WAL MART MARKET TREND

Wal-Mart Market trend

Wal-Mart Market trend

Market Trends

Wal-Mart has to face ever changing market trends. A few of these market trends may change the market conditions of Wal-Mart. Research is compiled on trends such as market structure, the impact of new companies entering the market, prices, technology, productivity, cost structure, price elasticity of demand, competitors, supply and demand analysis, and the impact of government regulations. By discussing these market trends one can see how Wal-Mart will change or will not change, in order to continue to thrive and grow in tomorrow's economy.

Supply and Demand Analysis

Now manufacturers have the chance of turning fantasy into reality. According to Gruman (2005), today's demand planning tools along with data from point-of-sale (POS) terminals are making this happen. Leading the way Wal-Mart has been providing suppliers with the POS data tools for each store that is updated throughout the day. Adjusting distribution and manufacturing amounts and marketing efforts are some of the things suppliers can now do based off of data on what and where items are being sold. "Wal-Mart is setting the gauge for this supply-chain railroad," (Gruman, 2005). Following in Wal-Marts footsteps are other major retailers, such as Best Buy, Home Depot, Lowe's, and Target.

POS software helps to synchronize retailers and manufacturers together. Demand models are made to anticipate seasonal and regional demand, as well as pricing and promotional variations and distribution and manufacturing constraints (Gruman, 2005). “For example, analyzing POS data for promotions may tell you that 70 percent of an item is typically sold on the first Saturday of the promotion, letting you arrange your distribution accordingly, (Gruman, 2005).”Systems driven by demand allow organizations to adjust inventory level to accommodate for any unforeseen problems (Gruman, 2005). By increasing overseas outsourcing with supply companies, it helps to keep local ...