A strategic management paper on wal mart

A strategic management paper on wal mart

Wal-Mart strategy of operation is innovative with big stores in small towns with monopoly in the market at low rental costs, local prices, concentric expansion, merchandising in brand name, private labels, little space for inventory, store within store, etc. It is growing at a brisk pace 13 with expanding its horizon to other parts of world through acquisition and merger. However, without the proper strategy and implementation, it is difficult for any business to survive regardless of the industry or the size of the company. While franchising of Franklin he always looked for cheaper deals and thought of passing his savings to the customers and earning through the margin on volume of bulk purchases. According to Patrick Hayden et al the retailing Industry adopted the style of discounting on Its merchandise after the second world war. Fishman, The present paper is divided into four sections to understand and answer as what makes Wal-Mart the best in the industry, 1. New York: Twayne.

Furthermore critically evaluating Wal-Marts futuristic orientation in contrast to its main competitor and identifies and elaborates the strategic moves of Wal-Mart towards capturing business in the US United states and international markets.

It is termed that low price is not the strategy of Wal-Mart but the advertisement manipulates the consumer perceptions by making them think that its prices are lower than its competitors' price using price spin'.

In addition, it employs a competitive strategy with a designer label along with superior supply chain, increased operational capabilities, and skilled employees Wal-Mart has leveraged its volume buying power with its suppliers.

Walmart business strategy analysis

However, Wal-Mart should reap the benefits of its investments in high technology, and be able to operate more stores without increasing its expenses. Strategic management concepts and cases 8th ed. Global leader in the industry leaves the organization vulnerable to many socioeconomic and political problems of the country. The purchasing agents of Wal-Mart are very focused people. Wal-Mart is involved in many community outreach programs and has launched several national efforts through industrial development grants. Managements take lots of visits and it is learnt there are no rehearsals before any meeting which is usually scheduled on every Saturday. Therefore, it is incumbent upon management to define their target market and direct their energies toward solving that specific market's problems.

Wal-Mart is involved in many community outreach programs and has launched several national efforts through industrial development grants. Substitution offers mixed responses after identifying and understanding the threats.

walmart case study strategic management

The strategy lies in purchasing the goods at lower prices and selling the goods to customer at much lower prices, cutting the price as far as possible and increasing the profit by increasing the number of sales.

Helps at large the cause of providing the goods and services on cheap prices. Michael Bergdahl, Porters five forces model explains what strategic decisions should be made and on what basis.

walmart competitive advantage case study

With few locations left in the U. Substitution reduces the demand for what a firm uniquely provides by shifting the demand elsewhere due to changes in technology.

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Case Study Walmart