strategic analysis Wal Mart
Strategic Analysis of the Chinese Wal-Mart Based on SWOT
Introduction
The world renowned Wal-Mart is the biggest superstore chain all over the world. It has been found about 50years. With its headquarter in the U.S., Wal-Mart has developed into a giant retailer chain with over 1.9 million associates worldwide and more than 6,800 stores in 14 countries(Wal-Mart, para.1). During these years, Wal-Mart is devoted to offer excellent services with low prices goods to the global consumers and expanding its market worldwide. It was in 1996 when Wal-Mart firstly entered into Chinese market through a way of joint-venture agreement (Wal-Mart Stores, Inc. History, para.4). With the biggest population in the world, China has vast market potential for Wal-Mart. Besides, Wal-Mart is good at operating and can be able to offer good quality products with low prices. Thus the development of Wal-Mart in Chinese market is smooth and efficient. Within 20 years, Wal-Mart builds a network across 170 cities with 400 units and creates 90000 job opportunities (Walmart China Factsheet, para.5).
At present, many local Chinese markets enter into market, which divides the market of the Wal-Mart and poses heavy pressure on the running of Wal-Mart. In order to seek effective strategies to enhance the development of Wal-Mart in China, we conduct a strategic analysis of the Chinese Wal-Mart. In this paper, we use SWOT analysis as the tool of strategic analysis because it can enable us percept the company all around with its two dimensions: external factors (opportunities, threats), internal factors (strength, weakness) (SWOT Analysis, para.1). In this model, S refers to the company’s internal strengths, W refers to the internal weaknesses, O refers to the external opportunities and T refers to the external threats (Cheng Yanfei, and Zhang Yafeng, 2012). After the analysis, we can be clear about the advantages and disadvantages of Wal-Mart in Chinese market. Then we come up with possible strategies
Introduction
The world renowned Wal-Mart is the biggest superstore chain all over the world. It has been found about 50years. With its headquarter in the U.S., Wal-Mart has developed into a giant retailer chain with over 1.9 million associates worldwide and more than 6,800 stores in 14 countries(Wal-Mart, para.1). During these years, Wal-Mart is devoted to offer excellent services with low prices goods to the global consumers and expanding its market worldwide. It was in 1996 when Wal-Mart firstly entered into Chinese market through a way of joint-venture agreement (Wal-Mart Stores, Inc. History, para.4). With the biggest population in the world, China has vast market potential for Wal-Mart. Besides, Wal-Mart is good at operating and can be able to offer good quality products with low prices. Thus the development of Wal-Mart in Chinese market is smooth and efficient. Within 20 years, Wal-Mart builds a network across 170 cities with 400 units and creates 90000 job opportunities (Walmart China Factsheet, para.5).
At present, many local Chinese markets enter into market, which divides the market of the Wal-Mart and poses heavy pressure on the running of Wal-Mart. In order to seek effective strategies to enhance the development of Wal-Mart in China, we conduct a strategic analysis of the Chinese Wal-Mart. In this paper, we use SWOT analysis as the tool of strategic analysis because it can enable us percept the company all around with its two dimensions: external factors (opportunities, threats), internal factors (strength, weakness) (SWOT Analysis, para.1). In this model, S refers to the company’s internal strengths, W refers to the internal weaknesses, O refers to the external opportunities and T refers to the external threats (Cheng Yanfei, and Zhang Yafeng, 2012). After the analysis, we can be clear about the advantages and disadvantages of Wal-Mart in Chinese market. Then we come up with possible strategies
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