Question: Introduction In 2 0 2 1 , Wal - Mart was the largest firm in the world by revenues, with sales of over $ 5
Introduction
In WalMart was the largest firm in the world by revenues, with sales of over $ billion,
more than stores in countries worldwide, and employing million people. In the
United States. WalMart was bigger than the next four retailers combined. It is the largest
grocer in America accounting for of the food retail market in the United States. More
than of the US population lived within miles of a WalMart store.
From the outset, WalMarts founder Sam Walton focused relentlessly on reducing prices,
cutting costs, and making a living on slim margins. His overarching philosophy was to sell items
that people need every day just a little cheaper than everyone else, and to sell it at that low
price all the time. To make this strategy work, you had to control costs better than the next guy.
By all accounts, Walton made a religion out of frugality, tightly controlling expenses. By keeping
costs as low as possible, he quickly discovered that his promise of everyday low prices attracted
many customers without the need to spend much on advertising.
However, all was not well in Bentonville, WalMarts Arkansas headquarters. While the
company continued to perform well, the strong growth of an earlier era was no longer evident.
Not only was the core US market saturated, WalMart was also facing increasing competition
from online retailers, particularly Amazon.com. As of Amazon was generating $ billion
in online sales, far more than WalMarts $ billion.
Information Systems and Logistics
Sam Walton was a numbers man. He wanted data on everything, and WalMarts information
systems gave him that. In turn, the data gave him and his managers the raw material required
to control his everexpanding empire, to manage its merchandise offering, inventory turns,
stores and employees.
WalMarts growth strategy wadescribe the bussdescribe the business
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