Indian River State College
GEB 4930 - 185046 - Selected Topics in Management
Strengths
Scale of Operations
Low Cost Strategy
International Operations
Information Systems Technology
Weaknesses
Poor Human Relations
Implantation Of Entering International Market
Opportunities
Store Leasing
Green Operations
Rental Business
Retail Market Growth In Emerging Markets
Threats
Pending Lawsuits By Disgruntled Employees
Rising Commodity Prices
Strategies Are Being imitated
Strengths
Wal-Mart has many strengths that have propelled it to become the “largest retailer in the world with over $400 billion in revenue and 10,310 stores.” (Strategic Management Insight, 2013) One of its greatest strengths is actually in response to it being the largest. Wal-Mart’s scale of operations is the corner stone of all the strengths below. This strength allows them to carry 120,000-140,000 items within their stores and over 1,000,000 online. (Yoffie, D. & Slind, M, 2007)
Wal-Mart’s low cost strategy is another strength that has pushed competitors aside. Wal-Mart has a low price guarantee which allows a cashier to match any price at the register. This strategy has eliminated a lot of the competition such as small Mom’s & Pop’s stores in small community’s as well as larger competitors like K-mart.
Wal-Mart’s International Operations allows it to not only depend on its sales in the United States; in 2013 it earned $135 billion in other nations. (Strategic Management Insight, 2013) This strength helps to bring stability as well as great growth opportunities in developing nations.
Wal-Mart’s information systems technology is a strength that holds the company together. Over a decade ago Wal-Mart trailed K-Mart due to its size but implementing a point-of-sale system and other technological advancements has lead it to be the largest retailer in the world. “Over a five year period Wal-Mart invested
References: (Eds.), Wal-Mart, 2007 (pp. 2-3) Location: Harvard Business School Publishing, Boston, Ma Little johns, K Maestra, Nicole, (2010) Target seeks growth from small stores, overseas. Retrieved from:http://www.reuters.com/article/2010/01/21/target-idUSN2120840620100121 Prentice Hall Inc SWOT analyses of Wal-Mart May 17, 2013 Retrieved From http://www.strategicmanagementinsight.com/swot-analyses/walmart-swot-analysis.html Willing, Richard (2001) USA Today, Lawsuits a volume business at Wal-Mart, Retrieved from: http://usatoday30.usatoday.com/news/nation/2001/08/14/walmart-usat.htm Ungar, R Van Dyk, P. (December 14, 2010). Wal-Mart Abandons Efforts to Enter Russian Market. Retrieved from http://www.npr.org/2010/12/14/132046158/Wal-Mart-Abandons-Efforts-To-Enter-Russian-Market Wal-Mart Yoffie, D., & Slind, M. (2007). Human Capital and Public Relations. In Dr. Frank Harber Yoffie, D