Walmart Case Study

2278 Words Apr 25th, 2010 10 Pages
Chapter 1& 2 Module 1
Wal-Mart Case Study
Shannan Haynes
St Gregory’s University

Give a short account of the history of the company, and trace the evolution of its strategy. Try to determine whether the strategies evolution of your company is the product of intended strategies, emergent strategies, or some combination of the two.
The Wal-Mart story began in 1962 when Sam Walton opened the first discount store in Rogers, AR. In 1970 Wal-Mart experienced significant growth and made huge advancements In1970 Wal-Mart opened its first distribution center and the Wal-Mart Home Office in Bentonville, AR. By 1970 Wal-Mart employed 1,500 associates and had 38 stores with sales of $44.2 million. In 1970 Wal-Mart also
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(Marketing Teacher , 2000)
Wal-Mart still has many opportunities to merge, or form alliances with other global retailers. Wal-Mart can do more to call attention to its good deeds to help with their image issues. Wal-Mart can continue to expand its supercenters into large cities. (Avila, 2009)
Who is the CEO of the company? Evaluate the CEO’s leadership capabilities. On February 1, 2007, Mike Duke took over as CEO of Wal-Mart. On June 5, 2009, Mike Duke announced that Wal-Mart was up 6 percent to $3.35 per share and that 7.3 billion dollars were returned to shareholders. He also said that sales surpassed 400 billion for the first time. Wal-Mart has strong balance sheets and access to capital markets. Mike Duke has enhanced training and development of Wal-Mart’s global workforce. He has also reiterated Wal-Mart’s commitment to low prices. Based on profits and the commitments he has outlined, I would say that Mike Duke leadership capabilities as CEO are very promising. (Walmart, 2009)+
Apply the five forces model to the industry in which your company is based. What does this model tell you about the nature of competition in the industry?
Potential Competitors: Medium pressure

Grocers could potentially enter into the retail side.
Entry barriers are relatively high, as Wal-Mart has an outstanding distribution systems, locations, brand name, and financial capital to fend off competitors.
Wal -mart often has an

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