Ethical Perspectives Cross Cultural Perspectives - Case Study Example

Ethical Perspectives Cross Cultural Perspectives Introduction Wal-Mart stores have been ranked the best company worldwide in the recent past. The company has established several branches in many parts, not in the United States alone but also outside the region. Having a lot of branches in several parts of the world provides an ample market for the company to sell its produces and hence makes a lot of sales. Despite all the successes, the company faces several setbacks internally that hinders it from achieving even more. The culture of an organization is the way or how the company is conducting its day to day operations within the company. This includes handling the customers and the services offered by the workers. Culture, however small and ineffective the fact may look like, determines a lot the success of the company (Alice, 2012). This essay focuses the idea of the culture of Wal-Mart store and how its culture has affected the company. Ethics are the upright wellbeing and undertakings of the company. Ethics and social responsibility, also plays a major role in shaping the general business. The essay also addresses the issue of ethics and social responsibility and what is to be done so as to improve the services of Wal-Mart stores. Wal-Mart operates in several countries outside United States. The road in establishing their stores in other countries have not been that smooth. The main reason behind this is due to the cultural conflict with other countries. Wal-Mart is a company based in the United States and the manner in which they conduct their services and the kind of products sold is mainly determined by homeland cultures. When the company ventures in external markets or other countries, it is faced with cultural conflict where the cultures are conflicting. Customers from other countries view the operations from Wal-Mart as inferior to theirs and hence the company loses market from the customers thus reducing the company’s profits and product management (Alice, 2012). It is as well correct to say that Wal-Mart is aggressive in searching for markets for its products and services. When they tried to venture into the Argentina market, the company did not succeed because of its culture. The people of Argentina did not embrace their products due to conflicting cultures. Wal-Mart also has a culture of exploiting the middle class and enhances gender inequality. In Germany for example, international employees are paid more than the local employees, a situation that lead to the loss of a lot of workers. The cultural issues within the organization also determine the success and failures of a company. These include the internal operations of the company. The internal culture of Wal-Mart is to provide products at cheap products and increasing the efficiency in serving the customers. This internal culture has been of great importance for the company in increasing its sales and the overall profit of the company. It is also important to point out that Wal-Mart is founded on three basic beliefs and core values. According to Wal-Mart Community, 2012, these factors are: Service to our customers; the customers are considered the main heartbeat of the company. They are the reason for the living and success of the company. The customers are given the first priority and the company looks into it that it provides all that the customers require. Respect for the individual; all the associates in the company are given the maximum respect that they require. It is due to their tireless work that the company is able to achieve. The company, values all the affairs of the associates and communication is enhanced. Striving for excellence; the main aim of a normal company, is of course to achieve success. In Wal-Mart, they work hard and strive in order be successful. They do this by working together and innovating new policies that can work best in the company. Ethics are all the factors that are right on a business setup. Ethics include social responsibility where every associate in a company is responsible for all the day to day affairs of the company. These affairs are always small and may be seen as not worth to the company. Social responsibility involves engaging the society in real life situations. The way in which a company cares for the general wellbeing of the society then also the company portrays a good image to their customers. It is therefore important to ensure that upright business ethics are maintained and upheld in the company. Wal-Mart has however done a lot in ensuring that ethics and social responsibility are upheld. First is the way in which the company is dealing with its customers. Wal-Mart puts the needs of the customers first. It considers the fact that customer shape the direction in which the company takes especially about the success of the company. The company has also done a lot in giving back to the community. They include supporting most of the projects of the community (Sam, 2007). This has made the company to establish strong and long lasting customers since they will like to be associated with the good things that the company is engaged in. Ethical sourcing is also an area that the company has tried to concentrate on. Just to mention an accomplishment is when the company added environmental criteria which included treatment and discharge of polluted air, handling and disposing wastes and regulations of banned substances to the ethical standards (Wal-Mart Community, 2012). However, despite all the positive actions that the Wal-Mart company has taken in order to ensure that ethical issues were maintained, there are some issues that the company needs to put in place. These issues and policies if looked into them would see the company in a better position. First, is the way in which the company is looking for suitable market for its products? It is now clear that the major problem that Wal-Mart faces is the external market, in the countries outside the United States. According to Griffin, J. & Ricky, W. 1993, businesses should operate in a manner that will realize profits, meets the legal requirements and also within the social needs. Another effective way in which the company will ensure that ethics are kept is to put in place a strong culture that meets the goals of the company (Griffin, & Ricky, 1993). The culture should be ethical based and worth meeting the demands of the company. Wal-Mart only focuses on the customers’ welfare and does little in taking care of the welfare of the associates. The associates should be allowed to communicate freely and given an opportunity to pass the suggestions that they have to the stack holders. When setting a target or a goal, it is important to put into considerations the ability of the company to achieve the goal before putting it as a goal. Wal-Mart has one of its goals to reduce the prices of most of its commodities so that it could attract more and more customers. Wal-Mart has therefore focused only on the internal factors inside the United States and has done small in expanding its market to the external markets. The company should therefore work extra hard in coming up with policies that will change the take of the external markets on the products of the company. Conclusion Culture determines a lot on the success and the failures of the company. A lot of companies have neglected on conducting a general study on the type of culture that is in existence in their companies. This has lead to the reduction in the total number of sales and thus reduces the profits of the company. We have seen how the Wal-Mart’s culture plays a huge role in determining the success of the company. This matter should be look into and a proper culture that leads to successes of the company needs to be put in place. Ethics entails what is to be done and how it should be done. It is how the associates carry on with their daily work whiting the company. Social responsibility is a substitute of ethics and it entails being responsible in conducting all the available tusks that needs to be done in a company. References: Alice, K. (2012). Wal-Mart Cultural Conflict. Retrieved 28th November, 2012. From http://public-company.ezinemark.com/wal-mart-cultural-conflict-7d35357f21dc.html EzineMark Press; Griffin, J. & Ricky, W. (1993). Management, 4th Edition. Geneva: Houghton Mifflin Press; Sam, W. (2007). Wal-Mart in Crisis. Wal-mart Watch report. Ozak Press; Wal-Mart Community, (2012). Culture of Wal-Mart Stores. Retrieved 28th November, 2012. From http://corporate.walmart.com/our-story/working-at-walmart/culture. Wal-Mart stores publishers. Read More