Strategic Management - Wal-Mart

Strategic Management - Wal-Mart

Executive Summary

Wal-Mart Company strategy ensures that customers of different countries must be treated differently and hence productivity and profitability gets high. Wal-Mart is a rapidly growing company, which has tapped into the foreign market and gained access to the customers as well. Through careful planning and applying strategies, the company is able to achieve a great revenue and even better customer retention ratio. They believe in giving an opportunity to everyone and anyone to shop in their diverse stores, which offer a one stop solution. Customers can buy almost anything and everything in a Wal-Mart store. Competitors are learning from Wal-Mart and its competitive advantages are becoming less effective. Wal-Mart will keep increasing the number of consumers and their loyalty by focusing on lowering cost, offering a good quality product and services, and improving the layouts of its stores. Today's customers are usually in a rush and want to get in the stores and get out as soon as possible. By improving the flow of the store, Wal-Mart will attract more customers and it will increase profitability. Finally, in an era where customers check prices online to find better deals, Wal-Mart can put more emphasis in its online retail side by utilizing stores as point of distribution. Customers are able to order online and have their order delivered to the store at no charge. This system allows Wal-Mart to decrease the amount of inventory and displays in the stores, while promoting its competitive prices and an additional service.

Strategic Management - Wal-Mart

Introduction

Wall Mart is the world's third largest public corporation and many people are familiar with their business and service. This corporation offers everything a person needs at a discounted price. The company is based in the state of Arkansas and it is the largest provider of employment in United States. Wal-Mart's business model iterates: selling low price products through immaculate inventory control channels. Wal-Mart operates a retail corporation that serves customers through its warehouse stores and large discount department stores. Wal-Mart being a biggest employer in the globe, hires more than two million employees worldwide. It is a family owned business, owned by the Walton family. The family owns a significant 48% share in the corporation. Wal-Mart has strength of 8500 stores located in 15 different countries. Though, Wal-Mart essentially operates in different countries under different brand names including: Best Price (India), Seiyu (Japan), Asda (UK) and Walmex (Mexico) (Wall-Mart Annual Report, 2012; About Us, 2013).

There are some companies that experience "issues" when deciding to move their products or services to a changing consumer market. Although these companies have shown success in domestic locations, it is evident that without consideration of the changing consumer, and the ability to adapt product and services, companies, as large as they may be in some locations, have an increased failure rate internationally. Wal-Mart is one such company. Wal-Mart has been unsuccessful in transferring their business model and presence into foreign markets. Wal-Mart has failed to do this in ...