The legal issues Walmart face are minimal in comparison to other countries they have expanded to, or, have tried to expand to.
Natasha Williamson
I chose to build a Walmart in New Zealand. The legal issue I see Walmart having in New Zealand is related to paperwork or contracts. The cultural issue I see Walmart having in New Zealand is integrating the Maori culture into their business structure. The legal issues Walmart face are minimal in comparison to other countries they have expanded to, or, have tried to expand to. The laws are structured to be business friendly. The tax structure has also been streamlined and made easier for businesses new to the region to navigate (“Top 10 Challenges of Doing Business in New Zealand”, 2019). Walmart is not new to expanding to other countries, therefore, the issues affecting them should be ones involving paperwork or contracts, not necessarily issues with how to do business in a new location. Prior experience expanding to other countries, plus, a system that is set up to be easy to navigate for businesses new to the region should be a smooth transition for Walmart. Contract related disputes such as issues with the minute details of contract terms and general issues with the way in which contracts are interpreted or dealt with in a new location are issues that should be expected with any new venture outside one’s country. Importing goods to the region is one specific area that contracts would be needed for that would be a potential problem area. The logistics of getting goods to the region and the handling of contract terms to allow for the goods to be imported in a timely manner are issues I foresee needing attention. How to deal with issues regarding contracts and importation of goods includes communication with people at the local level and the level of government. Open and honest communication and clearly defining of contract terms should help this process. Being transparent with how business is performed and with what Walmart needs in order to be successful is also a way to help minimize any issues that may occur with the contract process. The cultural issue that I see Walmart facing is integrating the Maori culture into their business model. This seems to be an issue with the local New Zealanders as well since most information I have seen about business in the region addresses the Maori culture being a part of any business endeavor. Most websites and journal articles explain that the integration of the Maori culture is essential to being successful in the region. It should be no different for Walmart. Integrating the Maori culture into the business model for opening a store in New Zealand should be a necessary part of any plans Walmart has to expand to the region. They can do so by being sensitive to the cultural norms of the Maori people and respecting their beliefs even if they do not mesh with the standard business concepts that most businesses utilize. Adopt business practices to accommodate local markets (Top 10 Cultural Risks for Global Business, 2015). Altering things that may be offensive to people who are Maori is not something I see as being an issue as much as integrating what they believe into the work environment. Not leaving out what they have as their core beliefs and values is a more effective way to deal with any cultural issues than changing the way business processes are performed. Ensuring that they have a voice and their position is valued needs to be an active part of any management decisions made.
References
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