Wal-Mart Business Model

4197 WordsMar 11, 201317 Pages
[pic] Contents 1. Introduction 4 2. Develop Wal-Mart’s Business model from suppliers supplier to customers customer. 4 3. Use of communication and technology from point of sales to the entire value chain 5 3.1. Self Checkout Lane 5 3.2. Radio Frequency Identification (RFID) 6 3.3. Cash-Back Facility 8 4. Logistics 8 5. Pull System 10 6. FDI retail in India- would it be beneficial or detrimental in India’s economy (Business & Market perspective)- 10 6.1. FDI in India 10 6.2. Beneficial 11 6.2.1. Increase in GDP. 11 6.2.2. Increase in taxes by Govt. 11 6.2.3. Control on food inflation. 12 6.2.4. Productivity gains, storage innovations, Better/efficient supply chain. 12…show more content…
Key resources The key resources of Wal-Mart classified in 3 categories. First, the physical resources which are owned by it like stores and logistics. Second its human resources, experienced managers and stores managers, and finally the company culture. Walmart culture is based on restless effort at constant self-improvement, discipline and loyalty. Key partnership Key partnership is a strong buyer-supplier relationship in which suppliers were considered as close partners of Walmart.They also are part of the value chain of each other and it provides suppliers the chance of accessing to a large market. However it made suppliers, who wish to take advantages of its broad market, to keep their prices and costs low and therefore, suppliers give the control of their own business and negotiation advantage to Wal-Mart. Wal-Mart also creates economies of scale that optimizes its cost structure. Revenue stream Wal-Mart Revenue Streams that generated from its customer segments are basically come from retail sale, such as music downloading with fixed menu pricing. Walmart also drive revenue from selling its own brand, produces by others to cover a segment not cover by other suppliers. Moreover,

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