Preview

Financial Analysis Walmart 2013 Essay Example

Best Essays
Open Document
Open Document
2268 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Financial Analysis Walmart 2013 Essay Example
Financial Management

Assignment 1: Financial Analysis Wal-Mart

March 07, 2013

About Wal-Mart For this assignment, I select Wal-Mart Stores, Inc. Wal-Mart is an American public corporation that runs a chain of large discount department stores and a chain of warehouse stores. Wal-Mart operates more than 8,692 retail units across three business segments of retail stores worldwide that offer a wide array of general merchandise including groceries, apparel, electronics, and small appliances. In addition, the company is the world's largest retailer and grocery chain by sales and just over half of the company's sales comes from grocery items. Over 54% of the company's stores are located in the United States, with the majority of international stores located in Central and South America and China. The company focuses on offering the lowest prices across its business segments, which together earned $446.98 billion in revenue in 2012, a 6% increase from sales in 2011 according to Wal-Mart financial statement (2009~2013). Wal-Mart's largest business segment is its namesake Wal-Mart stores. Because of its mammoth size and buying power, Wal-Mart can buy its products at rock-bottom prices, exchanging high purchase volumes for low cost while passing the savings onto its customers. Many suppliers give in to Wal-Mart's pressure because they depend on the discount retailer for a majority of their sales. Due to Wal-Mart's low prices, consumers gravitate to Wal-Mart stores during economic downturns. As a result, the company's comparable store sales increased by 3.5% during the worst toughest year. Wal-Mart is a public company and its stocks are traded on stock exchange markets. It has 11,000m stock authorized and 3,780m outstanding. The owners of the company are changing time by time. Nowadays the major direct holders are: Other shareholders are some institutions and mutual funds.

Wal-Mart’s Organizational structure was constructed into a three product

You May Also Find These Documents Helpful

  • Better Essays

    The evolution of Wal-mart from the early 1960s to the present day has set a benchmark that few can achieve. Wal-mart executives have been successful nationally as well as globally. The knowledge and expertise in economics have made Wal-mart a global giant. The research completed is the final recommendations by the members of research team C and will address questions regarding global competition and issues of the organizations ability to expand or reduce current operations.…

    • 1511 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Tong, C. H., & Lee, T.(2006). Exploring the cornerstones of Wal-Marts success and competitiveness. Competitiveness Review, 16(2143-149). ProQuest…

    • 1185 Words
    • 5 Pages
    Powerful Essays
  • Better Essays

    Wal-Mart continues to grow its empire by reviewing many factors. These factors include price, production, and composition inputs. Wal-Mart must also analyze if global competition affects Wal-Mart, and if the company should continue, expand, or reduce its current operations to maximize profits. Wal-Mart continues to analyze the effects of government policy, social diversity, and business ethics. For Wal-Mart to make a smart decision, one must begin by reviewing price recommendation. Team “A” also will show how Wal-Mart debt securities reports show on the financial statements, how Wal-Mart invest in stocks and debt securities. The team will go farther and show why Wal-Mart invests in stocks and debt securities, what are Wal-Mart’s relative risks and rewards of equity versus debt securities and what the difference is between equity and debt securities.…

    • 2438 Words
    • 10 Pages
    Better Essays
  • Better Essays

    Wal-Mart is a giant of the retailing industry yet is not immune to the pressures of globalized trade, supply, and competition. Wal-Mart’s profit sustainability is always ‘in doubt’ unless it continues to fight off various competitive conglomerates or large size retailers such as Amazon and Target. Mergers on the scale of Wal-Mart are rare yet the marketplace shifts based on the continued expansion of physical and online retailers like Amazon and Amazon’s many partner/provider organizations. To stay ahead of the various operational and governmental threats, Wal-Mart’s focus is on maintaining their low cost…

    • 1894 Words
    • 8 Pages
    Better Essays
  • Powerful Essays

    Hr599 Benefits Project

    • 2527 Words
    • 11 Pages

    Wal-Mart Stores, Inc., branded as Wal-Mart, is an American multinational retail corporation that runs chains of large discount department stores and warehouse stores. “The company is the world's third largest public corporation and one of the biggest private employer in the world with over two million employees, and is the largest retailer in the world according to” (Fortune Global, 2012). Wal-Mart remains a family-owned business, as the company is controlled by the Walton family, who own a 48 percent stake in Wal-Mart. It is also one of the world's most valuable companies.…

    • 2527 Words
    • 11 Pages
    Powerful Essays
  • Better Essays

    During the past decade, retail markets have undergone many changes in their processes, services, and formats. The last part of distribution of the market strategy, retailing serves as a bridge between the final consumer and the mass producers of products. Retailing has reached every corner of the globe, and Wal-Mart has been eying areas where the retail market is unorganized or poorly organized. It, along with other corporations, has used liberalization, privatization, and globalization to become potential players in the commercial opportunities these areas embody. “Wal-Mart Stores, Inc. operates Wal-Mart discount stores, Supercenters, Neighborhood Markets and Sam’s Club locations in the United States. The Company operates in Argentina, Brazil, Canada, China, Costa Rica, El Salvador, Guatemala, Honduras, Japan, Mexico, Nicaragua, Puerto Rico and the United Kingdom.”…

    • 1307 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    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.…

    • 1643 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    Costco vs. Wal-Mart

    • 1269 Words
    • 6 Pages

    “Save Money, Live Better!” is the slogan of Wal-Mart, it was established in 1962 and it grew by brisk spreading in nations then became the world’s largest corporation and the nation’s leading retailer rapidly. In U.S. retailing industry, with the most market share, Wal-mart is the leading giant and its low price strategy forcing their competitors to charge low price as well. According to one academic study, with two-thirds of Wal-mart stores in rural areas, when Wal-mart enters a market, prices drop by 8 percent in rural areas. This figure shows that Wal-mart took the most market share through diminishes price.…

    • 1269 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Target Corporation

    • 4839 Words
    • 20 Pages

    References: Heller, Laura. “Wal-Mart remains the price leader, but competitors are closing the gap.” DSN Retailing Today 2 Aug. 2004: 8-10. Klinefelter, Jeffrey, Neely Tamminga, and Melissa Mullikin. “Target Corporation.” Piper Jaffray 22 Sep. 2004. Kozloff, Emme, Ian Gordon, and Robert Higginbotham. “A Look at the Stand-Alone Target.” Bernstein Research Call 23 Sep. 2004. Kozloff, Emme, Ian Gordon, and Robert Higginbotham. “Discount Retail.” Bernstein Research Call 16 Oct. 2004. Lightfoot, Paul. “Wal-Martification.” ALsysinc.com 1 Jun. 2003. Schlosser, Julie. “How Target Does It.” Fortune 18 Oct. 2004: 100. Stinson, Jeff. FTN Midwest Research. 29 Sep. 2004. “Target Corp. Fighting a War on Two Fronts.” CIBC World Markets Equity Research 24 Mar. 2003. “Target Corporation.” International Directory of Company Histories Vol. 61, St. James Press, 2004. Weinswig, Deborah. Target Corporation November Credit Review, Smith Barney. 27 Dec. 2004.…

    • 4839 Words
    • 20 Pages
    Powerful Essays
  • Good Essays

    As the largest retailer in history, it’s no surprise that Walmart is the target of both vicious attacks and effusive praise. According to its own website, Wal-Mart Stores, Inc. operates more than 8,000 stores, employs more than 2.1 million people, and sells more than $400 billion worth of goods in every year. Though this bulk intimidates those who fear for the viability of “mom and pop” retailers, Walmart’s great strength is that it devotes its considerable power to American consumers. Its size enables it to provide services that other retailers cannot, and it has deservedly become an integral part of the modern American economy.…

    • 689 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Wal-Mart Stores Incorporated, or Wal-Mart as popularly known, is a publicly traded company. The company has continued to increase its sales income over the period of existence since 1962. Recent financial records revealed that net sales increased from $418.9Billion recorded in 2011 fiscal year to $443. 9 Billion in 2012 fiscal year, representing a percentage growth of 5.63%. A cursory look at the 2012 audited financial statement of Wal-Mart revealed that there was a continue deep in net sales between 2008 and 2010 fiscal year. This continued decline can be attributed to the state…

    • 4149 Words
    • 17 Pages
    Powerful Essays
  • Good Essays

    Wal-Mart’s conundrum with the economy is that it provides premium services and goods at a price well below that of any competitor. The size and scope of the company’s operations allows for them to put pressure on the companies that produce these goods. Wal-Mart often uses outsourced labor and imported goods as a means…

    • 853 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Wal-Mart is an American public corporation that runs a chain of large discount department stores. Wal-Mart is the larges public corporation by revenue according to the Fortune Global 500. The company was founded by Sam Walton in 1962 and to this date, Wal-Mart employs approximately 2.1 million people.…

    • 274 Words
    • 2 Pages
    Satisfactory Essays
  • Best Essays

    When first quarter results came in for Wal-Mart, the new CEO was not too happy and quickly recognized the challenges he would face as he strategized to increase sales. The results showed that profits decreased by 5% and that the future months were not looking good for the organization. Wal-Mart is the world’s largest retailer and has witnessed its fifth straight quarterly decline in U.S. sales (Finance Post News and Publication, 2013). The organization speaks on low-income American customers still struggling to make ends meet and the effect it can have on sales.…

    • 2933 Words
    • 20 Pages
    Best Essays
  • Powerful Essays

    Wallmart SM

    • 9061 Words
    • 29 Pages

    Walmart Stores Inc in 2008: Management Initiatives to Transform the Company and Curtail Walmart Bashing…

    • 9061 Words
    • 29 Pages
    Powerful Essays