Ethical Issues that Wal-Mart faced in India and China.
Wal-Mart’s ethical business management is related to the global environment, which consists of financial markets, cultures, technologies and government policies. The market also consists of hyper competition from different countries such as China and India and regional players in the global environment. China has low cost offshore labor in the “flat world”, so that Chinese imports are so inexpensive to enter in U.S. So many factors lead most US manufactories to close the doors and eventually jobs are lost accelerate. The United States’ economic outlooks vary with regard to the global economy. In my opinion, the labor force is one of technologies in a developing country and it supports the globalization process. China as a global manufacturer and U.S. partner is a great source of world-class offshore technology services. Wal-Mart has its own external and internal stakeholders.
WAL-MART Ethically wrongs its Employees * Wal-Mart executives have failed to pay workers overtime and admitted to being trained and told by their superiors to do so. One of the Wal-Mart mgr claimed that he/she has seen every Wal-Mart mgr change the hours other than the General Mgr. the 31 state lawsuits, and $50 MM class action payment in CO convincingly indicate that Wal-Mart violated the law, and in TX it was estimated that Wal-Mart cheated workers out of $150 MM. Another figure cited is that they underpaid 87,000 workers in the US by $34 MM prior to 2007.
One can easily argue that this practice is not merely illegal, but immoral. The workers are not making that much money and can use any money they are owed for living expenses. If Lee Scott is correct that they pay every worker for every hour, then they should have had the records to prove it, and should not have been found guilty in CO, for instance. It is also not ethical to fail