Wal-Mart faces different challenges operating in China compared to the US. In the US, Wal-Mart dominates competition and faces no union or legal barriers, while developed infrastructure allows for efficient logistics. However, in China Wal-Mart faces intensified competition from local players, issues with logistics due to a lack of IT integration with suppliers, and obstacles like local protectionism and poor infrastructure. To address these challenges, Wal-Mart's strategy is to pursue adaptation by changing store formats to better fit local needs, pursue higher decentralization to increase responsiveness, and focus on developing relationships with local government and influencers to strengthen its position in China over 5 years.
Broad analisis of the biggest company in the world. It includes WalMart history, internal and external analysis and a focus on WalMart's internationalization with some suggestions for the future.
Broad analisis of the biggest company in the world. It includes WalMart history, internal and external analysis and a focus on WalMart's internationalization with some suggestions for the future.
This project contains a detailed evaluation of the business models of Zara and GAP in the e-commerce clothing retail space. The two companies have been compared and analyzed on the basis of total revenues, e-commerce presence, social media marketing process, new product introduction and product variability, followed by a detailed study containing SWOT analysis and the correlation of e-commerce with supply chain activities
walmart closes up their shops in germanyaditi sehgal
walmart ,growth of walmart ,sucess of walmart ,cultural barriers ,financial barriers ,effects of walmart after withdrawing from germany , worlds biggest retailer closes up in germany
This Walmart SWOT analysis reveals how the largest company in the world uses its competitive advantages to dominate and successfully grow in the retail industry.
It identifies all the key strengths, weaknesses, opportunities and threats that affect the company the most.
Walmart has become the world’s largest company by revenue for a few reasons. First, it used cost leadership strategy and executed it brilliantly. Second, it operated in the world’s richest economy, which enabled Walmart to grow fast and successfully.
At the moment, most of Walmart’s strengths come from the huge company’s size. These strengths, such as market power over suppliers and competitors, well developed distribution system and large merchandise selection, will help the company to stay the largest retailer, at least the largest brick-and-mortar retailer, for quite some time. Nonetheless, the company has to find other strengths if it wants to grow faster and be able to compete with Amazon.com in e-commerce.
As for the weaknesses, Walmart should improve its brand image, employment and business practices. That would most likely result in more productive employees, happier customers and eventually in higher sales.
Walmart will continue to dwarf the U.S. retail industry and will grow internationally, at least for the next 5-10 years.
Mini class project of NSU and also it can be very good starting point of students who are looking for sample project on the best Bangladeshi electronics brand " WALTON" ; which is famous among the countrymen for stylish, colorful, innovative and affordable electronic products.
Analysis of Wal-Mart using some Strategic Management tools:
*** Value Chain
*** Strategic Position And Action Evaluation (SPACE)
*** Resource & Capabilities analysis
***
Starbucks Case Study : Building Sustainable Supply ChainRiri Kusumarani
This presentation is made by my classmates for Supply Chain Class. Discussion focus on C.A.F.E strategy used by Starbucks. Sustainable supply chain is one of the key issue especially about ethical coffee trade.
Comprehensive business plan for a sustainable food truck. I created this plan for my MBA in Sustainable Business. While the business never came to fruition, I hope it may inspire some of you to venture to start your own food truck business. Just make sure it is sustainable! :)
This project contains a detailed evaluation of the business models of Zara and GAP in the e-commerce clothing retail space. The two companies have been compared and analyzed on the basis of total revenues, e-commerce presence, social media marketing process, new product introduction and product variability, followed by a detailed study containing SWOT analysis and the correlation of e-commerce with supply chain activities
walmart closes up their shops in germanyaditi sehgal
walmart ,growth of walmart ,sucess of walmart ,cultural barriers ,financial barriers ,effects of walmart after withdrawing from germany , worlds biggest retailer closes up in germany
This Walmart SWOT analysis reveals how the largest company in the world uses its competitive advantages to dominate and successfully grow in the retail industry.
It identifies all the key strengths, weaknesses, opportunities and threats that affect the company the most.
Walmart has become the world’s largest company by revenue for a few reasons. First, it used cost leadership strategy and executed it brilliantly. Second, it operated in the world’s richest economy, which enabled Walmart to grow fast and successfully.
At the moment, most of Walmart’s strengths come from the huge company’s size. These strengths, such as market power over suppliers and competitors, well developed distribution system and large merchandise selection, will help the company to stay the largest retailer, at least the largest brick-and-mortar retailer, for quite some time. Nonetheless, the company has to find other strengths if it wants to grow faster and be able to compete with Amazon.com in e-commerce.
As for the weaknesses, Walmart should improve its brand image, employment and business practices. That would most likely result in more productive employees, happier customers and eventually in higher sales.
Walmart will continue to dwarf the U.S. retail industry and will grow internationally, at least for the next 5-10 years.
Mini class project of NSU and also it can be very good starting point of students who are looking for sample project on the best Bangladeshi electronics brand " WALTON" ; which is famous among the countrymen for stylish, colorful, innovative and affordable electronic products.
Analysis of Wal-Mart using some Strategic Management tools:
*** Value Chain
*** Strategic Position And Action Evaluation (SPACE)
*** Resource & Capabilities analysis
***
Starbucks Case Study : Building Sustainable Supply ChainRiri Kusumarani
This presentation is made by my classmates for Supply Chain Class. Discussion focus on C.A.F.E strategy used by Starbucks. Sustainable supply chain is one of the key issue especially about ethical coffee trade.
Comprehensive business plan for a sustainable food truck. I created this plan for my MBA in Sustainable Business. While the business never came to fruition, I hope it may inspire some of you to venture to start your own food truck business. Just make sure it is sustainable! :)
This is our Principle of practices and management presentation which we gave in our pgdm program at srms ibs, lucknow. i would like to thnk our professor ekta mam and my group members
This presentation will briefs you about the facts & growth of the Walmart in the retail industry. It also talks about the tie-up with Procter & Gamble , Financial strategies implemented by Walmart.
The ppt will cover Indian Economic situation till 2017 and How Wal-Mart enter into Indian Retail Sector with the help of Bharti Telecom.Solution of case is provided.
Compulsory assignment for the completion of thesis course at Carleton University\'s, Sprott School of Business. This strategic management presentation, displays understanding of the chosen corporation (Walmart), as well as its industry, and strategic objectives. Lastly, this presentation offers strategic alternatives based on weakness assessed.
Why the Balanced Scorecard is Good but Not Great: The BUSINESS MODEL STRATEGY...Rod King, Ph.D.
Developed by Robert Kaplan and David Norton in the 1990s, the Balanced Scorecard (BSC) is the most widely used tool for managing the performance of a business. The BSC is used by the majority of companies in the Fortune 1000 as well as by many small and medium-scale businesses. The BSC focuses on a managing a chain or “stream” of performance metrics rather than the output or traditional singular financial metric of profit.
In the presentation below - http://goo.gl/lSIDX9 - I take a critical look at the traditional Balanced Scorecard as well as introduce a new tool in the evolution of the framework for the Balanced Scorecard. Tools such as Kaplan and Norton’s Strategy Map have been developed to complement the Balanced Scorecard. However, in this age of Business Model Planning, Strategy, and Performance Management, the traditional Balanced Scorecard or Strategy Map is not enough.
What do you think?
Rod.
http://goo.gl/lSIDX9
Empowering investors to take charge of their grocery-anchored assetsDavid Winnie
With multiple headwinds (increased grocer competition, less demand from traditional big box and mall retailers, Amazon) facing shopping centers, who are the winners and losers? How will the industry evolve over the next 5 to 10 years?
Retail analytics (SAS programming,big data analytics)data-analytics
A TRANSFORMATIONAL JOURNEY SINCE 1999 TOWARDS IT TRAINING ADVANCEMENT, ACHIEVEMENT AND PLACEMENT.
TODAY WE ARE PROUD TO TELL YOU THAT, WE HAVE TRAINED MORE THAN 20,000 STUDENTS.
2. Situation analysis: Wal-Mart in U.S.
Company
Strong corporate culture: low-cost & customer;
EDLP as value proposition;
Very centralized management;
Hypermarkets mainly in small towns.
Customers
High disposable income;
P. behavior: few trips & big planned purchase;
Brand loyalty;
Processed food, rather than freshness.
Competition
Wal-Mart leader in U.S.
Collaborators
Integrated IT systems with Wal-Mart;
Low bargaining power;
Partnerships;
Efficient logistics.
Context
No union or legal barriers;
Developed infrastructure;
Authorities not blocking.
3. Situation analysis: Wal-Mart in China
Company
Strong corporate culture: low-cost & customer;
EDLP as value proposition;
Very centralized management;
Hypermarkets in big cities.
Customers
Income disparity & consumption: urban Vs. rural;
Purchasing behavior: many trips - little purchase;
Comparing prices in different shops;
Impulse purchase;
Freshness of the food;
Shoplifting.
Competition
Intensified competition;
Local players dominating the market;
EDLP standard value proposition;
Supermarket as the most common format.
Collaborators
Lack of IT integration with suppliers:
purchasing & distribution more difficult.
Context
Local Protectionism: taxes;
Illegal Tolls & lack of geographic freedom;
Poor Infrastructure;
Labor unions. & tighter labor regulation
4. Peterson, Management decision model
Adaptative
management
Scenario
Planning
Maximum
sustained yield
Build
resilience
uncertainty
Controllability
Controllable Uncontrollable
HighLow
What is the next step…
Scenario
Planning
Strategy: defining & implementing it (1/7)
5. Strategy: defining & implementing it
Scenario planning (simplified)…
Foreign business restrictions
Low High
HighLow
Cultural
change
EXIT
AGRESSIVE
RE-EDUCATE
ADAPTATION
STATUS QUOI love US!
Citizen protest
Sticking to
traditions
We want US out!
(2/7)
6. Alternatives
+ adopting a homogenous bm to local fit
+ usage of established /proven channels
+ better fit for local needs
+ elimination of cross cultural problems
+ support of local authorities
- risky negotiation process M&A
- non-usage of possible synergies
- against global/uniform strategy
+ higher decentralization (growth potential)
+ follows Wal-Mart global strategy (Mexico)
+ higher responsiveness to meet local needs
+ support of local authorities
- unions problem remain
- loss of control
+ no union problem
+ no change of value proposition
+ short time horizon
+ known losses
- not following global expansion strategy
- loss of the future market
- not following global expansion strategy
+no change of value proposition
+usage of synergies
-still union problems
-very long time horizon
-no possible short term measures
-ignore local disparities
Strategy: defining & implementing it
Aggressive
(local supermarket chain)
Exit
(Withdraw from that market)
Re-educate
(educate chinese)
Adaptation
(changing store format)
1-3
years
5-7
years
6
months
10 - 15
years
(3/7)
7. Strategy: defining & implementing it
Scenario planning: Alternative selection
Foreign business restrictions
Low High
HighLow
Cultural
change
EXIT
AGRESSIVE
RE-EDUCATE
ADAPTATION
STATUS QUO
ADAPTATION
(4/7)
8. Strategic Road Map (5/7)Strategy: defining & implementing it
Efficient staff
(corporate culture)
Key
Local autonomy
(org. structure)
China coverage
(control, org. size)
Guanxi
(ext. environment)
Strategic imperatives
9. Strategic Road Map (6/7)Strategy: defining & implementing it
KeyLocalautonomy
(org.structure)
Efficientstaff
(corporateculture)
1st year 2nd year 3rd year 4th year 5th year
1. Identify change agent & involve
2. Convince & involve key stakeholders
3. Support from top-management
4. Communication
1. Adapt Wal-Mart’s China mission & vision statement to China’s culture
2. Create organizational chart (national, regional, local)
3. Define clear responsibilities & power for decision making
4. Incentives to foster commitment
5. Develop profit centers
1. Bonus and compensations system
2. Performance review system
3. Training
Critical initiatives
10. Chinacoverage
(control,org.size)
Guanxi
(ext.environment)
Strategic Road Map (7/7)Strategy: defining & implementing it
1st year 2nd year 3rd year 4th year 5th year
1. Establish budget for business related meetings
2. Contact & develop relationship influencer
3. Networking events: Chinese New year
4. Develop relationship with local Government
1. Marketing research to understand needs
2. Taylor product offering
3. Launch new supermarket format
Risks
(a) China’s Government: tighter restrictions to foreigner
(b) Product offering not aligned with local tastes:
Market research
Benchmarking
Pilot trial with only a set of stores
-
Critical initiatives
Customers High disposable income, Purchasing behavior: few trips, big purchase. Planned purchase. Brand loyalty.Processed food (instead of freshness).
-competition. Wal-Mart leader in U.S. (80%) -Collaborators.
Integrated IT systems with Wal-Mart.
Low bargaining power.
Partnerships
Efficient logistics.
-Context. No union, no legal barriers, well developed infrastructure (roads, ports, warehouses). Authorities support.
company.
Strong corporate culture, price & service: low-cost, customer is key.
EDLP as value proposition
Very centralized management
Hypermarkets in small towns
-customers:
Income disparity & consumption pattern: rich urban areas Vs. poor rural areas.
Purchasing behavior: Many trips, little purchase. Everyday purchases.
Comparing prices in different shops. Impulse purchase, swayed by proportional campaigns. Low brand loyalty.Demand for absolute freshness in food.Shoplifting. Police officials pay little attention to complaints.
-competition.
Intensified competition
Local players dominating the market
EDLP as required value proposition
Supermarket as the most common format
-Collaborators. Lack of IT communication with suppliers, making purchasing and distribution difficult.
-Context. Local Protectionism, barriers to set up stores because of Tax income. illegal Tolls. Lack of geographic freedom to set up the DC. Poor Infrastructure. Labor unions. Tight labor regulation
-company.
Strong corporate culture, price & service: low-cost, customer is key.
EDLP as value proposition
Very centralized management
Hypermarkets in big cities
We had a problem , but then we had to tackle it, So we used the peterson management decision model to consider which strategic movement should be considered. Since this market is totally new to us, and its booming, there is uncertainty about it. And all the factors we want to overcome, most of them are out of our control. So the best way to prepare for this situation is was to conduct an scenario planning
We took some hours to discuss which were the main issues wal mart could face, the main driving forces that could affect Walmart in this situation. We came with Two main axis of uncertinty. Cultural change, which ranges from no adaptation to western culture, to total adaptation. And Foreign business restrictions, which range from liberalization, to increase in restrictions (bolivia)
For the case of the diminising foreign restrictions, we came with this two scenarios, the one we called I love US, in which chinese people start to addapt their consumer patterns and behaviors to a more western, more american culture, and the one called “Sticking to traditions” in which, even if chinese governemnt allow foreign business to operate with freedom, chinese customers stick with their traditional habits.
On the side of the increased regulations, we forecasted another two scenarios, The one called “Citizen protest”, in which chinese customer wants the western retailing formats because of their changing habits, but Chinese government makes things difficult, and the “we want you out”, in which both Chinese government and customers dont want Walmart in their land.
Afther the scenario planning, we analyzed which strategy would fit better with each scenario. We came with the following strategies.
Exit, since neither government if customers want us, leaving the market would be the best choice in this case
Being aggresive. Since customers would like to have a western store, but government makes our life harder, in this case we would purchase a chinese company whch were succesfull, and rebrand it.
Status quo. In case both customers and government wants to be with us, why changing anything. The actual model would work in the main aspects
Reeducate. In case we can do our business but customers keep their purchasin patterns, naybe an strong marketing campaing could re-educate them
Adaptation. In this scenario, another option could be to adapt our format to one who fits better with the actual customer needs.
We considered the pros and cons of this alternatives, except Status quo, which means to change anything and we now how we are doing with our actual business model.
For the aggresive alternative, a big pro would be that we would be acuiring a company which is already succesful, on the other side, we have risks of the process and also this could change our business model in china completely.
For the exit alternative, a pro would be that it takes shor period to implement, and we now how much money we are going to loose, pm the other side, we would loose the chance to be in the future market which is china.
Reeducate alternative. In this case, the pros would be that we would use our distribution channels, so in case we were succesful, the efficiency we have in the US would remain. On the other side, this is a really long strategy to be succesful, with big potential losses meanwhile
So, after analyzing these four scenarios, and with the experience Adrian has in working in china, we concluded that the most feasible scenario would be this (señala low, low). And considering the two alternatives discused before, we decided to implement the Adaptation strategy, because it is aligned with the global strategy of the company, and because of the shorter time frame.