Wal-Mart is currently facing numerous problems Essay

Wal-Mart is one of the most successful and largest retailers in the US. At the same time, today, the company faces a number of problems, which affect consistently its marketing position and business development. In this regard, discrimination of employees in terms of wages is one of the most significant issues that affect not only organizational culture but also accounting of the company.
On analyzing the current position of Wal-Mart, it is important to place emphasis on the fact that the company has a number of strengths, which put the company into an advantageous position compared to its rivals. First, it is worth mentioning the pricing policy of the company. Wal-Mart is traditionally oriented on low pricing policies. Low prices attract customers and allow the company to increase its sale rates. As a result, the company can increase its revenues and accelerate its business development due to the fast capital turnover.
On the other hand, the company suffers from substantial differences in wages of employees, which is one of the weaknesses of the company. In fact, Wal-Mart discriminates female employees, who receive lower wages compared to male employees. In such a situation, the company creates unequal working conditions for different employees depending on their gender. At the same time, the company suffers from the high personnel turnover. As a result, the high personnel turnover aggravates the problem of employees’ inequality and discrimination in terms of wages. What is meant here is the fact that the accounting system of the company may face problems with forecasting the further development of the company and wages it will pay to its employees (Howard, 2003). For instance, if female employees prevail the company will save costs on wages, whereas, on the contrary, if male employees prevail, the company will have to increase costs on wages for its employees.
In such a situation, the company needs consistent improvements because the persisting inequality evokes the threat of internal conflicts within the organization and poor forecasting of the accounting of the company not only in a long-run but also in a short-run perspective. At this point, it is worth mentioning the fact that the major problem the accounting system of the company faces is the poor forecasting. At the same time, the major conflict of the company is the conflict between its employees because of the gap in wages that persists.
In such a situation, the company should find the alternative courses of action to tackle both problems, although the major problem is the gap in wages of employees. The persisting gaps in wages of female and male employees lead to negative effects at the issue. In this regard, along the poor forecasting in accounting, the company will suffer from the deterioration of employees’ performance and the ongoing deterioration of the organizational performance.
In this regard, it is possible to suggest the following recommended options. First, the company should close the gap in wages of female and male employees. Second, the company should create more full-time jobs to develop employees’ loyalty and to make accounting more accurate in terms of forecasting. Finally, the company should develop aumated accounting systems to increase its effectiveness.
Thus, it is obvious that Wal-Mart is currently facing numerous problems but still the company can overcome them eliminating discriminatory practices and improving its accounting system.