Unformatted text preview: -Loss of jobs in those companies.-Opening price point-cheapest item in the line. Draws customers to other items in department even if it’s not cheapest.-Low cost imports from Asia were vital to Wal-Marts history. Caused Americans to lose their jobs.-To compete in low cost market, you must take part in Asian trades.-Wal-Mart is making local companies to get this market to keep in business with them.-This offshoring caused Americans to lose jobs.-They could produce products for as low as .30 cents an hour. -36 billion come in from China and 3 billion go out. China don’t have the income to buy American products which affects the trade deficit.-TV makers were forced to drop prices or lose contracts to competitors in China.-Started antifair/free-trade suits against China. Wal-Mart was Pro-China.-The dynamics of Wal-Marts low price idea is undercutting the American labor economy....
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- Spring '07
- Globalization, contemporary economic globalization, -Integrated financial markets, MNCs. -Fortune Global, -Low price=low wages