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View Diary: The 1% buy $1,000 shoes while Walmart customers struggle to pay for Thanksgiving dinner (83 comments)

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  •  What choice did they have? (0+ / 0-)

    Walmart has a fiduciary responsibility to their stockholders to maximize return on investments.

    If they don't their executives and directors will be fired at best or sued by activist shareholders at worst.

    It was the job of our recent Democratic presidents and our recent Democratic congresses to stop jobs from being outsourced.  Not only did Democrats not stop this outsourcing, they tried to do it faster than Republicans could.

    •  That and ... (0+ / 0-)

      To be fair, they weren't the only ones in the mid-1990s looking for ways to cut costs.  All big-box retailers shop from the same or similar factories in Asia.  The Walmart brand of furniture, for example, is manufactured by Sauders (last time  built one, at least).  And I've seen Sauders at Meijers and Targets alike.

      Walmart does have great persuasion with its manufacturers, both negative and positive.  It is pressure from Walmart to make manufacturers change the size and shape of shipping containers to cut down on fuel and cardboard costs, for example.

    •  First off I did my Graduate thesis (0+ / 0-)

      on this organization.  And no there was not a push from the economy to outsource jobs in the early 1990.  Walmart was growing, the economy was growing and handling material and products being sourced from the US just fine.  Prices did not go down with the supposed "lower labor cost" - Companies just keep the gross profit...

      You are mistaken - they started the drive to push manufacturing to China to get the exclusive access for distribution within China.  With that in hand - they then demanded that the suppliers hit a certain price point under the gize of Economy of Scale, while then lining them up with China Manufacture sources.   In fact, if we had any kind of balls in this country, they should have been tried as traitors, colluding with a communist country to manipulate currency and supply dumping of undervalued goods that are manufactured by indentured labor!

      It had absolutely nothing with share value, etc.

      The issue is the most favored nation trading designation.  Now we are so in up to our ears with foreign financing of our treasury debt that we cannot hold any stick over anybody.

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