Sam Walton Biography

Wal-Mart Founder and Billionaire

"There is only one boss: the customer, and he (or she) can fire everyone in the company from the chairman and down, simply by spending their money somewhere else"
- Sam Walton

Full name: Samuel Moore Walton
Famous for: Founding of the two American retailers, Wal-Mart and Sam's Club & Business management
Walton details: Born - USA March 29, 1918 Died - USA April 5, 1992
Books: Sam Walton: Made in America



Born in Kingfisher, Oklahoma, Sam Walton was raised in Missouri where he had his first retailing experience in his father's store while attending school. Growing up during the Great Depression, Sam Walton knew that hard work and thrift were a way of life. He milked the family cow, bottled surplus and drove it customers. Afterwards, he would deliver newspapers on a paper route.

He enjoyed working in his father's store so much, after graduating from the University of Missouri in 1940 where he majored in Economics, he began his own career as a retail merchant when he opened the first of several franchises of the Ben Franklin five-and-dime franchises in Arkansas.

The rise and rise of Wal-Mart

After 17 years of operating franchise retail stores, Walton opened the first Wal-Mart Discount City in Roger, Arkansas, in 1962. He cut costs to the absolute maximum and passed the savings onto the customer. This was made possible by:

• properly stocking all the shelves with a wide range of goods with very low prices
• keeping his store centrally located so it was easily accessible to many customers
• staying open later than most stores especially during the Christmas season
• and experimenting with merchant discount (buying straight from the wholesaler which enabled him to lower his price per item and was able to sell a greater quantity of goods, thereby increasing his sales volume and profits).

Innovative business management

To keep his stores running in tip top shape, Walton was always trying to find new ideas to improve business. His management style was popular with employees and he founded som of the basic concepts of management that are still in use today. See Sam Walton: 10 Rules for Building a Successful Business

After the company went public in 1970, Walton introduced his "profit sharing plan". This was a plan for Wal-Mart employees to improve their income dependent on the profitability of the store. Sam Walton believed that "individuals don't win, teams do".

Wal-Mart employees were offered stock options and store discounts. Wile today, these benefits are commonplace, Walton was among the first to implement them. He believed that a happy employee meant happy customers and ultimatly more sales. By giving employees a part of the company and making their success dependant on the company's success, they would care about the company.

The legacy lives on

Although Walton died in 1992 his company passed down to his three sons, daughter and wife, and they have continued his legacy and have also opened Wal-Mart stores in China, Mexico, Argentina, Canada, Brazil, South Korea and Puerto Rico.

Before he died in 1992 he was honored for all his hard work and pioneering efforts when he recieved the Medal of Freedom from President George Bush.

If alive today, Sam Walton would be the world's wealthiest person, twice as rich as Bill Gates.