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Slide 1

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Adele Richardson
Blue = countries with Wal-Mart stores…read more

Slide 2

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What is a TNC?
A firm which owns or controls production facilities in more
than one country through direct foreign investment (DFI).
The company doesn't have to own the operations outside the
home country.…read more

Slide 3

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Background history
· Wal-Mart is a chain of discount department stores including ASDA. Its
one of the largest TNCs in the world and the largest retail TNC (many
other TNCs are oil companies).
· The company first opened in 1962 when Sam Walton opened the first
store in Arkansas, USA.
· Many more stores began to open across Arkansas, and then the US. The
store went onto expand across the globe including Japan (Seiyu), the UK
(ASDA) and Brazil (Bompreco).
· There are currently 8,500 stores in 15 countries under 55 different
· The company divides its labour across a number of different countries.
It's HQ remains in Arkansas, USA, but manufacturing is carried out in
countries where its cheaper to produce i.e. China and India.
· The company has began to expand into NICs such as India which have
huge new markets.…read more

Slide 4

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Services in
the US (in
w. T-Mobile) Main
photography…read more

Slide 5

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· Provides consumers with a wide choice of goods, e.g. the `supercentre'
stores sell things like garden furniture and car tyres as well as food
and clothing.
· Many stores are open 24/7, so consumers can shop when they like.
· Many stores are poorly paid with few benefits e.g. health care, so
employees have to rely on state benefits.
· In California in 2004, its estimated that the state needed to pay out
$86m to Wal-Mart employees.
· Wal-Mart had been accused of poor working conditions. I.e. in 2005
Wal-Mart had to pay out £$172 in compensation because some
employees had been denied meal breaks.…read more

Slide 6

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· Employment- each new store creates jobs, e.g. Vineland (USA) opened
in 2009, creating 700 jobs.
· Low prices- Wal-Mart is one of the cheapest supermarkets in the USA.
· Decline in Manufacturing industry ­ Wal-Mart buys lots of products
from suppliers outside of the USA, e.g. electronic goods from China
and Malaysia, which has caused a loss of manufacturing jobs in the
· Loss of small/local businesses ­ Wal-Mart stores can cause smaller
stores in areas to shut down as they don't match the low prices.
· This can cause the loss of local jobs, e.g. it is estimated that for every
100 jobs created at a new Wal-Mart, 50 retail jobs are lost from local
businesses over the next five years.…read more

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Slide 8

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Slide 9

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lovely stuff, used this in my class the other day. so helpful!

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