A number of incidents that occurred this past Christmas season drew a generally negative reaction. The first was the decision by Target to ban Salvation Army collectors from the front of Target stores. The second was the decision by Federated Department Stores to ban the use of the phrase "Merry Christmas" by its sales personnel. The result of both of these efforts has been a negative impression in the minds of customers of both organizations—and that impression probably had a negative impact on their business during the most important retail season of the year.
Wal*Mart saw its chance and took it. Wal*Mart not only encouraged the Salvation Army to establish collection posts at its stores but also promised to match Salvation Army contributions up to $1 million. This decision resulted in a positive p.r. for the nation's largest retailer while its prime rival was caught in a no-win p.r