Current Market Conditions Competitive Analysis
Current Market Conditions Competitive Analysis: Wal-Mart Market Conditions
Team G
ECO/365
Wal-Mart Market Conditions
Wal-Mart is a large international discount retail, according to "Wal-Mart" (2014), “This industry exist in the following countries Argentina, Brazil, Canada, Chile, China, Costa Rica, El Salvador, Guatemala, Honduras, India, Japan, Mexico, Nicaragua, Puerto Rico, the United Kingdom, and the United States. Wal-Mart began as a small store in Arkansas.” Wal-Mart makes their profit by selling clothing, furniture, grocery, electronic, automotive goods, and a host of other products and services. Wal-Mart was founded by Sam Walton and According to "Four of the World 's Top 15 Billionaires Are From One Family. So Who Are the Walton’s?" (2014), "Sam Walton died in 1992 leaving his wealth between wife and kids. Sam Walton’s children are Jim, Alice, and Rob Walton and together they are nearly as rich as Warren Buffett and Bill Gates. Wal-Mart has over 4,100 outlets in the United States and is still building more establishments. Although Wal-Mart is an enormous company it has issues like some smaller companies. The first issue discussed is the factors that affect supply, demand, and equilibrium prices in the market. Wal-Mart also has issues or opportunities they face that affect its competitiveness and long term profitability. These factors affect fixed cost and variable cost.
Factors that affect demand, supply, and equilibrium prices
Wal-Mart makes an average of four billion dollars a week before all other factors ("Wal-Mart Company Statistics", 2013). This makes us one of the most profitable businesses of all time but, all businesses regardless of success rate must consider the effects of demand, supply, and equilibrium prices of the items sold within our stores. When demand is low it causes a surplus of supply which would cause the supply curve to shift right which is not good for business and causes a need to lower prices, discount, or
Team G
ECO/365
Wal-Mart Market Conditions
Wal-Mart is a large international discount retail, according to "Wal-Mart" (2014), “This industry exist in the following countries Argentina, Brazil, Canada, Chile, China, Costa Rica, El Salvador, Guatemala, Honduras, India, Japan, Mexico, Nicaragua, Puerto Rico, the United Kingdom, and the United States. Wal-Mart began as a small store in Arkansas.” Wal-Mart makes their profit by selling clothing, furniture, grocery, electronic, automotive goods, and a host of other products and services. Wal-Mart was founded by Sam Walton and According to "Four of the World 's Top 15 Billionaires Are From One Family. So Who Are the Walton’s?" (2014), "Sam Walton died in 1992 leaving his wealth between wife and kids. Sam Walton’s children are Jim, Alice, and Rob Walton and together they are nearly as rich as Warren Buffett and Bill Gates. Wal-Mart has over 4,100 outlets in the United States and is still building more establishments. Although Wal-Mart is an enormous company it has issues like some smaller companies. The first issue discussed is the factors that affect supply, demand, and equilibrium prices in the market. Wal-Mart also has issues or opportunities they face that affect its competitiveness and long term profitability. These factors affect fixed cost and variable cost.
Factors that affect demand, supply, and equilibrium prices
Wal-Mart makes an average of four billion dollars a week before all other factors ("Wal-Mart Company Statistics", 2013). This makes us one of the most profitable businesses of all time but, all businesses regardless of success rate must consider the effects of demand, supply, and equilibrium prices of the items sold within our stores. When demand is low it causes a surplus of supply which would cause the supply curve to shift right which is not good for business and causes a need to lower prices, discount, or
References: Business dictionary . (n.d.). Retrieved from http://www.businessdictionary.com/variable-factors-of -production.html Four of the world 's top 15 billionaires are from one family. So who are the Walton’s? (2014). Retrieved from http://www.theguardian.com/business/2009/mar/14/wal-mart-us-economy Wal-Mart. (2014). Retrieved from http://en.wikipedia.org/wiki/History_of_Walmart Colander, D. C. (2010). Economics (8th ed.). New York, NY: McGraw-Hill. Insignia. (2014). The Insignia difference. Retrieved from http://www.insigniaproducts.com/about-us.html Wal-Mart company statistics. (2013). Retrieved from http://www.statisticbrain.com/wal-mart- company-statistics/