Global HR Management

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Global HR Management Situation Analysis and Pending Decision Problem: In 1991 Wal-Mart entered in Mexico to internationalize its operation. By 2005 Wal-Mart had presence in nine countries with its US based success model of EDLP. But it received mixed response in different markets. Wal-Mart did well in Mexico, Canada, and England, whereas in Germany it had to sell all its business to Metro, a German retailer. Likewise, it was facing many challenges in Chinese market. For example because of increased government interventions in China opening up of stores at desired places was totally dependent on local authority's will. Even after nine years of its entry in 2005, Wal-Mart was unable to capture market as a leader and stood far behind at twentieth position where as, Carrefour the French competitor ranked fifth in sales due its more localized practices. In 2001 China joined WTO, Chinese market became more open and competitive and restrictions were lifted on geographical locations, product range, ownership and control of foreign investors. Identification of the major issues surrounding the organization or individuals involved with the organization. Fierce competition from financially strong international giants and expert of local market domestic retailers. Local competitors were giving very tough time to foreign retailers. They dominated the supermarket segment whereas; hypermarket and convenience stores were dominated by foreign players. Chinese market was very fragmented.
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