Originally Posted By mrichmondj Wal-Mart has recently applied for approval to open an industrial bank. Many coroporations operate these banks as a way to issue credit cards and provided consumer financing. Some examples include General Motors, Chrysler, Target, and General Electric. The banking industry is mounting a huge lobbying effort against the Wal-Mart application, saying that it is risky to mix commerce and finance operations in a single company. There is also fear that Wal-Mart could open up its own bank branches in its stores and put local banks out of business. Wal-Mart has explicitly stated in its application that it has not intention of opening up bank branches. Its main motivation is to take control of credit card fees that it currently pays on transactions -- stating that it can recoup $5-10M a year in fees if it operates its own bank. I honestly don't see the harm in having Wal-Mart operate a bank. I think it would even be beneficial if they operated their own branches in stores. The banking industry has become a racketeering outfit that saddles its customers with ludicrous fees for nearly every transaction. The people who are hardest hit with fees are those with the least amount of money on deposit. I think it would be great if Wal-Mart injected a little competition in this industry and shook up the old-line banks that haven't adapted to a 21st century economy. I think it is pretty clear that the politicians opposing this bank application (on both sides of the aisle) are bought and paid for by the bank industry lobby.
Originally Posted By Darkbeer Heck, didn't Sears and other Department stores do this in the past. So long as they apply for the correct permits, licenses, etc., and pass those inspections/requirements, and have the correct financial backing, they should be allowed to do the same as any other business. And if they open local bank offices, why not? I know that Safeway has started their own bank. If their competitors are allowed to do it, then Wal-Mart should be allowed to do the same.
Originally Posted By DVC_dad No. We already have credit unions that do not play fair in the banking arena. It won't happen.
Originally Posted By DVC_dad Since I believe that this thread will eventually end up with people taking sides either for or against the Walmart corp as a whole, I would like to state that I am anti-Walmart from the onset. I recommend the book "The United States of Walmart" -- An irreverent, hard-hitting examination of the world's largest-and most reviled-corporation, which reveals that while Wal-Mart's dominance may be providing consumers with cheap goods and plentiful jobs, it may also be breeding a culture of discontent. It employs one of every 115 American workers. If it were a nation-state, it would be one of the world's top twenty economies. With yearly sales of nearly $260 billion and an average way of $8 an hour, Wal-Mart represents an unprecedented-and perhaps unstoppable-force in capitalism. Walmart has not only given us cheap prices and cheap products, but has taught us to expect lees quality in greater quantity. Walmart gives us lower prices at the expense of the American worker, and is ultimately lowering the quality of life in our Nation. Ofcourse this is only my humble opinion and is worth 2 cents....only 1 cent at Walmart.
Originally Posted By mrichmondj Up until recently, I was in the anti-Wal-Mart camp. However, I started to notice that my grocery bill was consistently 15% cheaper when I shopped at Wal-Mart as opposed to the grocery store a block away. I can't argue with cost savings this good. And really, I was buying the exact same stuff, so I don't understand why I need to get my pockets picked by another corporation that isn't doing the community any more favors than Wal-Mart. I also used to feel bad for the local merchants that were being driven out of business by Wal-Mart. I had a couple of neighbors growing up who owned small retail and wholesale businesses that ultimately went bankrupt. It was easy to blame Wal-Mart. But you know what? In the 40 years that they ran their business, they never upgraded their store, never ran a sale, and never reinvested a cent to expand or develop new business lines. Instead, they bought a new Lincoln Town Car every 2 years and sapped away all of their businesses income to support a more than comfortable lifestyle. The more I observe small business owners, the more I see the same trends -- a consistent choice to keep profits for themselves and not reinvest to make their buisness better. Wal-Mart may be known for low prices, but they also consistently reinvest in their stores to freshen them up or build entirely new facilities. This is how you keep customers coming through the door. Staying put in the same decaying building on Main Street that hasn't evolved to meet the needs of the community is not the way to run a successful buisness. I could also lament the cost that Wal-Mart has levied on the American worker, but I frankly don't see this impact in the communities I have lived in. American factory jobs were in decline well before Wal-Mart became the largest retailer. I think our need for low-cost merchandise and Wal-Mart is more of a symptom of decline in high paying manufacturing jobs that was already underway moreso than a cause.
Originally Posted By DVC_dad ^^^--- Well said. Tell me, how do you expect to find the restrooms in Walmart when you go in? Will they be clean or will they be filthy? Yes my question has a point, more than just the shape of nasty public restrooms.
Originally Posted By mrichmondj I don't think I have ever used a Wal-Mart restroom! I'll have to check them out! Although, I'm not a frequent shopper there. I only go about once every 2 months or so.
Originally Posted By oc_dean >>I honestly don't see the harm in having Wal-Mart operate a bank. << I do. If they treat their bank employees the same way they do with their retail chain ... employess are going to get screwed on wages and benefits. It's companies like Walmart they have me concerned for the long term welfare of the middle class of America.
Originally Posted By Jim in Merced CA <Yikes, ignore all spelling errors, I haven't had my evening coffee.> You can buy a coffee and a Thesaurus at Wal-Mart -- for cheap too!
Originally Posted By Jim in Merced CA And if you really hate Wal-Mart -- stop going. And stop going to Sam's Club too. Thing is, people say they hate Wal-Mart because it's 'ruining America' and yet, they still shop there. 'Hey, 15% is 15% when I'm saving on my groceries.'
Originally Posted By cmpaley I don't shop at Wal*Mart because of their anti-labor tactics and refusal to treat their employees as nothing more than profit making units.
Originally Posted By TomSawyer DVC_Dad, you didn't mention that Walmart's insistence on ever-decreasing prices forces manufacturers to make shoddier products which also affects the consumer. I just hope that if they have a bank they don't affect the stability of our banking system in the same way they've affected the stability of our manufacturing industry.
Originally Posted By cape cod joe Jim--On cape, it took us till just several years ago to get walmart as the locals didn't want to go out of business, but I like to save the 15% too.
Originally Posted By oc_dean ...... and I'm glad to see not one of those d*** Walmart stores in Los Angeles proper. Yet .. we have a rather nice (new) Target on Santa Monica Blvd. and La Brea. I've even seen some celebrities in there. Shopping for Christmas lights in 2004 .. Andy Dick was spotted with a small onterage of friends.
Originally Posted By mrichmondj Target really isn't any different than Wal-Mart. They play the card of being more "upscale" -- if that is a term that even applies to a discount store. But read the labels, everything still being manufactured in China. It's the same business model as Wal-Mart. Target is gunning for Wal-Mart's market, make no mistake about it.
Originally Posted By DVC_dad << And if you really hate Wal-Mart -- stop going. And stop going to Sam's Club too. >> I don't go to Walmart, ever, for any reason, unless it's with a friend and I am tagging along, and can't talk them into going elsewhere. I don't go to Sam's Club. And I actually LOOK at labels and I don't buy anything made in China, unless there is absolutely no other option and it's something I HAVE to HAVE. All that money they are saving the shopper is from the store savings from not cleaning the restrooms. The rare occasion that I have been in Walmart and their restroom, I have found that it seems to be a company-wide problem with Walmart. How can the largest corporation in the world not keep the restrooms clean? I would be willing to bet that more people use the restroom at WDW in Tomorrowland than any Walmart on any given day during the summer. And yet... It's interesting that a lot of Walmart shoppers will complain about a little seat cover on the floor of a WDW restroom, yet they will march right into their local Walmart restroom, albeit filthy as ______, and not think twice about it. My point is not the restrooms per se, my point is the unclean restrooms are a further evidence of how things are run throughout the company. Go on, shop at Walmart, perpetuate them, you are getting what you pay for (and not getting what you don't pay for.) There are 3 aspect to retail. 1. product 2. price 3. quality You can't improve all three, two of the three will always suffer at the imporvement of the other one. Sell a higher quality product? It will cost more, you will sell less. Sell more units? It will cost less so the quality will decrease. Sell for a lower price? It will sell more units, but the quality will decrease. Walmart is unstoppable at this point. It will impact the US more over time in a negative way, no doubt about it.
