Sam Walton was an American businessman and entrepreneur. He is famous for establishing Walmart and Sam’s Club. Walmart is an American multinational retail corporation that operates a chain of hypermarkets. It eventually grew and became the world’s largest corporation by revenue and the biggest private employer.
For a specific period of time, Sam was the richest man in America. He also received the Distinguished Eagle Scout Award from the Boy Scouts of America. At the time of his death, he had a net worth of $8.6 billion.
Sam Walton’s Personal Life
Sam was born in Kingfisher, Oklahoma. He lived with his parents near their farm. However, the family was unable to meet their financial needs through farming. Gibson Walton, Sam’s father, then decided to mortgage his farm and worked for his brother’s mortgage company, which was an agent of Metropolitan Life Insurance.
The family later moved to Columbia, Missouri. He grew up during the Great Depression of the 1930s. He used to do the household chores like milking the cow, bottling the surplus, and delivering it to customers to meet the financial ends of the family.
After running errands around the house, he used to sell magazine subscriptions and deliver the Columbia Daily Tribune on a paper route.
Sam Walton, Education:
Sam became the youngest Eagle Scout while studying in the eighth grade in Shelbina, Missouri. He then studied at David H. Hickman High School in Columbia and was given the title of the ‘most versatile boy’.
In 1940, he got a Bachelor of Economics from the University of Missouri, where his class voted him “permanent president.”
Sam Walton, Professional Life
During the Great Depression, Sam worked many jobs to make sure his family had enough money. He waited tables in exchange for meals. He earned numerous honors and awards. He joined Zeta Phi, a part of the Beta Theta Pi fraternity.
He additionally obtained the QEBH, the national military honor of the Scabbard and Blade. Sam Walton additionally served as the president of Burall Bible Class and Stephens College.
He joined J. C. Penney as a management trainee in Des Moines, Iowa. This task paid him $75 per month. He resigned after 18 months in 1942 to sign up for the military force serving in World War II.
Sam’s military adventure taught him to be a giver as opposed to a taker. He also discovered his hobby in retailing and enterprise while serving in the military.
He joined the U.S. Army Intelligence Corps and was in charge of security at factories that made planes and camps for prisoners of war. He ultimately received the celebrated role of captain. Sam Walton then left the Army to work on his retail store idea.
Sam Walton, Startup:
At age 26, Sam opened his first variety store with a $20,000 mortgage from his father-in-law and $5,000 that he saved at the same time as serving in the Army. He then purchased a shop, which eventually became a Butler Brothers franchise. He offered prices as suitable or higher than the nearby shops and constantly stocked a variety of items in his store.
He opened his second store, known as the Eagle department store. After seeing the boom in income, the owner commenced rolling out a few contracts and clauses, which Sam wasn’t comfortable with. Sam was forced to vacate the rented store and was given fixtures for $50,000, which he referred to as “a reasonable price.”
He bought a brand new house in Bentonville that ultimately grew from $72,000 to $105,000 within the first year of his income and then to $175,000. The new store became known as “Five and Dime.” Sam turned into an advocate for opening extra stores and Ben Franklin franchises.
Sam Walton, Walmart
The company was first labeled Walmart on July 2, 1962, in Rogers, Arkansas. It was then called the Wal-Mart Discount City store.
Sam focused on selling products made in the U.S. and worked to find American companies that could make goods for the whole Walmart chain at prices that were fair, so that Walmart could stand up to foreign competitors.
Sam’s model for Walmart Incorporation offered two advantages: the first was ‘limited existing competition’. The second advantage was the gigantic store that discouraged businesspersons in the nearby areas from entering the market. He emphasized logistics, locating stores near regional warehouses and distributing through Walmart’s own trucking service.
Sam informed us about Sam’s Club, an American chain of retail warehouse clubs run and owned by Walmart Inc. that only sells to members. Sam’s Club was founded in 1983, and it was named after the founder.
The company ranks second among warehouse clubs in sales volume, with sales worth $57.839 billion. Sam’s Club operates 599 warehouse clubs in 44 states of the U.S.