Which business leader do you think best exemplifies both the height of business acumen and ethical integrity?
"There is only one boss: the customer, and he (or she) can fire everyone in the company from the chairman and down, simply by spending their money somewhere else"
- Sam Walton
Sam Walton is the founder of the well known Wal-Mart retail chain. The first true Wal-Mart opened in 1962 in Rogers, Arkansas. Wal-Mart eventually became the world's largest retailer. "From Walton's perspective, the "efficiency" of Wal-Mart's business model saves the consumer billions of dollars. He provides an example: From 1982 to 1992, Wal-Mart averaged roughly $13 billion a year in sales. Using conservative figures, he estimates that customers saved 10% "over what they would be paying" if Wal-Mart wasn't there. In other words, over that 10-year period, consumers -- many of them residing in rural and small-town America -- saved $13 billion"(Foolish Book Review)
Sam Walton's purpose and drive for his Wal-Mart chain was to drive prices down for the common people rather then drive them up rather as the department store were. "Once committed to discounting, Walton began a crusade that lasted the rest of his life: to drive costs out of the merchandising system wherever they lay — in the stores, in the manufacturers' profit margins and with the middleman — all in the service of driving prices down, down, down." The review of Sam Walton's diligence within the economic and business world proves that much of his focus was to reach out to the community and not simply build up his fortune within his business. This attitude within economics was established within Walton when he lived during the depression and took care of his family. "As Sam grew up and anyone could see how determined he was to succeed and as time passed he went from being a poor town boy to the richest man in the world."
Sam Walton was able to run an efficient business and open his first Wal-Mart by assuring that the following points were met within opening:
* properly stocking all the shelves with a wide range of goods with very low prices
* keeping his store centrally located so it was easily accessible to many customers
* staying open later than most stores especially during the Christmas season
* and experimenting with merchant discount (buying straight from the wholesaler which enabled him to lower his price per item and was able to sell a greater quantity of goods, thereby increasing his sales volume and profits). Sam Walton had 10 specific rules for building a successful business and in relation to reviewing the concepts of economics and the efficiency of Sam Walton's business, his ten rules captured the success for his business.
It can be proven that Walton's business exemplifies both the height of business acumen and ethical integrity for the charities he founded and the customer service he established within his business. Some of the basic concepts of management that Walton instilled within his business are still in use today and was very popular among his employees. Walton took the company public in 1970 and after introduced his "profit sharing plan". The profit sharing plan was a plan for Wal-Mart employees to improve their income dependent on the profitability of the store.
Sam Walton believed that "individuals don't win, teams do". Employees at Wal-Mart stores were offered stock options and store discounts. Walton was the first to establish benefits within the commonplace and he truly cared about his employees for then, he believed, they would care for the business and the productivity of the company. Sam Walton not only built up his own business, but he was able to build up hope and charities for those less fortunate and has donated millions of dollars to the less fortunate including multiple charities and foundations. With an estimated $90 billion fortune, the Waltons, the immediate heirs of Wal-Mart founder Sam Walton are the richest family in the world with Sam Walton as the foundation of their ethical and booming business.
Schrader, Michael.Sam Walton:The Inside Story of America's Richest Man. 1991,2004
MacNealy,Jeremy.Foolish Book Review:"Sam Walton: Made I America. 2006
- Sam Walton
Sam Walton is the founder of the well known Wal-Mart retail chain. The first true Wal-Mart opened in 1962 in Rogers, Arkansas. Wal-Mart eventually became the world's largest retailer. "From Walton's perspective, the "efficiency" of Wal-Mart's business model saves the consumer billions of dollars. He provides an example: From 1982 to 1992, Wal-Mart averaged roughly $13 billion a year in sales. Using conservative figures, he estimates that customers saved 10% "over what they would be paying" if Wal-Mart wasn't there. In other words, over that 10-year period, consumers -- many of them residing in rural and small-town America -- saved $13 billion"(Foolish Book Review)
Sam Walton's purpose and drive for his Wal-Mart chain was to drive prices down for the common people rather then drive them up rather as the department store were. "Once committed to discounting, Walton began a crusade that lasted the rest of his life: to drive costs out of the merchandising system wherever they lay — in the stores, in the manufacturers' profit margins and with the middleman — all in the service of driving prices down, down, down." The review of Sam Walton's diligence within the economic and business world proves that much of his focus was to reach out to the community and not simply build up his fortune within his business. This attitude within economics was established within Walton when he lived during the depression and took care of his family. "As Sam grew up and anyone could see how determined he was to succeed and as time passed he went from being a poor town boy to the richest man in the world."
Sam Walton was able to run an efficient business and open his first Wal-Mart by assuring that the following points were met within opening:
* properly stocking all the shelves with a wide range of goods with very low prices
* keeping his store centrally located so it was easily accessible to many customers
* staying open later than most stores especially during the Christmas season
* and experimenting with merchant discount (buying straight from the wholesaler which enabled him to lower his price per item and was able to sell a greater quantity of goods, thereby increasing his sales volume and profits). Sam Walton had 10 specific rules for building a successful business and in relation to reviewing the concepts of economics and the efficiency of Sam Walton's business, his ten rules captured the success for his business.
It can be proven that Walton's business exemplifies both the height of business acumen and ethical integrity for the charities he founded and the customer service he established within his business. Some of the basic concepts of management that Walton instilled within his business are still in use today and was very popular among his employees. Walton took the company public in 1970 and after introduced his "profit sharing plan". The profit sharing plan was a plan for Wal-Mart employees to improve their income dependent on the profitability of the store.
Sam Walton believed that "individuals don't win, teams do". Employees at Wal-Mart stores were offered stock options and store discounts. Walton was the first to establish benefits within the commonplace and he truly cared about his employees for then, he believed, they would care for the business and the productivity of the company. Sam Walton not only built up his own business, but he was able to build up hope and charities for those less fortunate and has donated millions of dollars to the less fortunate including multiple charities and foundations. With an estimated $90 billion fortune, the Waltons, the immediate heirs of Wal-Mart founder Sam Walton are the richest family in the world with Sam Walton as the foundation of their ethical and booming business.
Schrader, Michael.Sam Walton:The Inside Story of America's Richest Man. 1991,2004
MacNealy,Jeremy.Foolish Book Review:"Sam Walton: Made I America. 2006
posted by surfergirl08 @ 1:41 PM
1 Comments:
At 1:10 PM,
Still Thinking said…
5,5,5
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