Question: Project title : The Walmart Case: Project description or narration The opening case examines Wal-Marts persistently superior profitability, which reflects a competitive advantage that is
Project title: The Walmart Case:
Project description or narration
The opening case examines Wal-Marts persistently superior profitability, which reflects a competitive advantage that is based upon a number of strategies. Wal-Marts competitive advantage was based on a business model of targeting small southern towns as well as the urban and suburban locations. Wal-Mart grew
quickly by pricing its products lower than those of local retailers, often putting them out of business. The company was also an innovator in information systems, logistics, and human resource practices. These strategies resulted in higher productivity and lower costs as compared to rivals, which enabled the company
to earn a high profit while charging low prices. Wal-Mart led the way among U.S. retailers in developing and implementing sophisticated product tracking systems using bar-code technology and checkout scanners. This information technology enabled Wal-Mart to track what was selling and adjust its inventory accordingly so that the products found in each store matched local demand, thereby avoiding overstocking. With regard to human resources, Sam Walton believed that employees should be respected and rewarded for helping to improve the profitability of the company. By the time the 1990s came along, Wal-Mart was already the largest seller of general merchandise in the United States. But, rivals Target and Costco have continued to improve their performance, and Costco in particular is now snapping at Wal-Marts heals.
- Explain in detail the analysis (SWOT, PESTEL and Business analysis done to ensure Viability of business in Detail) [10 marks]
- Explain all global strategies available and indicate which one or combinations best fit the business [10 marks]
- Discuss the competitor analysis to be done to ensure Wall-Mart activities are stable in the wake of competition. [10 marks]
- Conduct a portfolio assessment of different Wall-Mart portfolio of products in detail and explain the rational for your choice of product based on the portfolio analysis. [10 marks]
- Discuss in detail the possibility of using forward integration or backward integration by Wall-Mart and what will be the implications on the business. [10 marks]
- Explain in details the challenges likely to be faced on the global market and what entry strategies you would adopt to ensure you stay in business.
[5 marks]
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