1.

What are the ethical issues raised by Wal-mart's massive sourcing of low-cost products from
China?
(1) It may affect the safety and quality of products.
(2) It may disturb the normal order of market economy.
(3) It may cause factories to squeeze labor crazily due to the continuous increase of costs,
resulting in violations of labor rights.

(1) Commodity quality problems, Wal-Mart purchases a large number of low-cost goods from
China, there will be commodity quality problems, because of the low cost, there may be
distribution of "counterfeit and shoddy" goods.
(2) Violating employee rights. In order to meet Walmart's low-price requirements, supplier
factories mostly maintain their profits by harming the interests of labor. At Walmart's supply
plant, there are many things that harm the interests of workers. For example, ultra-low wages,
excessive working hours, a work environment that lacks labor protection, and harsh rules in
factories.
(3) Trust problem, because of the continuous sale of low-cost goods, the quality of goods is very
poor, which damages Wal-Mart's credibility.
(4) In the case of social and economic damage, Wal-Mart violates business ethics and only
considers the interests of the company itself and pursues the maximization of corporate profits,
while giving little consideration to the interests of stakeholders. Buying low-cost goods from
China undermines U.S. manufacturing companies and disrupts U.S. markets. The socio-economic
sector will also be devastated.
(5) Damage to the environment, due to low cost, dealers may not be responsible for the
environment.

(1) Wal Mart purchases low-cost goods from China and persuades Chinese factories to sell
goods at low prices with huge orders, which puts pressure on suppliers of brands in other
countries and is not competition in friendly industries.
(2) Selling low-cost goods without investigating the safety of the products, so that the health of
some consumers is damaged.

Rick Carter claims: " The only goal of (Wal-Mart) buyers is to get the lowest price possible, but it
is known for buyers to pick about the supplier's difference."Wal-mart purchases everything from
clothing to toys to lighting to electronics from China, accounting for about 90 percent of all of the
company's imports.Wal-Mart, the world's largest retailer, has used its huge orders to convince
factories to sell goods at unsustainably low prices.This puts pressure on other brands to spend
less money.

1. In order to make more profit, Wal-Mart keeps the price of the product unchanged, but the
purchase price has been decreasing. At the same time, the quality of the product has been
continuously reduced and consumers have been deceived.
2. In order to obtain lower-priced products, Wal-Mart chose to import low-priced products from
China because it is difficult to find suppliers that meet its conditions in the United States. This has
also caused some suppliers to lose cooperation, or even unable to continue operating, leading to
bankruptcy, resulting in the unemployment of some American workers.
3. Wal-Mart imports foreign low-priced products, but sells them at the same price as other malls
in the United States, which is very unfair to others and disrupts a certain market order.