iii. Proper integration of cost leadership strategy: Selling its products at lower prices has helped Wal-Mart to attract masses of customers and still make massive profits through economies of scale. iv. Wide range of products: the company offers a wider range of products compared to other retailers, attracting more customers to their store. The products range from grocery, apparel, health and wellness, entertainment, to home related products among other products.
The three main competitors in Malaysia which are Tesco, The Store, and Giant. First, Tesco is a global grocery and general merchandise retailer headquartered in Cheshunt, United Kingdom. It is the third-largest retailer in the world measured by revenues and the second largest measured by profits. It has 14 countries across Asia, Europe and North America and is the grocery market leader in the UK. After joining the eighties trend for large out-of-town supermarkets, in the 1990s the company started pioneering many new innovations.
It operates its business operation from two centuries. There are lots of outlets and chain stores throughout the kingdom. This company is considered as third largest company in that country. In this context, it has good image on consumers mind. However, the top level of management thinks that the strength of this company is its transferability and capability of diversity(Fine, 2009).
Environmental analysis of Wal-Mart includes the external environment factors that may affect the performance of Wal-Mart. Typically external environment includes competitors of Wal-Mart, the advantages and disadvantages of these competitors, the way that Wal-Mart distinguishes itself from its competitors and macro-economic factors that affect the performance of Wal-Mart. Wal-Mart is one of the largest retail companies in the world with more than $ 400 billion annual sales, 4,100 branches in the United States and 3,500 stores outside the U.S. (“External And Internal Environmental Analysis Of Wal-Mart”). In the year of 2009, Wal-Mart became the highest-volume grocery store in America, obtaining a 21 percent share of the grocery marke and almost
With over 4500 stores within the United States and sprawling supply chain it ranks among the top Gartner’s supply chain for half a decade. The firm use Mammoth purchasing power to shape supplier’s behavior which enables the firm to drive down costs. The firm has excelled in its traditional supply chain approach at the same time carrying out continuous improvements by investing more in the emerging technologies to capture more of the e-retail markers that is turning out to be the current norm. Its supply chain model is embedded within three elements that is distribution practices, operating its own fleet of trucks and use of
Conaway, chief executive of Kmart, who were once a popular publicity from consumer value store. Mr. Conaway uses his previous experience and has made a negative decision for the organization. In order to compete with the success competitors such as Wal-Mart or Target, he allowed Kmart to get caught between pricing strategies. Leaflet is not distributed to attract or alert customers, around 40,000 product prices were slashed and Kmart advertise “Kmart prices is lower than Wal-Mart”. These were gusty decisions.
Retailer 's competitive environment Wal-Mart is one of the world 's largest retailers and operates in a variety of different store formats, making them one of the most competitive global companies. Wal-Mart 's competitive environment can be broken down into four categories strengths, weaknesses, opportunities, and threats. Below is a comprehensive SWOT analysis current as of November 23, 201 Strengths include their emphasis on market position, Customer-Centric Business Operations, and their Inventory Turnover ratio ("Wal-Mart Stores Inc…"). Walmart as a global company operates internationally amongst 27 countries ("Wal-Mart Stores Inc…"). Wal-Mart 's dominating retail presence secures them a strong market position, while not classifying them as a specialty store.
Currently they are maintaining their stocks in a delicate spot. By, comparing both stocks, this are not your typical stock companies. Specific investors are being located by both companies, investors should have the mentality of willing to risk and lose capital, because both stocks are comparative and unstable. Sears being one of the biggest retailers maintain most of their profits by selling high quality furniture. The stores have grown in the past years but currently they have been in a small decline because of JC Penney and competitive retailers.
Although, these products are promoted, even this line needs a little more aggressiveness in this regard because of tight competition prevalent in the market from established biscuit makers like Britannia, ITC, Priya Gold and relatively new entrants like Oreo (of Cadbury). Currently, in terms of market share of cookies, Britannia has surpassed Parle to the top with 28% market share. Parle has a market share of 27.5%. • Snack line of Parle: This is the most recent line after chocolates and rusk. In this line, Parle has introduced products like FullToss and Parle’s Wafers which are in direct competition with big giants like Kurkure and Lays.
TASK 1 (P1, P2) What is an international business? International business is the transaction of goods, services and money between two or more countries. Majority of businesses choose to operate globally to increase their consumer base and income that the business generates. International trading is beneficial to businesses as they can purchase raw materials from different countries thus to increase their profit margin. About Walmart “The secret of successful retailing is to give your customers what they want.