TASK PERFORMANCE Walmart vs. Target (Blocher et al., 2019) Talk about a success storyl Walmart has grown from its first discount store in 1962 to become the world's largest company, with almost $500 billion or 25 trillion pesos in sales. It has achieved this through clear, day-to-day attention to accomplishing its business strategy and living up to its motto of "Save Money, Live Better." Walmart achieves success through extensive use of technology and aggressive efforts to grow the business globally. And the business environment is very competitive! A key competitor, Target, with a different strategy and a different motto ("Expect More, Pay Less") has challenged Walmart with aggressive advertising campaigns and new stores. During the 20042007 period, Target was outpacing Walmart in sales growth and stock price growth. This reversed in 2008, as the global economic outlook weakened for many consumers and the low-cost strategy of Walmart proved to be more successful. Since 2009, Walmart and Target have been facing the heat of increased competition from other retail giants like Amazon.com. The stakes are high, and the competition is fierce. Most would argue that Walmart is a cost leader because of its focus on low prices. Its operating efficiencies and the persistent pursuit of low costs from its suppliers help Walmart achieve these low prices. Target also values low prices but competes somewhat differently. The financial report of the company states that, for Target, the competitive focus is to offer customers "both everyday essentials and fashionable, differentiated merchandise at discounted prices." These statements point to a differentiated firm, even though the low price is an element of the competition. Another difference is that Target's advertising budget is somewhat larger, at 2% of sales in 2017, relative to half of 1% for Walmart in the same period. In June 2017, Walmart had a stock price increase of 10% over July 2016, while Target's stock price declined by a third in the same period. Why? While both retailers have suffered a loss in "walk-in" sales, Walmart has been very successful in recent years in online sales. In the first quarter of 2017, Walmart's online sales increased by an impressive 63%. OUTLINE Value Chain Activities a. Identify the specific and COMMON value-adding activities between Walmart and Target, from sourcing of goods/raw materials to delivery and customer service. b. Simply fill in the given table. An example is provided below. Steps in the Value Chain 1. Materials acquisition Activities Expected Output of Activities Purchasing, receiving, stocking Various parts and materials a. Competitive advantage a. This part must detail and compare the value proposition and value-adding activities of Walmart and Target. b. A detailed assessment of the firms' competitive advantage over each other must also be presented. III. Opportunities for Added Value This includes business areas/activities in which Walmart and Target can add significant value for their customers. b. This also explains which between the two (2) rival firms effectively capitalizes opportunities for improvement of products and/or services. Cite recommendations for the firm with weaker value-adding efforts and suggestions to maintain competitiveness with the other firm. IV. Opportunities for Reduced Costs a. This includes an assessment of both Walmart's and Target's non-competitive value chain areas/activities. b. This part must present a comparison of cost-efficiency between the two (2) firms. Provide recommendations for the firm with weaker cost-cutting initiatives and suggestions to maintain cost competitiveness to the other firm. C. C