This paper includes SWOT/TOWS analysis

Table of contents

Here are some important numbers: ё Net sales increased from 229. 6 billion to 256. 3 billion (+ 1 1. 6%). ё Total asset increase 10. 7% to 104. 9 billion. ё When compared to fiscal year 2003, Wall-Mart stores segment experience a 9. 1% increase in operating profit and a 10. 9% increase in sales in fiscal year 2004 ё Domestic expansion resulted from the addition of 139 new discount stores, Superstructures and Neighborhood markets, as well as 130 conversion and/or relocation from Discount stores to Superstars. ё Internationally, Wall-Mart added 83 units net of clothing.

Worldwide square dotage increased approximately 46 million per square or *%. Mission Wall-Mart mission statement is: “To give ordinary folk the chance to buy the same thing as rich people. ” Sam Walton built Wall-Mart on the revolutionary philosophies of excellence on the Wall-mart case analysis. This paper includes SOOT/TOWS analysis, PEST analysis, environmental scan and strategic analysis. By kabob of the company are:

  1. Respect for the individual
  2. Service to our customers
  3.  Strive for excellence Wall-Mart strives to always do the right things in the right way.

The company does not accept the notion that business as usual is ever appropriate, and Wall-Mart mission is to ensure that constant change remains a vital part of the company culture itself.

Objectives

Remain a leader and set higher standard for many years to come. ё Continue to deliver quality product at outstanding value. ё Attract Associate to serve an increasingly diverse customer base. ё Recruit and promote from all segment of society and provide a work environment in which individuals can succeed based on their own merits. ё Keeping pace with the regular changes in the regulatory environment. Strategies ё Committing to grow by raising the standard of living for their customers throughout the world. ё Providing a broad assortment of quality merchandise and services at Every Day Low Prices (IDLE) pricing strategy. ё Committing to place a lot of emphasis on it s customers ( what they want, when they want it and at what value… ) Fostering a culture that rewards and embraces mutual respect, integrity and diversity. ё Building mutually profitable relationship with suppliers. ё Continuing to expand nationally and internationally.

Leslies

  1. Commit to your business
  2. Share your profits with all your associates, and treat them as partners.
  3. Motivate your partners. Money and ownership alone are not enough.
  4. Communicate everything your possibly can to your partners.
  5. Appreciate everything your Associates do for the business.
  6. Celebrate your successes and find some humor in your failures.
  7. Listen to everyone in your company. And figure out ways to get them talking.
  8. Exceed your customers’ expectations.
  9. Control your expenses better than your competition.
  10. Swim upstream. Go the other way. Ignore the conventional wisdom.

Wall-Mart has also a “No Solicitation and Distribution policy” (inside their stores, clubs, distribution centers and other facilities) and a “Customers satisfaction guaranteed by repair, refund or exchange Policy”. II. CASE ISSUES Company Image (CLC#l): Wall-Mart has been the subject of more than 24 complaints to the National Labor Relations Board (NELL) since November 2001. The accusations involve sex discrimination, illegal immigrant and anti-union activities. Will the company be able to sustain a good brand image? Mature Industry (CLC#2): Saturation in the US market was mainly due to the fact that Wall-Mart already served the most desirable areas of the market with 2000 plus units.

As the mass merchandise retail in general seems to be a mature industry, will Wall- Mart be able to continue its growth strategy? Multi-domestic growth (CLC#3): The initial move abroad of Wall-Mart was based on the saturation in their domestic market. However, global retailing demands a huge investment and gives no guarantee on return. As an illustration, Wall-Mart has faced legislative problems in Germany and restrictive trading practices have contributed to its constrained growth.

They earn the trust of the customers every day by providing a broad assortment of quality merchandise and services at every day low prices (EDP) while fostering a culture that rewards and embraces mutual respect, integrity and diversity. ё Wall-Mart has a high level of employee involvement : the company has been sharing profit with its employees since 1974. The employees are called associates an down 8% of the company stock. Wall-Mart recruits 70% of its management from its own workers.

Employees’ attitudes are aligned with the company corporate culture. ё Each store performs the activities in the same way and all employees get the same training. In this way, Wall-Mart is able to standardized its operations, which leads to major cost saving. 1. Marketing Mix a. Product ё Wall-Mart offers a huge line of products and services. Selective private labels and licensed brands are: Athletic Works Catalina (clothing, licensed) Disney Equate (health and beauty aids) Faded Glory Means, licensed)

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