Article: Panel to advise Patel on Walmart, Massmart deal

This is quite an interesting subject. Walmart is gigantic, what impact will it have on SA? Will it be for the better?

RBD

*Sent from my HTC Dream using MyBroadband Android App
 
Members of the panel include the deputy director-general of economic development Neva Makgetla, Standard Bank group economist Goolam Ballim, Industrial Development Corporation CEO Geoffrey Qhena and Iraj Abedian from Pan-African Investment and Research Services.
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Do we know anything about these people? Are they likely to give a balanced and fair report?
 
They need to let Walmart buy it asap. Walmart is a world-class and would bring better service delivery here in Africa. I have been at Walmart stores, if they practice the same principles they have overseas and apply them for us here, the consumer would win, the little businesses might die out but Walmart would take over and bring cheaper prices for us.

I am all for that.
 
Walmart will not be bringing lower prices or anything of the sort to this country...

They're looking at buying MassMart for the profits that MassMart make.. nothing more and nothing less.
 
B.O.F.H. said:
Walmart will not be bringing lower prices or anything of the sort to this country...

They're looking at buying MassMart for the profits that MassMart make.. nothing more and nothing less.
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Not the way they have done business in the past, they come in with billions slash pricing 50% to bring in people and they kill every small business in the surrounding area. They kill jobs because they bring in billions and can afford a major loss to establish themselves and become the driving force. Billions of dollars bare that in mind.

This will kill off all smaller business, go look at how they do it. It is sick and twisted but works every time and makes them a fortune. They will take a washing machine that sells for 4k and sell it for 2k to establish themselves. Ruthless business who will do more harm than good. Maybe for most people the good pricing will be nice but the jobs losses not so nice.

Long run it will hurt us. Although their pricing is epic so i will be happy but all the smaller struggling business will go belly up.
 
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I'm fully aware of how they do business in an area as Walmart, but this doesn't strike me as Walmart coming to set themselves up, more like Walmart buying a succesful company (along the lines of ASDA)...

It would be great if they did slash prices, but I just don't see it happening unfortunately.
 
I don't see Wallmart being good for our economy. It'll just syphon billions out into the American fat pockets and kill of smaller and larger enterprises here in SA. If it'll benefit our economy and create employment, then I'm all for it - but they're here for major profits. Nothing more.

OT: There was an episode of South Park where Wallmart moved in and destroyed the town. :p
 
genetic said:
I don't see Wallmart being good for our economy. It'll just syphon billions out into the American fat pockets and kill of smaller and larger enterprises here in SA. If it'll benefit our economy and create employment, then I'm all for it - but they're here for major profits. Nothing more.

OT: There was an episode of South Park where Wallmart moved in and destroyed the town. :p
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South Park does generally paint a factual picture on American society.

So yeah, Walmart coming will not necessarily be in the best interests of South Africans.
 
Cosatu says it will not objest as long as Walmart sources all its products locally!
then what would be the point of them coming to SA?
the only thing im not happy about is that they dont pay their employees properly. they should abide by all the labour laws and then i dont see why they wont be successful.
if they intend on paying peanuts to their SA staff, im sure that rampaging mobs will burn their stores and teach them a good lesson.
 
msmoorad said:
Cosatu says it will not objest as long as Walmart sources all its products locally!
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what does that mean?
no DVDs as they all come from the US, or we can have DVDs but wallmart must buy them from SA Importers?

Somehow I don't see either working?



and another thing.
The SA Commercial, Catering and Allied Workers Union has threatened to go on strike if the deal goes ahead. Walmart has a reputation for being at loggerheads with US trade unions.
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This is EXACTLY why we need Walmart and their anti-union policies. Unions are the suck.
 
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VioAdmin said:
They need to let Walmart buy it asap. Walmart is a world-class and would bring better service delivery here in Africa. I have been at Walmart stores, if they practice the same principles they have overseas and apply them for us here, the consumer would win, the little businesses might die out but Walmart would take over and bring cheaper prices for us.

I am all for that.
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So you are happy for loads of people to lose their jobs so we can get all our stuff a little bit cheaper? I thought the anc promised jobs? If walmart operate like they do when they swing into town then even the big names could feel the heat. Walmart will think nothing of taking a couple billion dollars selling goods at below cost to shut down the smaller guys, remember in america anything goes but here in SA that sort of tactic would not be needed because there is no competition, well there is but nobody seems to keen on outdoing their comp. They come in and bring really really low prices and have the financial backing to take a 1-3 billion loss as far i know. This is SA though i am not expecting them to get so aggressive as you do not need to make losses in our climate, perhaps they will ride the good ol SA train like the cell networks.

Do we know the impact and how many jobs COULD be lost vs jobs gained by walmart? Any type of guess i would be happy with. I am a bit torn because i hate how we get screwed :( but i can imagine big job losses if they use the shut down the competition route. Initially they don't just compete they will sell something for 50% less than anywhere, take a couple billion in loses and you can just imagine how fast the impact will be on the smaller players. Will no doubt be very interesting.

The anti union thing will cause Tyre burning and property damage at some point i am sure. It is very exciting to see such an aggressive, game changing company.
 
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VioAdmin said:
They need to let Walmart buy it asap. Walmart is a world-class and would bring better service delivery here in Africa. I have been at Walmart stores, if they practice the same principles they have overseas and apply them for us here, the consumer would win, the little businesses might die out but Walmart would take over and bring cheaper prices for us.
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Why would they do any of that when they can keep things the same and retain their profits. Unlike the US they will not be able to rape their employees to increase profits. The could try strong-arming their suppliers as they do there.

Are they going to keep the profits in South Africa or siphon them off overseas?

I don't see this deal having any major benefits for us.
 
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