Founder of walmart
Sam Walton did not invent
retailing, he simply changed
the business model and way
of doing business to make it
a much more profitable
"The secret of successful retailing is to give your customers what they
want. And really, if you think about it from your point of view as a
customer, you want everything: a wide assortment of good-quality
merchandise; the lowest possible prices; guaranteed satisfaction with
what you buy; friendly, knowledgeable service; convenient hours; free
parking; a pleasant shopping experience."
:- Sam Walton (1918-1992)
• Headquarter:Bentonville,Arkansas, United States.
• CEO :- Michael J. Duke.
DETAIL INFORMATION OF WALMART
US$ 446.950 billion (2012)
US$ 26.558 billion (2012)
US$ 15.699 billion (2012)
US$ 193.406 billion (2012)
US$ 71.315 billion (2012)
2.2 million (2012)
• Sam's focus was on selling products at low prices to
get higher-volume sales at a lower-profit margin.
• Sales increased 45 percent in his first year of
ownership to $105,000 in annual revenue, which
increased to $140,000 the next year and $175,000
the year after that.
Incorporated as Wal-Mart Stores, Inc. on October
The first stock split occurred in May 1971 at a
market price of $47
Walmart opened its first Texas store in Mount
Pleasant on November 11, 1975
In 2000, H. Lee Scott became President and CEO
effect"mom and pop" stores.
Wal-Mart rules the Fortune 500
for the second year in a row .
The eighth time this decade -beating Exxon Mobil .
How can walmart control the global
Walmart operations are organised into three
divisions :• Walmart stores US
• SAM’s club
• Walmart international
Walmart stores US
• $258 billion, or 63.8 percent of total sales for
financial year 2010
Retail formats:Walmart Discount Stores
Walmart Discount Stores:Stores with size from 51,000 square feet to 24,000 square feet
In 1990, Walmart opened its first Bud's Discount City
In March 2012, there were 629 Walmart discount stores in US
Walmart Supercenter:Hypermarkets with size from 98,000 to 261,000 square feet
The first Supercenter opened in 1988
In March 2012, there were 3,029 Wal-Mart Supercenters in US
Walmart Market:It is a chain of grocery stores that average about 42,000 square feet
Its first store opened in 1998
In May 2012, there were 199 Walmart Markets.
Walmart Express:Walmart Express is a smaller discount store
Wal-Mart planned to build 15 to 20 Walmart Express stores, by the
end of its fiscal year in January 2012.
• Sam's Club stores are "membership"
stores and most customers buy annual
• Their old slogan was “We're in
Business for Small Business” which
changed to "Savings Made Simple“
• Walmart also operates more than 100
international Sam's Clubs in
Brazil, China, Mexico
• Walmart's international comprise 4,263 stores and
660,000 workers in 15 countries outside the United
• the company is the largest private employer in the
U.S. and Mexico, and one of the largest in Canada.
• In the financial year 2010, Walmart's international
division sales were $100 billion, or 24.7 percent of
Successful joint ventures
Entered Mexico with a JV
It started its international operations with its entry in
Mexico in 1991.
It formed a joint venture with Grupo Cifra SA de CV
(Cifra), a well-established retail chain in Mexico.
It fine-tune its strategies to suit the Mexican customer.
Entered India with a JV
2006 :- It formed a joint venture with Bharti Enterprises, Inc.
2009:- Wal-Mart started doing business in India for the first
Indian Wal-Mart is a wholesale business.
Entered in Japan:1990 :- Real estate prices in Japan declined.
Prompting many foreign retailers to enter the
Wal-Mart started exploring the Japanese market in
Finance & governance:Walmart reported net income of $15.4
Walmart is governed by 15 members
Notable former members include Hillary Clinton & Tom
Competition:In north america ,Walmart primary compitition include
departmental stores like KMART, TARGET
,SHOPKO, MEIJER & many more…
Customer base:Analyst recently estimated that more than 1/5th of
Walmart consumer lack bank account twice the
Economic impact:It was found that some small towns can lose almost
half of their retails trade within 10 years of
Walmart store opening.
Employee & labour:There are more than 2.2 million employees
working in Walmart.
Criticism:Walmart has been subject to criticism by
numerous group & individual.
In 2005, labour union created a fake website to
influence people against Walmart.
Can Walmart adopt same strategies in
other countries like U.S ?
No. of Difficulties of Walmart :• Hire a large no. of employees
• Demand of urban people
• Appropriate pricing
• Organization culture
Could competitors copy the inventory
system of Walmart?
• Walmart uses SMART inventory system , it
keeps tracks of all the stock of Walmart and
can automatically order the product which is
out of stock.
NO other companies cannot copy their
system because Walmart had ordered that
software specially for them and they patented
Current affairs on Walmart
• 21st sep, 2012:Walmart plans India stores 'in two years’
• 28th feb,2013:Walmart ‘excited’ about FDI in retail
• 6th march,2013:Walmart, Solar City Helping To Boost Ohio Solar Energy
• 7th march,2013:Bharti walmart opens a store in Andhra Pradesh
Future planning of walmart
•Wal-Mart is planning to open a new distribution
centre in Mankato, in late 2015, creating about 300
•Global expansion is the mantra of Walmart for future.
•Wal-Mart plans to hire 100,000 veterans over five
•Walmart is moving ahead with a plan to open
hundreds of small-format stores.
Strength:• Walmart is powerful retail plant
• Walmart has grown substantially over recently
year, and has experience global expansion
• The company has a core competency involving its
user of IT to support its international logistics
• A focus strategy in place for HRM and
Weakness:• The corporate is huge but still has presence in 14
• Customers sometimes are curious about the
quality of products
• The market share is low outside the US market
• Supplies profit margin is very low
Opportunity:• Take over , merge with , or form alliances with
global retailers focusing on specific market such
as Europe or China
• Due to recession in 2008-09 the purchasing
power of customers is reduce
• Market development untapped market specially.
Threats:• Being leader it faces a lot of competition
• Poor human relation
• Effect on local retailers.
Awards and achievements
• "Corporate Patriotism Award”, 2004, for supporting
of U.S. service members and their families.
• “Top 25 Diversity Recruitment Programs" ,
2002, to hire and promote Latinos.
• Top Organizations for Multicultural Business –
Most successful men have not achieved their
distinction by having some new talent or
opportunity presented to them. They have developed
the opportunity that was at hand.