28 January 2008

Wal-Mart Saves the World (Really)

I was recently directed to an Atlanta Journal-Constitution article from 10 days ago reporting that 7500 Atalant...ans? (Atlantians? Atlantites?) showed up at a new Wal-Mart to apply for a maximum 400 jobs.

"The big turnout speaks volumes about the state of the local economy," said Bruce Kaufman, a Georgia State University economics professor. While the unemployment rate in the area remains relatively low, Kaufman said the large number of job-seekers suggests that many people are either under-employed or had stopped looking for work.
I would be interested to see statistics on what percentage of Wal-Mart employees were jobless prior to their foray into blue-vestedness compared to the number that simply switched jobs, but, much more importantly, this gives me an excuse to restate my conviction that Wal-Mart is poised to be the biggest contributor to social progress in the United States in the near future.

Unpopular though it may be, Wal-Mart has a unique opportunity to serve as the impetus towards more "green" and "socially conscientious" business.

Because Wal-Mart, like all firms, is forever seeking to maximize profit, it will inevitably attempt to construct more stores in densely populated areas near the coasts. And because consumers tend to lean farther left than those in the Bible Belt and South, Wal-Mart may find it necessary to foster a progressive (or more progressive) image in order to court that consumer base.

It's already happening. Just skim through Wal-Mart's "Sustainability" directory (available here) and you'll find information on Wal-Mart programs aimed at rewnable resources, "waste reduction," and more "earth-friendly products." Compare the direction of Wal-Mart's social leanings with the graphic to the right: 15 years ago there were almost no store locations on the West Coast and in the Northeast, and, as far as I know, not a whole lot of talk about "sustainabilty" efforts.

Wal-Mart sustains low prices by using volume to leverage purchasing costs. Wal-Mart is able to tell suppliers to drop their prices or find another vendor through which to move 15 million units - not too difficult of a choice. So why wouldn't Wal-Mart also be able to encourage its suppliers to be more eco-friendly (think Ben & Jerry's using cows that aren't given hormones or Eggland's Best using free-range chickens)?

Not only will Wal-Mart shift, but they'll require every one of their suppliers to do so as well.

So if you're looking for the organization with greatest motive and ability to push American industry towards a greener heyday, delete your MoveOn.org emails, tell the local Greenpeace street-walker that, no, you do not have two minutes for the environment, and go hit up your local Wal-Mart for some $4 uppers.

Hat-tip to Jessa Haugebak for the original article.

1 comment:

- said...

well put, totally agree.