Why I believe in
Wal-Mart
Company’s actions behind the scenes
demonstrate its commitment to Hispanics
By Aida Alvarez

A few months ago I had the honor to begin serving on Wal-Mart’s board of directors. I want to share some of the reasons why I am proud to be part of this board.
This is a great time to be involved with Wal-Mart. All my life I’ve worked to create access and opportunities for Latinos. Today, the world’s biggest retailer is undergoing a transformation that recognizes the importance of our growing Hispanic community. I am excited about the company’s commitment to Latinos and I’m eager to lend my support to this effort.
The company calls this transformation “Wal-Mart Out in Front.”
It comes from a piece of advice that founder Sam Walton gave years ago. He said, “You can’t just keep doing what works one time. Everything around you is always changing. To succeed, stay out in front of that change.”
Wal-Mart makes sure that Hispanics are an integral part of this transformation.
Hispanic purchasing power in the United States has grown to nearly $700 billion and it’s expected to soar to
$1 trillion by 2010. America’s corporations cannot—and should not—take the Hispanic community for granted.
When it comes to Wal-Mart’s commitment to the Hispanic community, the numbers speak for themselves. Today I am one of two Hispanics on the company’s 13-member corporate board of directors. The president and CEO of Wal-Mart Stores in the United States is a high profile Hispanic, Eduardo Castro-Wright. The company employs more than 150,000 Hispanic associates, and works with more than 750 U.S.-based, Hispanic-owned suppliers, representing more than $1.1 billion in business. To these outstanding associates and suppliers, Wal-Mart means opportunity.

The Largest Employer of Hispanics
Wal-Mart’s efforts have turned into successes that have won the company major recognition. For example, from 2003 to 2006, Hispanic Magazine has ranked Wal-Mart among the top 100 companies providing the most opportunities for Hispanics.
But none of these achievements would be possible without the thousands of Latinos who are part of the Wal-Mart family.
A recent survey found that education is an issue that Hispanics consider a family value. This is a principle shared by Wal-Mart. The company firmly believes that education generates change, and it makes it a responsibility to contribute to the educational growth of associates and the people in the communities that the stores serve.
This is why Wal-Mart has specific programs in place to ensure that the company has a talented pool of women and minorities who are well prepared for management jobs.
But the exciting thing is that Wal-Mart wants to do more. To that end, Wal-Mart recently established an employment practices advisory panel, which will work with senior management to develop and implement enhancements to ongoing equal employment opportunity programs. Vilma Martinez, who has an extensive history as a Latina civil rights activist and was president and general counsel for the Mexican American Legal Defense and Education Fund, is a member of this panel.
Wal-Mart also demonstrates its enthusiasm and commitment to the Hispanic community by partnering throughout the year with Hispanic organizations like the National Council of La Raza, the League of United Latin American Citizens, the National Hispana Leadership Institute and the Hispanic Scholarship Fund, among others, in support of their educational and leadership development programs.
Working with Small Businesses
Wal-Mart is working to bring more opportunity to more people both in this country and around the world. Wal-Mart’s supplier diversity program, which helps enhance and increase business relationships and opportunities with minority and women-owned suppliers, has grown tremendously.
With more than 750 of Wal-Mart’s suppliers being Hispanic-owned businesses, the supplier diversity program has increased. In 1994 the program initially spent $2 million on minority and women-owned businesses; currently that figure stands at more than $4.2 billion.
During my tenure as U.S. Small Business administrator, one of the most common problems that I saw small businesses face was having access to capital to help them grow. In an effort to address this problem, Wal-Mart recently invested $25 million in a private equity fund for women and minority-owned enterprises. And you don’t even have to be a Wal-Mart supplier to apply for this fund.
Wal-Mart’s supplier diversity team also works with organizations like the Illinois Hispanic Chamber of Commerce and the Texas Association of Mexican American Chambers of Commerce, holding procurement roundtables and conferences to explore opportunities for Hispanic-owned businesses. This means development and growth possibilities.

Thinking Outside the Box
Hispanic customers are helping Wal-Mart innovate and think outside the box. Having stores in Latin America is helping Wal-Mart better serve and understand customers right here in the United States.
One of the initiatives that Wal-Mart has undertaken in an effort to tailor the shopping experience to Hispanics, is the concept of store of the community. In Hispanic communities, this means an expanded variety of fruits and vegetables in a marketplace setting, and other products unique to Hispanic customers.
America’s future is inherently linked to the future of the Hispanic community. I am proud of Wal-Mart’s commitment to continual improvement to ensure that the company is out in front, helping make that future a brighter one.

Aida Alvarez is the former administrator of the U.S. Small Business Administration and a member of President Clinton’s Cabinet from 1997 to 2001. She is currently a member of Wal-Mart’s board of directors.