I call Walmarts “China Marts” because everything they sell, seems to be made in China. It wasn’t always that way. When Walmart founder, Sam Walton lived, (1918-1992), he bought American. I have a first edition of a book titled simply “Sam Walton.” (Dutton 1990). I am going to quote from parts of a few parts of pages 259, 260, and 261, to demonstrate Sam’s patriotism.
“Farris Burroughs’ plant in Brinkley Arkansas, was employing 90 people, and was making flannel shirts for Van Heusen that were distributed through J.C. Penney and Sears. Now the work was being moved to China, and Burroughs feared he would have to close his factory. “I’d hate to see an Arkansas plant shut down,” said Sam. He decided he would buy American, and give Farris Burroughs an order if they would agree to a fair price. They would have to compromise and get the flannel from overseas, but all the manufacturing would be done in Arkansas. Sam agreed to give a guaranteed order, help with scheduling, and pay faster for shipments.” “With a lot of fanfare, Sam gave Burroughs’ factory a $612,000 contract for 240,000 flannel shirts. The factory immediately hired a hundred extra workers, with the assurance that their sewing machines would be kept whirring for about six months. In the same stroke, Sam took his idea nationwide, with an open letter asking 3,000 American manufacturers and wholesalers to join him in the “Buy American” plan to help save jobs at home, and reduce the trade deficit. Between 1981 and 1983, 1.6 million American jobs were lost, he declared, due to the rise in imports, which jumped 78 percent in two years.
“Walmart competitors did not meet the “Buy America” challenge. K Mart and Target had a lukewarm response. In February, 1986, Sam staged a sort of ’show ands tell’ in Little Rock’s huge convention center, to demonstrate the plan’s effectiveness. Wearing $29.84 shoes made in Wynne Arkansas, he grabbed a child’s size two tee-shirt manufactured by Pixie Playmates in Florida. “They say we can’t do it in the United States, but we’re going to have these in our stores for two for five dollars.” Sam slung a $4.93 wire chair over his shoulder, and sat in it to prove that it was superior to one made overseas that sold for $6.99. Sam led reporters through a display of American made goods, extolling microwaves, candles, shirts, boots, shoes, and caps for toy cowboy guns. Enthusiastically, he waved cooking utensils and tossed washcloths to a reporter so she could feel the difference. He called for impromptu comments from representatives of thirty “USA Made” companies. Whitney Stevens of J.P. Stevens Company, said he worried about Walmart buying so many two-for-$7 beach towels. “If he doesn’t sell some of these by summer, he’s going to be up to his ass in beach towels.” Sam snatched up one of the beach towels and wrapped it around his waist to show it off. “How many did we order?” Stevens gave him a smile. “At retail, eight million dollars worth.” Sam smiled back. “Don’t worry. We’ll sell ’em all.” The press conference lasted ninety minutes. Sam estimated that in the previous twelve months, his “Buy America” plan had restored jobs to 4,538 people.”
A quote from a 1992 book titled “Sam Walton- Made in America” page 241, (Doubleday 1992). Sam said that, “American workers can make the difference if management provides the leadership. If Walmart committed to high volume purchases well in advance of shipping deadlines, a lot of American manufacturers could save enough on purchases of materials, personnel scheduling, and inventory costs to realize significant efficiency gains. So, in fact, they could turn out a wide variety of merchandise; flannel shirts, candles, men’s knit shirts, ladies’ sweaters, bicycles, beach towels, film, video tapes, furniture, even toys, at competitive prices. Using that data, we developed a formula which enabled us to make a true apples-to-apples cost comparison of buying something overseas versus buying it at home. Now, if we can get within 5 percent of the same price and quality, we take a smaller markup and go with the American product.”
As of today, Farris Burroughs still operates with grosses of $100 million, and employs 320 people. Sam Walton saved the plant and its jobs. Farris Burroughs died September 24, 2010. Sam’s kids, who are among the world’s richest people, have totally betrayed their father’s wishes and practices. And that’s why I refuse to ever go into a Walmart. Spoilt kids rarely turn out well, in my opinion.
P.S. Kroger has several store names, huge corporate debt, and Walmart is giving them fits. In my town, City Markets are owned by Kroger. If I were the CEO of Kroger, I’d combine all the stores under one name, pick up A & P, which just filed for bankruptcy, and any others that could be bought. I’d do Walmart system of warehousing efficiency, and maybe give them a bit more competition. However, I know nothing about the grocery business!