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Walmart Case Study

Essay by   •  February 11, 2011  •  Case Study  •  316 Words (2 Pages)  •  1,062 Views

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Wal-Mart's mission statement is Always low prices, everyday. We sell for less.

In the 2005 annual report, Lee Scott says "we generated higher profits for our shareholders without passing along higher prices to our customers." He also talks about maintaining integrity, continual improvements, and service to the customer. Most all of his comments appear to be consistent with the mission statement.

Under the industry of retail, discount stores, Wal-Mart's top competitors are stores such as Target, Big K, Costco Wholesale Corporation, and Big Lots. Target doesn't seem to compare with Wal-Mart's low prices or variety of products. Costco is more of a mass quantity purchases and Big Lots falls very short on product quality.

Some of the challenges for Wal-Mart including, consumer spending patterns and debt levels, weather conditions, competitive pressures, currency exchange fluctuations, trade restrictions, and other risks.

Wal-Mart has lots of opportunities for their future. They are currently involved in many community projects, and are dedicated to giving and doing whatever they can to help improve the quality of life for their customers, address environmental issues and promote education.

Wal-Mart continues to have an economic impact each year as it opens more stores and hires more people. Wal-Mart also plans to construct three new regional general merchandise distribution centers and three new food distribution centers during the next year. Combined, these six distribution centers are expected to add more than five million square feet of distribution space.

Wal-Mart is constantly looking for ways to improve, whether it's connecting executive compensation to diversity goals or improving the supplier application process. Improving these vital relationships are key to a better Wal-Mart and a better world.

If I had the money and the opportunity, I would invest in Wal-Mart. It has been a major asset in my life and has offered many services to my family and me. Wal-Mart is a very progressive and forward-looking company.



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