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A Storyof TwoTycoons
Wal-e &Nordy
A Presentation
On
StrategyAnalysis of WalmartandNordstrom
BUS 525StrategicManagementinGlobalizedEconomy
AmulBaidya
AnishThaku
Utsab Gautam
25 June2016
A Storyof TwoTycoons
Wal-e &Nordy
MyMission statement
Saving people money so they can live better.
Hi!My name isWalmart!
People Callme Wal-e!
MyStrategy
Cost leadership
Hi ! My nameis Nordstrom!
PeopleCallme Nordy !
MyMission
Each year toimprove customerserviceand to tryand build trust
onecustomeratatime
MyBroadDifferentiation
High QualityProductswith High Services
PricePolicy
Lowerprices
Accessibilityof almosteverythingatoneplace
Economicvaluepropositionis throughlowprice
(Rintamaki,Kuusela,&Mitronen,2007).
PricePolicy
Comparatively higher
Believes inproviding highqualityservice and
experience
Personalized service (Huselid, Beatty,&
Becker, 2005).
Generic Strategy
Lowcostprovider strategy
Competitiveadvantagebypurchasinghighvolumes
Efficientsupplychaindistributionthoughtechnology
(Rintamaki,Kuusela,&Mitronen,2007).
Generic Strategy
Differentiationstrategy
Highendproductsandgivinghighqualityservice.
Customerswillpay if theproductandexperiencehasvalue
(Gamble,Peteraf,&Thompson,2013)
Porter’sfive forcesof competiveness
Highthreatofnewentrant
Moderatecompetitiverivalry
Weakbargainingpowerof suppliers
Weakbargainingpowerof buyers
WeakThreatofSubstitution
HighCompetition
Moderatethreatof substituteproducts
ModerateBuyer’sPower
Moderatebargainingpowersuppliers
Lowthreatsof newentrants
Porter’sfiveforcesof competiveness
InternalAnalysis
SWOT
STRONGER STRENGTH AND OPPORTUNITY
LOW LEVELWEAKNESS AND THREAT
InternalAnalysis
SWOT
LIMITED STRENGTHAND OPPRTUNITY
HIGH LEVELOF WEAKNESSAND THREAT
E-commerceStrategy
TheWinneris!
ThankYou!
References
Clifford, S. (2010, April 23).Nordstrom Links Online Inventory to Real World. Retrieved from The New York Times:
http://www.busn.uco.edu/dgoudge/Nordstrom%20Links%20Online%20Inventory%20to%20Real%20World.pdf
Gamble, J. E., Peteraf, M. A.,& Thompson, A. A.(2013).Essentials of Strategic Management. New York: McGraw-Hill Education.
Huselid, M. A., Beatty, R.W., & Becker, B.E. (2005).‘A players’ or ‘A positions’? Harvard business review,110-117.
Kambil, A., Monteiro, K.A., & Eselius, E. D. (2004).Fast Venturing: The Quick Way to Start Web Businesses. MIT Sloan Management Review,55.
Kercheval, M. (2014, October 31). Why Online Retailers Continue To OpenBrick-And-Mortar Stores. Retrieved from Techcrunch: https://techcrunch.com/2014/10/31/why-online-retailers-continue-to-
open-brick-and-mortar-stores/
Kesteloo, M., & Hodson, N.(2016, June 25). 2015 Retail Trends. Retrieved from Strategy And:http://www.strategyand.pwc.com/perspectives/2015-retail-trends
Little, P.L., Little, B.L., & Coffee, D. (2009).The Du Pont Model: evaluating alternative strategies in the retail industry. Academy of Strategic Managemnt Journal, 71.
MacMillan, I.C., & McGrath, R. G. (1997).Discovering New Points of Differentiatio. Harvard business review,133-145.
Mourdoukoutas, P.(2016,Jan 19). Layoffs Won't Fix Walmart's Real Problem. Retrieved from Forbes Website: http://www.forbes.com/sites/panosmourdoukoutas/2016/01/19/layoffs-wont-fix-walmarts-
real-problem/#46529f5b6fc2
Nordstrom. (2016,June 23). 2015 Company Review.Retrieved from Nordstrom: http://shop.nordstrom.com/c/nordstrom-company-review?origin=leftnav
Nordstrom. (2016,June 23). About Us. Retrieved from Nordstrom Website: http://shop.nordstrom.com/c/about-us?origin=footer
Osterndorf, C.(2015, May 21). 10 reasons Walmart is the worst company in America. Retrieved from The Daily Dot: http://www.dailydot.com/opinion/walmart-labor-unions-bad-company/
Rintamaki, T., Kuusela, H., & Mitronen, L. (2007).Identifying competitive customer value propositions in retailing. Managing Service Quality: An International Journal, 621-634.
Schlossberg, M. (2016,February 11). Nordstrom has officially become a discount outlet chain. Retrieved from Business Insider: http://www.businessinsider.com/you-can-return-nordstrom-rack-to-
nordstrom-2016-2
Smith, B., & Colgate, M. (2007).Customer value creation: a practical framework. Journal of marketing Theory and Practice, 7-23.
Walmart. (2016, June 25). About Us. Retrieved from Walmart Corporate Website: http://corporate.walmart.com/our-story
Zahay, D., & Griffin, A.(2004).Customer Learning Processes, Strategy Selection, and Performance in Business-to-Business Service Firms. Decision Sciences, 169-203.

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Amul Baidya - Strategy Analysis of Walmart and Nordstrom - Strategic Management in Globalized Economy