Walmart 2
Wal-Mart is the largest corporation by revenue, according to the 2010, Fortune Global 500. Of course the current economic conditions are affecting Wall-Mart, so the best way to respond is by having a strategy. In this case, the goal of the strategy is to maximize future revenues for Wal-Mart. The mixed result provided by the economic indicators point out that is really important that Wal-Mart keeps at the top of their principles the Every Day Low Price. The US nation is dealing with high unemployment and people are trying to drop their household debts. This means that Wal-Mart needs to keep taking actions in order to reduce costs that can lead to translate to the final price and then maximize their revenues. Consumers also want to maximize their spending. When Americans are dealing with economic pressures, those pressures influence the consumer behavior. The best retail prices and a strong customer relationship will help boost their sales. In addition, Wal-Mart needs to continue being a head in implementing new technologies that in fact can be translated in reducing costs will enhance the whole strategy.
Wal-Mart can continue to maximizing revenues by taking advantage of their retail inventory Management. Moreover, increasing supply chain efficiency will continue to be very important in maximizing their profits. Latest technologies implemented allow Wal-Mart to respond to consumer’s price sensitivity in real time, allowing Wal-Mart to maximize earnings per unit.
Walmart 3
Here we will focus on Wal-Mart domestic operations and how the firm should respond to the economic indicators with the goal of maximizing revenues. The indicators and ratios selected were: Retail industry sales, Gross Domestic Product (GDP), Inflation rate (CPI), Unemployment rate, Consumer Confidence Index, US Household Debt. Wal-Mart operations consist of three business segments: Wal-Mart U.S., international and Sam’s club. Wal-Mart domestic operations have more
References: Conference Board, 2010. The US Economy Forecast. Retrieved on December 21, 2010 from: http://www.conference-board.org/data/usforecast.cfm 2010 Trading Economics. United States Inflation Rate. Retrieved on December 21, 2010 from: http://www.tradingeconomics.com/Economics/Inflation-CPI.aspx?Symbol=USD Trading Economics.United States GDP Annual Growth Rate. Retrieved on December 22, 2010 from: http://www.tradingeconomics.com/Economics/GDP-Growth- Annual.aspx?Symbol=USD Trading Economics, 2010. US Third Quarter GDP Revised Up. Retrieved on December 22, 2010 from: http://www.tradingeconomics.com/Economics/GDP-Growth.aspx?Symbol=USD US Third US Inflation Calculator, Inflation Rates by Month and Year. Retrieved on December 21, 2010 from: http://www.usinflationcalculator.com/inflation/historical- inflation-rates/ Forecast Chart, 2010. Current Inflation News & Forecast: US Inflation Rate. Retrieved on December 21, 2010 from: http://www.forecast-chart.com/forecast-inflation-rate.html CNN Money Magazine, 2010. Fortune 500 companies list. Retrieved on December 14 from: http://money.cnn.com/magazines/fortune/fortune500/2010/index.html Wal-Mart 2010 Annual Report. Financial Highlights. Retrieved on December 16,2010 from http://walmartstores.com/sites/annualreport/2010/financial_highlights.aspx Wal-Mart 2010 Annual Report. Retrieved on December 20, 2010 from http://cdn.walmartstores.com/sites/AnnualReport/2010/PDF/WMT_2010AR_FINAL.pdft echnologies implemented allow Wal-Mart to respond to consumer’s price sensitivity in real time, allowing Wal-Mart to maximize earnings