To come up with an amicable solution to this problem, the company needs to control its expenses to a level that will keep the prices relatively low as well as its operating costs. Lowering the operation costs might entail laying off some employees which will compromise the company’s positive public image (Thompson et al 2007, p. 127). However, with small numbers of the labor force the company will be in a position to offer them competitive wages and salaries and motivate them leading to retention of employees in the future.

 Wal-Mart faces a significant challenge in dealing with its employees. Due to their strategies of keeping the labor costs very low, the company fails to articulate their issues leading to dissatisfaction and lack of motivation. However, the long-term problem resulting from the current strategy can be mitigated at Wal-Mart if the company adopted an approach that will lead to promotions and employee satisfaction (Burgelman et al, 2000, p. 174). The employees should understand the criteria for promotion and self-development. Moreover, self-development within the company ought to be the motivational factor upon which the company employees will derive job satisfaction.

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