It is straight out of (Ayn Rand’s novel) ‘Atlas Shrugged,’ ” said Ron Galloway, co-director of “Why Wal-Mart Works.”
Wal-Mart Films Are Latest Front In Battle Over Lean Retail Giant
BY SEAN HIGGINS
INVESTOR'S BUSINESS DAILY
Posted 11/18/2005
The ongoing battle between Wal-Mart (WMT) and its critics has opened a new front: home video.
A new documentary, "Wal-Mart: The High Cost of Low Price," held its gala premiere in Washington, D.C., on Tuesday.
Another one, "Why Wal-Mart Works and Why That Makes Some People C-R-A-Z-Y," was released the same week.
The rival films paint starkly contrasting pictures of Wal-Mart's impact on the country, one highly negative, another quite positive.
Though both are independent projects, Wal-Mart and its opponents are each helping promote one of the films.
The dueling documentaries reflect a much broader, but still somewhat underground, campaign against Wal-Mart.
Liberal groups, led by big labor, have made hobbling the nonunion retail giant their crusade.
Wal-Mart is acutely aware of the campaign and has pushed back on several fronts.
At stake is whether the retail giant can maintain its trademark lean and efficient operation — or can be pressured into adopting more liberal business practices.
"It is straight out of (Ayn Rand's novel) 'Atlas Shrugged,' " said Ron Galloway, co-director of "Why Wal-Mart Works."
Wal-Mart's critics argue the chain's "always low prices" have come at the expense of employee salaries and benefits and have forced mom and pop stores to close, hurting small towns.
Wal-Mart and its fans fire back that the critics have distorted the facts and ignored the benefits it provides, especially for low-income families on tight budgets.
The rival films reflect the latest efforts to win hearts and minds in this debate. Don't bother looking for either movie at your local multiplex, though. Neither is getting a theatrical release. The films won't be available at Wal-Mart, the nation's top DVD seller, either.
The filmmakers are relying on below-the-radar methods for promotion, such the Internet and word of mouth.
"Wal-Mart: The High Cost of Low Price" is a scathing attack in the vein of "Fahrenheit 9/11." It features several interviews with ex-Wal-Mart employees and managers alleging mistreatment of workers and unethical behavior by the firm.
The film isn't subtle. The screen flashes with headlines such as "Family Business Threatened." One segment shows images of empty main streets as Bruce Springsteen sings, "This Land Is Your Land" on the soundtrack. It even alleges that Wal-Mart is responsible for attacks on employees in its parking lots late at night, contending the retailer could have done more to prevent them.
Nobody representing the retailer was interviewed. Film director Robert Greenwald said he invited Wal-Mart CEO Lee Scott to talk on camera, but was turned down.
Wal-Mart has responded by mailing reporters information packets disputing claims made in the film. Some do appear to be misleading.
For example, one section relates the closing of a family-owned hardware store in Middlefield, Ohio, supposedly because it couldn't compete with a new Wal-Mart.
But that store closed months before the Wal-Mart opened.
Don Hunter, former owner of the closed store, told the Cleveland Plain Dealer that Wal-Mart wasn't to blame.
"(I)t's not the reason we closed. Absolutely not," he said.
Greenwald concedes this in his film's Web site, walmartmovie.com, but the film itself gives a much different impression.
In any event, another hardware store has opened on the same spot and is doing just fine, the owner says.
"They (Wal-Mart) really don't bother us," said Jay Negin, owner of ACE Middlefield Hardware.
Creating A Cult?
Liberal groups plan to distribute the film themselves, hoping to turn it into a cult hit.
"There are going to be over 7,000 viewings at house parties, in church basements and union halls," said Robert Borosage, co-director of the Campaign for America's Future, a labor-backed group.
The rival film, "Why Wal-Mart Works," makes the free-market case. Lighter in tone, it features interviews with economists challenging the arguments made against Wal-Mart, and with local folks happy to have one in town.
It concludes by recounting Wal-Mart's highly praised response to Hurricane Katrina.
Directors Robert and Ron Galloway said it was a completely independent production and they've had an arm's length relationship with Wal-Mart. They're still trying to recoup their $85,000 investment.
Wal-Mart has helped promote the film. It included materials about it in the package sent to reporters. The Galloways said that's pretty much it.
"They aren't really promoting a film when they've decided not to carry it in their stores," Ron Galloway said.
He added, "They may have decided it won't sell." |
