Wal-Mart Rules the World

Vishal Hemnani
GVPT200, 0105

One main theme pointed out by Franklin Foer in his book How Soccer Explains the World, is the presence of money in politics. He discusses the rise of corporate hegemons, using Italian president and AC Milan owner Silvio Berlusconi, as his prime example. In his description to Berlusconi, Foer points out that with more money comes power. Silvio Berlusconi used his power to buy his team championships and pay off officials. Foer also uses Juventus owner Gianni Agnelli as another example of wealth corrupting Italy. Agnelli was the owner of Fiat motors along with other ventures that resulted in his total wealth equaling a third of Milan’s stock exchange. Power and money’s corruption of a nation is a common theme found in today’s society, especially in the case of the Wal-Mart corporation, which has large influence in both individual nations and the global market as a whole.

  

As a company, Wal-Mart has revolutionized the retail industry all over the world with their low prices and capability to dictate policies. In fiscal year of 2012, Wal-Mart made approximately $444 billion, $20 billion more than Austria’s GDP. If Wal-Mart were to be a country, it would have the 26^th largest economy in the world.  When Foer describes the wealth in Italy, he often refers to the rich’s capability of influencing decisions with money in order to satisfy ulterior motives. In 2000, John Walton, the CEO of Wal-Mart, took the initiative of inserting his company into the education policy debate. Wal-Mart’s involvement brought about great controversy from the American public, as most people did not see why the country’s “1%” would have a sudden interest in education policy. The Walton Family Foundation claimed that they hoped to “infuse competitive pressure into America’s K-12 education system by increasing the quantity and quality of school choices available to parents, especially in low-income communities.” However, it was later discovered that the family’s involvement was for more selfish reasons. Wal-Mart believed public schools to be “dummied down”, and that the quality of students graduating were unable to fill entry-level positions. Wal-Mart used their money and power to force education policy, not for the benefit of the people, but for the benefit of the company, similar to Berlusconi with his rigging of Italian Soccer.

Another instance of Wal-Mart’s corporate dominance was on display in Mexico. In 2004, elected officials opted not to allow a Wal-Mart to be built in a region near the city due to zoning requirements. To no one’s surprise, the Wal-Mart division in Mexico was very dissatisfied with the ruling, and chose to deal with this matter through bribe. They offered the elected officials a $52,000 bribe, and within months construction had begun. When the superiors of Wal-Mart were told of the nature of business in Mexico a minor investigation was done. However, when it became apparent that bribery was often used, Wal-Mart halted their search. Authorities were never notified. Foer talks about corruption among corporations, and it is quite evident that in the globalized world, money rules all. With their widespread reach and wealth, Wal-Mart has gained the power to influence decisions all over the world. Despite having knowledge of their company’s misconduct, Wal-Mart opted to turn the other way.

Corporate dishonesty and the wealth of large corporations are a cause for alarm. When the wealthy yield more power and influence than our governmental and law enforcement systems, our society is at risk. We built our government to check against selfish branches, to ensure that the results of this power were beneficial to the people. It seems now that the nation should devise ways to check large corporations, as their wealth gives them unchecked power to influence society selfishly rather than selflessly.