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External Environment Affecting The Mcs At Wal Mart

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.1) External Environment Affecting the MCS at Wal-Mart External environmental changes greatly determine the nature of business today. In response, the MCS design in an organisation is expected to consider various external factors, or business risks of an external nature, in order to be more adaptive to the current business environment. These external factors may lead to consequences on the company’s capability to achieve its targets (Bosa Italinana S.p.A. 2003). For this point, the MCS practices within Wal-Mart are intimately aligned with its external environment, in terms of political, economic, socio-cultural and technological contexts. 2.1.1) Rise in legal issues In the legal world, the 21st century is regarded as the era of litigation over the super retailer Wal-Mart (Brunn 2007). In the America public record, searching for Wal-Mart as a party in a lawsuit produced 3,034 reported cases, and a great amount of these lawsuits are related to its relationship with employees. The range of employment-based cases includes race and gender discrimination, unjust termination, compensation and minimum wages. Although as the largest corporate retailer in America, Wal-Mart’s size, strength and long-term interest provide it more opportunities to influence the legal system and nudge the law in a direction favourable to it (Brunn 2007), these legal issues put Wal-Mart in a trouble situation and stimulate it to change its MCS from a paternalistic attitude and company culture approach

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