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Walmart Stores Management Case

Essay by   •  January 5, 2013  •  Case Study  •  1,482 Words (6 Pages)  •  1,429 Views

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WALMART

Wal-Mart Stores, Inc. (formerly branded as Wal-Mart, branded as WalMart since 2008) is an American public corporation that runs a chain of large discount department stores and a chain of warehouse stores. The company was founded by Sam Walton in 1962. Wal-Mart, headquartered in Bentonville, Arkansas is the largest majority private employer and the largest grocery retailer in the United States. Wal-Mart has 8500 stores in 15 countries, with 55 different names.

OPERATIONS

It also operates under its own name in Puerto Rico.

* Wal-Mart operates in Mexico as Walmex,

* in the United Kingdom as Asda ("Asda Wal-Mart" in some branches),

* in Japan as Seiyu, and in India as Best Price.

It has wholly owned operations in

* Argentina,

* Brazil,

* Canada.

Wal-Mart's investments outside North America have had mixed results: its operations in the United Kingdom, South America and China are highly successful, while it was forced to pull out of Germany and South Korea when ventures there were unsuccessful.

SWOT ANALYSIS OF WALMART

* Largest Revenue Driver Company of the USA

WAL MART is the largest revenue driver company of the USA. It derives almost 75% of its revenues from the USA. The company gained its position of world number one company in terms of revenue in 2007. It always comes up with the new innovative prices offers.

* Strong Market Position

WAL MART has a strong market position in USA and it's also the second largest in UK as well. As they operate 971 discount stores in 47 states in US, 2447 WAL MART super centre's in many states and these stores serves over 127 million customers per week.

* Balance Brand Mix

WAL MART has a wide range of private labels such as

* Equate (Pharmacy , health and beauty items),

* Ol' Roy (Dog Food),

* Parents Choice (baby products),

* White Stag ( women clothing, foot wear and jewelry)

* Brand Occasion ( brand for party occasions),

Great Value (Grocery items like bread , frozen foods) etc and it additionally sells the big brand names like general Electric, Disney, McDonalds and Starter. This particular strategy helps them to create customer loyalty and gives a great choice to them.

* Wider Range of Customers

REASONS

1. As it has so many brands and provides many things at low prices it has a wide range of customers which keeps on growing with the passage of time.

2. It has the wide range of target market especially after the 9/11 because of the financial decline in USA people can buy things at cheaper rates and have people plenty of good stuff at discount rates.

* Deals With Variety Of Goods

WAL MART has a large variety of goods and is largest retailer and grocery chain of the world. It offers products such as

 Men and Women Clothing and foot wear

 Supplies and stationery

 Party decoration

 Carbonated and flavored water

 Paints and painting tools

 Automotive and lawn mower batteries

 Pre cooked burgers, frozen food

 Athletes foot wear

 Holiday stuff etc.

Basically we can say that it is one time shop stop.

Strong Marketing Capabilities

The company has strong marketing capabilities. It uses many techniques such as

* Every Day Low Prices

* Roll Back

* Store within a Store

* Store of the Community

Every Day Low Prices

Everyday low prices is a technique to control the prices every day and to ensure the customers that prices do not change erratically

Roll Back

It is one of the examples of WALMART commitment towards customers that they offer low prices on the products they save internal and external cost.

Store within a Store

It gives an opportunity to the managers (assistant and department) to have accountability of their sales and performance and to have an idea about planning.

Store of the Community

Stores of community help to cater the demands of the particular customers living in area supposedly if the store is located in an area where there are more Asians living so the WALMART store might contain Indian store as well.

Exit from south-Korean market

WAL MART was not

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