STRATEGIC ANALYSIS

Strategic Analysis: Wal-Mart



Executive Summary

This report presented Wal-Mart shape and progress of its strategies, with an evaluation of strategies through different lens and how does company perform in the competitive environment. The report is about the external and internal analysis of the factors that help the company grow and analyze its competitors. Wal-Mart comparative positioning in the market share with admiration to other leading players in the market has been showed as practise.Contents

Wal-Mart - Company Overview4

PESTEL Analysis of Wal-Mart5

Political5

Economic5

Social5

Technological6

Environmental6

Legal8

Business Unit8

Threat of Substitute Products and Services8

Threat of Entry of New Competitors9

Intensity of Competitive Rivalry10

Bargaining Power of Buyers10

Bargaining Power of Suppliers10

Internal Analysis10

Strengths11

Weaknesses12

External Analysis12

Opportunities12

Threats13

Conclusion & Recommendation13

References15

Strategic Marketing - Wal-Mart

Wal-Mart - Company Overview

Wal-mart Stores, Inc. is a U.S. based multinational company and the largest retailer in the world in terms of sales and number of employees. Its business concept is a convenience store (available in every district), low prices and high volumes.

Sam Walton founded the company in 1962, and in October 31, 1969 the company was incorporated. The listing of the company took place in 1972 on the New York Stock Exchange market. Wal-mart is the biggest private employer and the largest grocery retailer in the United States. It also owns the wholesale stores Sam's Club operating in North America.

Considerable changes have been made by Wal-Mart, as a market itself they are now committing towards a social concept of being green. For years, the giant retailer was criticized for low remuneration for its workers, limited benefit offering, employees exploiting at workplace around the organization, and discrimination of gender. Wal-mart has trail as a liable corporate social reputation, with realizing significant saving.

PESTEL Analysis of Wal-Mart

The PESTEL analysis underneath investigates the dynamic and unpredictable environment in which Wal-Mart functions by recognising the forces that have the most influence on Wal-Mart's performance:

Economic

Economic components are an issue of anxiety for Wal-Mart since they influence exactly buying behaviour of customers. While the UK Treasury, was announced officially in a recession in 2008, a significant decrease in concern of the types of government help to minimize increase in job losses during the year 2009 (Euromonitor, 2010, p . 1974-1985). As a result, the purchasing power of buyers back into a steady growth, and they are more confident about their economic situation. However, until now, many of the economic importance of a doubt that buyers are likely to spend less on high-quality products, including organic and prepared foods, which negatively affects the cost of sales and margins.

However, the positive edge drop is that customers consume less and consume more on housing, which presents opportunities for grocery retailers such as Wal-Mart to increase its profitability (Guardian, 2010). This should be documented that food is the last thing that customers will be hell again.

Social

The community study from Britain shows that there is more to the left of the young people living with the "baby boom (Journal of Scotland, 2010). Elderly in the community is disappointing for retailers of food to the elderly tend to consume ...