Recently, the documentary "Wal-Mart: The High Cost of Low Price" was released in about 25 theaters nationwide.
But the director, Robert Greenwald, is hoping that the movie will be shown for free in thousands of homes and churches throughout November. The film was made on a budget of under $2 million, which is tiny compared to that of most movies.
Wal-Mart Recruits a War Room
Wal-Mart is worried that the unflattering film may become a cult hit along the lines of Michael Moore's film about General Motors, "Roger & Me." In response to this and other public relations problems, Wal-Mart has recruited former presidential advisers to set up a rapid-response public relations team.
A Counterattack
Wal-Mart has already produced a short video claiming Greenwald's contains factual errors. Greenwald noted that their objections were based not on the film, but on a preview posted online. Wal-Mart has also begun to promote a second film, "Why Wal-Mart Works & Why That Makes Some People Crazy."
Stock Price Dropping
Wal-Mart's stock price has fallen 27 percent in the past five years, which may reflect investors' worries about the company's image. Two to 8 percent of Wal-Mart customers have ceased shopping at the chain as a result of "negative press they have heard."
Cheating Workers and Destroying Towns
"Wal-Mart: The High Cost of Low Price" accuses Wal-Mart managers of cheating workers out of overtime pay and encouraging them to seek state-sponsored health care when they cannot afford the company's insurance. The film also examines the effects on independent businesses when a Wal-Mart opens nearby.
