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Ethics and Compliance

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Submitted By vmeyers05
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Ethics and Compliance

FIN/370
August 13, 2012
Christopher Hernandez

Ethics and Compliance
Wal-Mart Stores, Inc. is one of the most well-known and successful retail stores in the country. Wal-Mart fosters the pricing philosophy of “everyday low prices” (Wal-Mart, 2010, p. 3), which helps the company remain a leading competitor within the retail industry. Another reason for Wal-Mart’s success is its attitude of leading by integrity. Wal-Mart Stores, Inc. is a worldwide conglomerate. The company understands to stay competitive it must adhere to ethical guidelines and regulations. The following will illustrate the role of ethics and compliance within Wal-Mart’s financial environment, its procedures for ethical behavior, financial markets in the United States, SEC regulations, Wal-Mart’s financial performance for the last two years, and its financial health.
The Role of Ethics and Compliance
According to Wal-Mart’s CEO, Mike Duke, ethics and integrity has been a part of the company’s culture since its inception in 1962 (Wal-Mart, 2008). Ethics and compliance play major roles within the company’s financial environment. “Wal-Mart has a Statement of Ethics applicable to all associates” (Wal-Mart, 2003, para. 1). The CEO and Senior Financial Officers must conduct business in an honest and ethical manner. The Senior Financial Officers include the corporate controller, financing and tax associates, accounting officers, and the CFO. They must comply with the laws set forth within each country. They must also avoid any conflict of interests that could cause them to make unethical decisions.
In addition to the ethical guidelines stated in the Statement of Ethics, the CEO and Senior Financial Officers must also comply with additional rules. According to Wal-Mart Stores, Inc. (2003), “The CEO and all Senior Financial Officers are responsible for full,

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