Organizational Analysis. Walmart. Walmart Is A Multinational

836 WordsMay 16, 20174 Pages
Organizational Analysis Walmart Walmart is a multinational retail corporation that operates as a chain of hypermarkets, discounted department stores, and grocery stores. Founded by Sam Walton in 1962, the company is headquartered in Bentonville, Arkansas. “Within 14 years of opening its first supercenter (stores selling both general merchandise and a full line of groceries) in 1988, Walmart became the largest grocery retailer in the United States and the first truly national grocery chain” (Matsa, 2011, 1542). While Walmart has vast success, there are aspects of the organization that can be improved. This paper will analyze Walmart’s strategic issue, brand representation, by conducting a SWOT analysis, taking a deeper look at culture and…show more content…
In addition, this strategy causes the firm’s focus to be on maintaining low prices of goods and services. This can be directly related to Walmart’s Mission Statement: “Saving people money so they can live better.” Walmart is known for low prices, which is the main selling point of the business. The company is able to achieve this by making cuts elsewhere through low cost reduction in operations and minimizing employees’ wages. Such cuts can lead to low store quality and a high employee turnover. Walmart’s employees earn minimum wage and lack basic benefits, which there for causes the firm to lack employee loyalty. If employees are unmotivated, they will not give the best service possible, taking away from the overall customer experience and diminishing the store quality. Ultimately, in this way, the company sacrifices high store quality and goods to offer the lowest possible prices to its customers. Opportunities. The opportunities in Walmart’s future are: expansion in developing countries, improvement in human resource practices, and improvement in quality standards. Walmart’s opportunity to expand in developing countries is based on their high-growth economic condition. As the largest retailer in the world, Walmart is consistently growing economically. This means the company can afford to expand into developing countries and continue its role as largest retailer. Additionally, the opportunities to improve human resource
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