Organizational Analysis. Walmart. Walmart Is A Multinational

Ferguson (2016) explains that Walmart’s vision statement, the Corporation traces its success to the principles of its founder, Sam Walton. Further, the principles are highlighted in Walmart’s vision statement: “To be the best retailer in the hearts and minds of consumers and employees. ” The author added that Walmart initial aim was to attain a top position in the retail industry – given its present situation, the company has already achieved the best retailer aspect of the vision. In addition, Walmart’s vision statement speaks to the minds and hearts of those that matter most to the Corporation, that is - consumers and employees. Walmart has convincingly swayed the minds of shoppers and workers on the premise of financial benefits. The writer stated that staffs earn wages, whilst shoppers save money via Walmart’s economical prices. Still, the heart element of the vision statement remains to be proven (Ferguson, 2016).

Wal-Mart is a brand that is well known around the world, especially in the USA. It has gradually developed into the largest retailer in the world. Wal-Mart’s globalization efforts have been happening rapidly. But have they been successful in all aspects of their international expansion or not? This is the main thought that is going to be discussed in this essay. The questions I will be looking at are based on a case called “Wal-Mart takes on the world” from the book of International Business The Challenge of Global Competition eleventh edition – Ball, McCulloch, Geringer, Minor, and McNett. Questions are the following:

Walmart is known throughout the entire world as one of the most popular chain department stores. Actually, most have probably visited a Walmart store in the past week. Though Walmart stores seem to be a normal part of life the average person more than likely has little knowledge that pertains to Walmart’s success and business culture. This paper will guide one through the history of the organization, why Walmart is successful, what could threaten or open new opportunities, and how might they hold a competitive advantage.

Walmart is a global employer in the retail industry that employs employees all over the world. We believe Walmart can improve by implementing the following strategies: Cost leadership strategy - this is what Walmart is known for, Differential strategy - a big portion of what how Walmart stands out from others (is different) is because of their pricing, which kind of reflects #1 (cost leadership), Value-creating strategy - again they create value because consumers enjoy their prices and offerings, because of their supplier diversity ..which again kind of reflects #1 (cost leadership), Revamp the external view of its workforce - this one is different from the others and we all know how much Walmart has been in the news for their treatment of employees and some of their policies.

In addition to these effects on small businesses around the country, Wal-Mart’s promises of low prices are also impacting its own workforce. These low prices often come at the expense of fair wages and sufficient healthcare plans, leaving Wal-Mart employees to work in poor conditions for little reward. Wal-Mart’s treatment of its employees has long been in question. “The sad truth is that people earning Wal-Mart level wages tend to favor fashions available at the Salvation Army” (Ehrenreich, 2007). In less sarcastic terms, Wal-Mart employees cannot even afford to buy the clothes they sell and have to end up shopping at places like Goodwill and the Salvation Army to clothe themselves and their family. “You have to keep wages completely down;

The generic strategy that Wal-Mart employs is mainly a low-cost leader. This is evident by the company’s purpose: “saving people money so they can live better”. Wal-Mart believes that having a lower price matters to their customers. They continuously seek to reduce costs throughout their company, which will in turn reduce costs for

Walmart is the number one producer of jobs for the people in America and all around the world. Walmart creates many jobs for people in America, some of them who like the job and some of them that don’t. Sam Walton believes that if you want to take care of the customers then you have to make sure that you are taking care of the employees in the store as well. If you make the employees happy and get them to like their job then the employees will be respectful and treat the customers good as well. Many people like Walmart because of their low prices, but there are many people who don’t like Walmart because of the way the employees treat them and the way that the whole organization works.

Through continual research and readings Team Wal-Mart has gained a better understanding and perspective of America’s fascination with Wal-Mart. Despite the constant barrage of negative press relating to its handling of labor issues, employee benefits, vendor practices and customer service, the retailer is able to thrive. Wal-Martfacts.com brings an enlightening perspective on Wal-Mart views and how they and the public perceive its pitfalls. First, we are going to examine the history of the company. Where did Sam Walton get the idea to come up with a retail store like Wal-Mart? Did he actually expect to be as large of the retailer as it is now? Our team wanted to better understand where Wal-Mart is with its corporate level strategy, business level strategy, strategic formulation and it own views on its implementation. W We will further explore some alternative solutions and make recommendations as to where the public views the company in regards to the topics of discussion, and where our team’s views, and its perceptions of where they are today in how well it is

Low wages and the insurance coverage at Walmart locations have been a problem. “A report from the National Employment Law Project states that the low prices at Walmart provided to the customers have a hidden cost to the workers”(Jamieson). To have Walmart’s low prices and still have a profit they have to pay low wages to their employees. It’s low wages have an effect on all the 2.2 million workers Wal-Mart has.This makes it harder for their employees to buy food, housing and to pay other necessary bills. “Walmart has lowered the wages the employees get by hiring people that don’t work for the company to do their work ”(Jamieson). “The employees at Walmart do hard work and most of their employees don’t know about the workers right abuse. They don’t know where they can get compensation from the wrong things Walmart has been doing to them”(Jamieson). This is a problem because if the employee

Wal-Mart is the world's largest retail and departmental store chain. Having business operations in 27 countries with 69 different brand names, Wal-Mart is able to serve a huge number of customers per day. Wal-Mart is the fastest growing and the most successful retail brand in the world. The factors which make it the strongest brand in its industry include large customer base, sound financial strength, strong brand image, and huge supply chain network. Wal-Mart has certain weaknesses in its operations and business setup like low acceptability of certain products, high employee turnover, and less recognition of newly introduced brands. These weaknesses can be overcome by availing attractive opportunities from the market and investing more in the most profitable areas. Wal-Mart faces the biggest threat from its competitors and ever-changing customer preferences.

The success of Wal-Mart is due in large part to its ability to consistently produce high quality products at a low cost. This is very critical to the future success of Wal-Mart because it provides consistency to customers who are price sensitive. By committing themselves to "Everyday low prices," Wal-Mart assures customers that the products sold within their stores are competitive in reference to its retail competition. This low price strategy also provides Wal-Mart with a

Walmart serves nearly 260 million customers weekly across 27 different countries, both in stores and through its websites (“Fortune”, 2015). Walmart relies heavily on its proper and effective marketing strategies; Walmart would not be able to achieve the level of success without these strategies. Low prices, easy access for its customers, and social media campaigns are a few of the vital tactics Walmart has used in its marketing plan. “Save Money. Live Better” is Walmart’s mission in delivering customers products at the lowest prices. This low price strategy plays a marketing role that caters to customers who seek the lowest prices and with grocery stores that provide great deals (Brown, 2017). Walmart’s low cost business model is protected by its powerful supply and distribution chains throughout the world. Customers can expect the same cost efficient style in every Walmart store worldwide.

Wal-Mart is arguably the most dynamic corporation in the last 50 years in the United States, if not the world. Arising from its beginnings in Bentonville, Arkansas, it has grown to over 4,400 discount stores, super centers and corner markets worldwide. Wal-Mart continues to expand despite public criticism of its labor practices as well as complaints about their treatment of competitors. The many strengths of Wal-Mart, like their low cost production and marketing practices, will aid Wal-Mart as it continues to grow in the retail

Ans:Wal-Mart,Inc runs a chain of large, discount department stores.it is the world’s largest public corporation by revenue. Walmart is the largest private employer and the largest grocery retailer in the United States. Walmart is one of the best known industries all over the world. Its concentration of a single business strategy is the basis of its success over the decades by this strategy without having to rely upon diversification to sustain its growth and competitive advantage. The leading marketing strategies of Wal-Mart are low prices, service and smile. However by adapting this strategy, it has risked itself by putting all of a company’s egg in one industry basket. While its global strategy worked elsewhere, the results were bad in Germany and Korea that Wal-Mart withdrew from those countries.

This theory comes from the question what makes people satisfied and what do they value. Wal-Mart’s employees express their dissatisfied with their pay and benefits package. Most employees can’t afford or aren’t eligible to receive their healthcare package. Wal-Mart continues to feel the effects and consequences by having a high turnover rate with employees. Most of Wal-Mart’s turnovers are voluntary, leaving the cost to be substantial to Wal-Mart. Wal-Mart’s turnover rate is absolutely appalling. Approximately 70% of Wal-Mart employees quit outright within the first 12 months. This could be that Wal-Mart is openly against any kind of labor union within their organization and will stop at nothing to keep collective bargaining away. (Keil, 2005)