Jordan Witcher SOCI-1301

1. Walmart was the first company to make a quarter of a trillion dollars. That is how many billions?That is $256 Billion.2. Walmart figured out how to exploit what two powerful forces which allowed them change the balance of power in the world of business. What were they?These two powerful sources are the information technology and the global economy.3. Previous to Wal-Mart, name one company that set the standard for the world?General Motors4. How many shoppers go to Walmart every week?100,000,000 shoppers go to Walmart a week.5. Do manufacturers of goods get to negotiate their price?No, they do not get to negotiate.6.How has Wal-Mart changed the relationship between manufacturer and retailer?It reversed a 100 year history where the manufacturer is powerful and the retailer is the vassal.7.Explain how Walmart put Rubbermaid out of business?The materials needed to make the products Rubbermaid sold went up in price. When Rubbermaid raised their prices for their retailers Walmart refused the price increase. Walmart then dropped Rubbermaid products for a number of years. This caused such a backlash that Rubbermaid eventually was bought out by Newell in 1999.8.How many jobs were lost in the United States due to Rubbermaid going out of business?Over 1,000 jobs were lost when Rubbermaid went out of business.9. The Rubbermaid company was most admired ten years ago for quality;today Walmart is most admired for cost cutting.10. What country bought Rubbermaids machinery at auction?China11. What is the opening "price point?The really low prices that Walmart showcases in their special displays12. How does the opening price point work to lure shoppers to pay more for an item?After viewing the low price the shoppers get it in their heads that they wont find a better price anywhere else and that maybe the brand of that item they are looking for is cheaper there. 13.To crank up sales and profits, during the early 1990's Wal-Mart started importing goodsfrom where?Walmart started to import good from Asia.14. The margins of profit on goods from China are60, 70, and 80 % while the margins of profit on American made goods is more like 20 %.15.Who tells American manufacturers to move overseas and why?Walmart told manufacturers to move overseas because of lower costs. It will meet the bottom line price figures.16. Twenty years ago Shenzhen China was all rice fields.17. How much do Chinese workers make an hour?Chinese workers make about 50 cents an hour and some companies pay as little as 25 cents to 30 cents an hour.18. How much money have western investors put into China in the last 20 years?They have put hundreds of billions of dollars into China in the last 20 years.19.What percentage of goods sold at Walmart are made in China?80 % of good at Walmart are made in China.20. Manufacturers in China often bargain as low as 1 cent profit.21.Who financially benefits from these low profit margins?Walmart

22.Walmart and China are a joint-venture and are both determined to do what with the American economy?They are determined to dominate the US economy.At the shipping port in Long Beach California:

23.How many millions of dollars do we import from China and what are two of these products?36,000,000,000 dollars, toys and clothing

24. How many millions of dollars do we export to China and what are two of these products?3,000,000,000 dollars , cotton and scrap metal

25. The host of this documentary noticed that the products that United States exports to China islike 3rd World Country!26. According to the economist Alan Tonelson, the trade agreement with China only benefits China because why?Because China can sell more goods to the United States and Americans have the money to buy Chinese goods. But the Chinese cant do the same for American goods.*27.The economist Brink Lindsey, claims that globalization has not contributed to American job loss but has only changed them; while the economist Larry Mishel says globalization has contributed to much job loss and that the bottom th of Americans are much worse off.Which one of these economists do you agree with and why?I agree with the first guy. Its not that we have lost jobs it America but its just that we are more expensive then overseas and we have higher wages. Factories overseas can do things so much cheaper that we cant afford factories hear. When businesses started to unionize and work conditions started to get better in America, those businesses had to go somewhere cheaper. We are doing exactly what England did in the 1700s and pricing ourselves out of the market. 28.How much did Steve Radcliff make as a machine operator at the Circleville Ohio plant?He made $59,000 a year plus overtime

29. Skip Hartquist, the attorney representing Five River Electronics, stated that the Chinese have a rigged system for three reasons.What were they?Currency is undervalued by 40%, workers are not treated fairly, and the government provides subsidies to companies at interest rates that probably wont have to be repaid.30.Walmart sided with which counties workers in the Five Rivers lawsuit?Chinas31.What did the mayor in Circleville Ohio say about where the high school kids will find work? He said they would find work at the plants but those are gone now so he doesnt know where they will work.32.How much does Walmart pay their employees compared to a manufacturing job including benefits?Half of the 15 to 16 dollars they made with no benefits.33. What did Professor of Economics, Nelson Lichtenstein, call the new model of world capitalism that Wal-Mart has created?Creative Destruction34. What is the major problem with the focus only being on low prices?It is undermining the ability for workers to make decent wages and benefits.

35.After watching this documentary, what do you think?Is Walmart good for America?I believe Walmart is good for America. They offer affordable supplies and groceries for those who cant afford places with overly high prices like Albertsons and Sears. They also employ those with very little retail experience and those who dont necessarily have a decent education. Walmart provides for the middle man the best they can.