Swot Analysis For Walmart

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Communities Wal-Mart is popular among most individuals for working hand in hand with the community in the attempt of providing them with quality goods and services as well as improving their living standards. Statistics shows that the enterprise works with more than 10000 neighborhoods around the world to improve the quality of life of these community members through building local strengths and addressing local issues. Some of the programs that the company undertakes at the community level include: a) Empowering facility managers and Wal-Mart associates to directly sponsor local nonprofit and institutions in need b) Encourage investment in local causes c) Create, develop and engaging Wal-Mart customers in local charitable activities…show more content…
Through this model, investors have an opportunity to evaluate the market position of the company through is effective and strong performance. Strengths Globally recognized – Wal-Mart has been in the retail business since the year 1962, and most of its efforts are dedicated to ensuring that it provides quality products to their customer and this has made them be a global brand. As a result, the strong market position of the company is its main strength. Competence in technology – Wal-Mart has effectively and efficiently managed to integrate technology in most of its operations. Competence in information system has enabled the company to establish a successful supply chain and logistics thus, saving a significant amount of cost to manage its inventory levels, sales and other crucial information and data. Product differentiation and diversification - as a competitive strategy, the company has invested in more than one product to ensure that there is no single moment in time that it will be out of business. Besides, the company offers broad range both branded and ow2n label products to its…show more content…
Moreover, people in these countries are likely to move away from low-quality products due to economic development in these countries. Thus, an improvement in economic status will improve the living standards if citizens in these countries. The increasing acceptance of own label – Wal-Mart has continuously increased the standards of their products as more and more people are becoming aware of the needs for high standards and that is the main reason as to why Wal-Mart operates its private label products label products to earn a higher profit. Threats Increased competition – more and more companies are finding it more convenient to invest in retail markets making it one of the most competitive industries in the world today. Wal-Mart has increasingly faced stiff competition from brick and mortar and online competitors. To be in a position to compete effectively, the company has to increase its competitive advantage. Increasing price products – due to the increased cost of productions, the companies are not in a better position to make a better profit unless they increase the price of each unit of product. This posses a greater threat considering that the company has to choose between its customers and

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