Wal-Mart
CASE #1
WALMART, 2005
BYRG GRATUS
MGMT 642: BUSINESS POLICY
FEB. 20, 2014
1. What is the Wal-Mart Brand image?
Walmart has the brand image of a mega-retailer, which: offers everyday low prices on a ‘broad’ product assortment; provides the best possible shopping experience - online, through mobile and in stores; and offers a one-stop, round-the-clock family shopping destination, where families can procure everything from groceries, to household tools, to electronics; delivers seamless access to customers – ‘anytime, anywhere’; provides more personalized and relevant shopping options online.
2. Describe the Competitive Situation in which Wal-Mart finds itself in terms of:
a. An industry analysis
Walmart operates in the highly competitive retail industry in both the United States and the countries it serve internationally. Table 1 shows the top five global retailers in 2013. Table 1: Top Five Global Retailers (2013)
Retail Sales Rank
Company
Country of Origin
1
Walmart
US
2
Tesco
UK
3
Costco
US
4
Carrefour
France
5
Kroger
US
Although it is an undisputed industry leader nationally as well as globally since long time, it continuously faces strong sales competition from other discount, department, drug, variety and specialty stores, warehouse clubs, and supermarkets, many of which are national, regional or international chains, as well as internet-based retailers and catalog businesses.
Figures 1 gives an idea about Walmart’s financial performance, individual as well as relative, in the retail industry.
Figure 1: Performance of Walmart stock (Aug. 1972 – Jan. 2014)
Competitive situation in which Walmart finds itself in terms of industry:
Domestic Competitors:
Target is Walmart's most direct competitor, offering a range of general merchandise in a similar store format (Standard Targets, with limited food offerings, compare to Walmart's discount stores, and Super Targets compare
WALMART, 2005
BYRG GRATUS
MGMT 642: BUSINESS POLICY
FEB. 20, 2014
1. What is the Wal-Mart Brand image?
Walmart has the brand image of a mega-retailer, which: offers everyday low prices on a ‘broad’ product assortment; provides the best possible shopping experience - online, through mobile and in stores; and offers a one-stop, round-the-clock family shopping destination, where families can procure everything from groceries, to household tools, to electronics; delivers seamless access to customers – ‘anytime, anywhere’; provides more personalized and relevant shopping options online.
2. Describe the Competitive Situation in which Wal-Mart finds itself in terms of:
a. An industry analysis
Walmart operates in the highly competitive retail industry in both the United States and the countries it serve internationally. Table 1 shows the top five global retailers in 2013. Table 1: Top Five Global Retailers (2013)
Retail Sales Rank
Company
Country of Origin
1
Walmart
US
2
Tesco
UK
3
Costco
US
4
Carrefour
France
5
Kroger
US
Although it is an undisputed industry leader nationally as well as globally since long time, it continuously faces strong sales competition from other discount, department, drug, variety and specialty stores, warehouse clubs, and supermarkets, many of which are national, regional or international chains, as well as internet-based retailers and catalog businesses.
Figures 1 gives an idea about Walmart’s financial performance, individual as well as relative, in the retail industry.
Figure 1: Performance of Walmart stock (Aug. 1972 – Jan. 2014)
Competitive situation in which Walmart finds itself in terms of industry:
Domestic Competitors:
Target is Walmart's most direct competitor, offering a range of general merchandise in a similar store format (Standard Targets, with limited food offerings, compare to Walmart's discount stores, and Super Targets compare