Did Wal-Mart Wake Up? - The Arthur Page Society

1. Introduction
Teaching Notes
Studying the case of Wal-Mart Stores, Inc. in respect to its corporate reputation
management (CRM) is an excellent opportunity for students to learn how this large
corporation handled criticism and opposition from various organizations and individuals.
The case study focuses primarily on the issue of labor relations and discusses what
actions Wal-Mart took in order to quell bad press regarding its business practices and
policies. It draws from a variety of examples and sources: from films, to legal instances,
to trade magazines, blogs, and even the Wal-Mart corporate Web site. Through this case
study, students can learn the many challenges public relations practitioners face when
dealing with a tainted reputation, as well as the ethical implications of representing a
company where expectations are that it will be a corporate leader in society. Students can
also learn the importance of implementing sound public relations and corporate
communications strategy in order to cultivate and sustain relationships with its
stakeholders.
The case of Working Families for Wal-Mart allows students to learn the concept
of astroturfing, which is prohibited by the code of ethics of the Public Relations Society
of America. Astroturfing refers to campaigns that disguise themselves as independent
grassroots efforts when in reality they are funded and backed by a corporation, non-
profit, or activist organization. In this case, Edelman engaged in astroturfing, in spite of
the fact that the firm helped to write the Word of Mouth Marketing Association’s
(WOMMA’s) code of ethics, which emphasizes transparency with the public. This irony
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