Walmart swot analysis 2018 reveals company's internal strengths and weaknesses as well as external opportunities and threats.

1. WALMART INC.
SWOT ANALYSIS 2018

2. SLIDE | 2
ABOUT WALMART
Name Walmart Inc.
Logo
Industries served Retail (discount department stores and warehouse stores)
Geographic areas served Worldwide (11,718 stores in 28 countries)
Headquarters Bentonville, Arkansas, U.S.
Current CEO C. Douglas McMillon
Revenue (US$) 500.343 billion (2018) 2.98% 485.873 billion (2017)
Profit (US$) 9.862 billion (2018) 27.7% 13.643 billion (2017)
Employees 2.3 million (2018)
Main Competitors
Alibaba Group Holding Limited, Amazon.com, Inc., Costco Wholesale
Corporation, Dollar General Corporation, Dollar Tree, Inc., Kohl's
Corporation, Macy's, Inc., Sears Holdings Corporation, Target Corporation
and many other retailers/wholesale companies.

3. Walmart business overview from the company’s financial report:
“Walmart Inc. helps people around the world save money and live better –
anytime and anywhere – in retail stores and through eCommerce.
Our strategy is to lead on price, invest to differentiate on access, be competitive
on assortment and deliver a great experience. Leading on price is designed to
earn the trust of our customers every day by providing a broad assortment of
quality merchandise and services at everyday low prices ("EDLP").
EDLP is our pricing philosophy under which we price items at a low price every
day so our customers trust that our prices will not change under frequent
promotional activity.”[1]
SLIDE | 3
BUSINESS DESCRIPTION (1/2)
“ ”

4. “Through innovation, we are striving to create a customer-centric experience
that seamlessly integrates our eCommerce and retail stores in an omnichannel
offering that saves time for our customers. Each week, we serve nearly 270
million customers who visit our more than 11,700 stores and numerous
eCommerce websites under 65 banners in 28 countries.
Price leadership is core to who we are. Everyday low cost ("EDLC") is our
commitment to control expenses so those cost savings can be passed along to
our customers. Our omni-channel presence provides customers access to our
broad assortment anytime and anywhere. We strive to give our customers and
members a great digital and physical shopping experience.
Our operations comprise three reportable segments: Walmart U.S., Walmart
International and Sam's Club.”[1]
SLIDE | 4
BUSINESS DESCRIPTION (2/2)
“ ”

5. 1. Being the largest retailer in the world, with unmatched scale of operations
and strong market power over suppliers and competitors
SLIDE | 5
STRENGTHS
S W
O T
Walmart is the
world’s largest
company by
revenue and the
largest retailer in
the world.
Comparison of the top 5 retailers in the world in 2017
Walmart Carrefour Costco Tesco Amazon.com
Revenue
(US$ billions)
500.343 94.760 126.172 62.433 177.866
Locations 11,718 12,300 746 6,809 80
Countries
served
28 35 11 9 14
Employees 2.3 million 378,923 239,000 460,000 566,000

6. What does ‘being the largest retailer in the world’ mean to Walmart?
• economies of scale;
• efficient and effective use of resources;
• huge gains from implementing best practices;
• experimenting with less risk;
• market power over suppliers and competitors.
SLIDE | 6
STRENGTHS
S W
O T
Walmart’s revenue
reached US$500.3 billion
in 2018, more than
Carrefour, Costco, Tesco
and Amazon.com
revenues combined.

7. 1. Overdependence on sales from the U.S. market
SLIDE | 7
WEAKNESSES
S W
O T
In 2018, 76.1%
of all company
revenue and
more than 85%
of its operating
income came
from the U.S.
Walmart’s revenue growth in 2016-2018 (in US$ billions)
Walmart U.S.
Walmart
International
Sam’s Club
2018
Net sales 318.477 118.068 59.216
% share of total revenue 63.7 23.6 11.8
% revenue growth 3.5 1.7 3.2
2017
Net sales 307.833 116.119 57.365
% share of total revenue 64.0 24.1 11.9
% revenue growth 3.2 (5.9) (2.1)
2016
Net sales 298.378 123.408 56.828
% share of total revenue 62.3 25.8 11.9
% revenue growth 3.6 (9.4) (2.1)

8. 1. The e-commerce market is forecast to reach US$4.5 trillion by 2021
SLIDE | 8
OPPORTUNITIES
S W
O T
Total e-commerce sales worldwide (actual and forecast), 2015-2021
1.548 1.859 2.290 2.774 3.305 3.879 4.479
15.9
20.1
23.2
21.1
19.1
17.4
15.5
0
1
1
2
2
3
3
4
4
5
5
0
5
10
15
20
25
Total E-Commerce Sales (in trillions, US$) Change (%)

9. • Walmart currently
operates in 6 of the 10
largest e-commerce
markets in the world,
including China, the
U.S., the U.K., Japan,
Canada and Brazil.
• The company could
expand its e-commerce
operations in other
countries as well.
SLIDE | 9
OPPORTUNITIES
Top 10 countries ranked by total e-commerce sales worldwide (actual and forecast, 2015-2019 (in US$ billions)
Source: eMarketer[17]
S W
O T
Countries 2015 2016 2017 2018 2019
1. China 672.01 911.25 1208.31 1568.39 1973.04
2. U.S. 340.61 384.89 431.84 481.94 534.95
3. UK 99.39 110.32 121.36 132.28 143.19
4. Japan 89.55 100.3 111.33 122.46 134.1
5. Germany 61.84 68.95 76.47 82.58 87.54
6. France 42.6 46.1 49.68 53.23 56.69
7. South Korea 38.86 42.75 46.59 50.55 54.14
8. Canada 26.83 30.82 35.08 39.8 44.98
9. Brazil 19.49 22.12 24.66 27.13 29.65
10. Australia 19.02 20.66 22.31 23.94 25.61

10. 1. Growing risk of data breaches
Walmart collects, stores and protects credit/debit card information from every customer
who makes a purchase in its stores and online shops.
SLIDE | 10
THREATS
S W
O T
In 2017, a record high of 1,579 identity
thefts were reported
Walmart serves millions of customers
each day in 28 countries.

11. SLIDE | 11
GET THE FULL
PRESENTATION
BUY WALMART INC.
SWOT 2018

12. 1. Walmart Inc. (2018). Form 10-K for the fiscal year ended January 31, 2018. Available at: http://d18rn0p25nwr6d.cloudfront.net/CIK-
0000104169/a25e7acb-aa07-49f3-8c0c-0c69e5a8d372.pdf Accessed April 24, 2018
2. Fortune (2018). Global 500. Available at: http://fortune.com/global500/ Accessed April 24, 2018
3. Carrefour (2018). Consolidated Financial Statements as of December 31, 2017. Available at:
http://www.carrefour.com/sites/default/files/comptes_consolides_2017_eng_0.pdf Accessed April 24, 2018
4. Costco Wholesale (2018). Financial Reports. Available at: http://phx.corporate-ir.net/phoenix.zhtml?c=83830&p=irol-irhome Accessed April
24, 2018
5. Tesco PLC (2018). 2017 Annual Report. Available at:
https://www.tescoplc.com/media/392373/68336_tesco_ar_digital_interactive_250417.pdf Accessed April 24, 2018
6. Amazon.com, Inc. (2018). Form 10-K for the Fiscal Year Ended December 31, 2017. Available at: http://phx.corporate-
ir.net/phoenix.zhtml?c=97664&p=irol-sec Accessed April 24, 2018
7. Forbes (2018). The World’s Most Valuable Brands. Available at: http://www.forbes.com/powerful-brands/list/ Accessed April 24, 2018
8. Market Track and Reuters (2017). Price check. Available at: http://fingfx.thomsonreuters.com/gfx/rngs/WALMART-
PRICING/010051T543J/index.html Accessed April 24, 2018
9. Lundberg, A. (2002). Wal-Mart: IT Inside the World's Biggest Company. Available at: http://www.cio.com/article/2440726/it-organization/wal-
mart--it-inside-the-world-s-biggest-company.html Accessed April 24, 2018
10. Walmart (2018). History Timeline. Available at: http://corporate.walmart.com/our-story/history/history-timeline Accessed April 24, 2018
11. Alexa.com (2018). The top 500 sites on the web. Available at: http://www.alexa.com/topsites/category/Shopping Accessed April 24, 2018
12. Walmart.com (2018). Quarterly earnings. Available at: http://stock.walmart.com/investors/financial-information/quarterly-results/default.aspx
Accessed April 24, 2018
13. Walmart Inc. (2018). Annual report 2018. Available at: http://s2.q4cdn.com/056532643/files/doc_financials/2018/annual/WMT-2018_Annual-
Report.pdf Accessed April 24, 2018
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SOURCES (1/3)

13. 14. Osterndorf, C. (2015). 10 reasons Walmart is the worst company in America. Available at: http://www.dailydot.com/opinion/walmart-labor-unions-bad-
company/ Accessed April 24, 2018
15. American Customer Satisfaction Index (2018). Available at:
http://www.theacsi.org/index.php?option=com_content&view=article&id=147&catid=&Itemid=212&i=Department+and+Discount+Stores Accessed April 24,
2018
16. eMarketer (2017). Total Retail Sales Worldwide, 2015-2020 (trillions and % change). Available at: http://www.emarketer.com/Chart/Total-Retail-Sales-
Worldwide-2015-2020-trillions-change/194243 Accessed April 24, 2018
17. Statista (2018). Retail e-commerce sales worldwide from 2014 to 2021 (in billion U.S. dollars). Available at:
https://www.statista.com/statistics/379046/worldwide-retail-e-commerce-sales/ Accessed April 24, 2018
18. YCharts (2018). US Grocery Store Sales. Available at: https://ycharts.com/indicators/grocery_store_sales Accessed April 24, 2018
19. Daniels, J. (2017). Online grocery sales set to surge, grabbing 20 percent of market by 2025. Available at: http://www.cnbc.com/2017/01/30/online-
grocery-sales-set-surge-grabbing-20-percent-of-market-by-2025.html Accessed April 24, 2018
20. Statista (2018). Online grocery market share in the United States from 2015 to 2020. Available at: https://www.statista.com/statistics/531189/online-
grocery-market-share-united-states/ Accessed April 24, 2018
21. YCharts (2018). US E-Commerce Sales as Percent of Retail Sales. Available at:
https://ycharts.com/indicators/ecommerce_sales_as_percent_retail_sales Accessed April 24, 2018
22. Nielsen (2018). The Rise and Rise Again of Private Label. Available at: http://www.nielsen.com/content/dam/corporate/us/en/reports-downloads/2018-
reports/global-private-label-report.pdf Accessed April 24, 2018
23. Supermarket News (2017). The Next Wave of Private Label. Available at: http://www.supermarketnews.com/sponsored-content/next-wave-private-label
Accessed April 24, 2018
24. Statista (2018). Leading countries ranked by retail e-commerce sales from 2014 to 2019 (in billion U.S. dollars). Available at:
https://www.statista.com/statistics/377624/leading-countries-retail-e-commerce-sales/ Accessed April 24, 2018
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SOURCES (2/3)

14. 25. Progressive Grocer (2013). 1 in 3 Grocery Shoppers Use Mobile Devices in Store: Study. Available at: http://www.progressivegrocer.com/1-3-grocery-
shoppers-use-mobile-devices-store-study Accessed April 24, 2018
26. UPS (2017). UPS Pulse of the Online Shopper. Available at: https://solvers.ups.com/assets/2016_UPS_Pulse_of_the_Online_Shopper.pdf Accessed April
24, 2018
27. Smith, M. (2016). Retail & Mobile Apps: What Works and Why. Available at: https://www.apptentive.com/blog/2016/09/15/retail-mobile-apps-works/
Accessed April 24, 2018
28. Trading Economics (2017). China Retail Sales YoY. Available at: http://www.tradingeconomics.com/china/retail-sales-annual Accessed April 24, 2018
29. Trading Economics (2017). Brazil Retail Sales YoY. Available at: http://www.tradingeconomics.com/brazil/retail-sales-annual Accessed April 24, 2018
30. Trading Economics (2017). Japan Retail Sales YoY. Available at: http://www.tradingeconomics.com/japan/retail-sales-annual Accessed April 24, 2018
31. Trading Economics (2017). Chile Retail Sales YoY. Available at: http://www.tradingeconomics.com/chile/retail-sales-annual Accessed April 24, 2018
32. Identity Theft Resource Center (2018). 2017 Annual Data Breach Year-End Review. Available at: https://www.idtheftcenter.org/2017-data-breaches
Accessed April 24, 2018
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