed and found in industries where the producers of specific product control their own global production (manufacturers). Buyer-driven chains are retailers or brand name merchandisers who establish and control global production of their products. These are referred to as buyers because they source their global goods fromRead MoreDefining Walmarts Internal Business Process Improvements894 Words   |  4 Pagesï » ¿WalMart: Defining Internal Business Process Improvements Introduction The dominance of WalMarts (NYSE:WMT) in discount retailing is a direct result of their business process excellence in the areas of supply chain management (SCM), supply chain optimization (SCO) and logistics management with its suppliers and retailing operations globally. 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In other words, Wal-Mart has kept its promise â€Å"everyday low prices† as a sustainable selling point (Walmart, 2015). At Wal-Mart, Price is the core factor in most of foreign markets that it has established operations in addition to the United States. The other 3 countries which are included in this report (namely South Africa, Germany and Japan) are all