Wal-Mart Retailer Crisis Management Plan


Learn more in BSC Toolkit for Crisis Management

Wal-Mart Stores is ranked at the top of the Fortune 500 companies in the United States in 2010, with revenues of $408.21 billion and profits of $14.34 billion. In 2005, Wal-Mart started facing the criticism and opposition from two groups, Wake-Up Wal-Mart and Wal-Mart Watch. These groups contended that Wal-Mart was not behaving in acceptable and ethical manner towards its employees, customers, and its surrounding communities. The negative impact of the campaigns against Wal-Mart rose to significant levels by November 2006.

Wal-Mart was forced to formulate a plan to contain the crisis and salvage its image. The developments had begun to affect the growth of Wal-Mart internally and externally. It became necessary for the company to handle the various issues raised by its retractors and counter them through strategic organization and effective communication. The management of Wal-Mart devised several crucial measures including effective communication strategies to redeem its reputation that had been hit by negative media attention.