ctive control mechanism in the marketplace, particularly among the "lower income families that flock to Wal-Mart for everything from clothes to books to groceries" ("Low price guarantee," 2006).
Communication is another control mechanism that Wal-Mart leverages strategically. According to Sue Oliver, the senior vice president of the Wal-Mart Stores Division, Wal-Mart began "integrating a multi-tiered communication plan into the business...to reduce turnover, and to stay ahead of customer demand and trends," as well as to "react to the many criticisms that have been placed on Wal-Mart in recent years" ("Wal-Mart's New Communication Plan," 2007). The plan involves putting over 300 human resources managers in the field "to ensure hiring, training and performance practices and policies are implemented correctly" and to increase employee morale by "communicating business objectives and opportunities for growth" ("Wal-Mart's New Communication Plan," 2007). The plan's human resource strategy "ties all human resource practices into the business strategies," and an ethics hot line for Wal-Mart employees provides an avenue for reporting issues to be investigated ("Wal-Mart's New Communication Plan," 2007). This communication plan serves to increase the company's transparency as well as enhancing internal opportunities for its associates ("Wal-Mart's New Communication Plan," 2007).
Wal-Mart's power is legendary. Because it offers suppliers an opportunity to sell huge quantities of their merchandise in its stores, it commands t
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