A month or so ago, the Business Roundtable of some of the biggest companies in the US announced they believed besides making profits to their shareholders they also had a obligation to stakeholders of their companies – employees, suppliers, and communities. Just after Labor Day, Walmart announced it was still selling rifles for hunting, but would not longer carry handgun ammunition and asked in states with an open carry legislation do not bring you gun to the store.
In an article by Anne D’Innocenzio of the Associated Press, Walmart President Doug McMillion said, Walmart has a long history of serving responsible hunters and sportsmen and will continue to do so. The only thing they will no longer carry is ammunition which is used for military style weapons. In 2015, the company stopped selling semi-automatic weapons. Walmart was the location of shootings which killed shoppers in El Paso, Texas.
There will be no material affect on the profitability of the company, although the NRA came out and suggested their members not to shop at Walmart, which is not going to happen.
Linking to dividend paying stocks, retailers will stock what their customers demand and if it is legal, retailers will try. Later, they will determine if they should or if it right to do so. If government does not lead, someone else has to step into the void and take leadership. In this case, polls reveal the public wants government to do something, and Walmart is doing something.
There are more questions than answers, till the next time – to raising questions.