Walmart Strategy
Introduction
Wal-Mart the world's largest retailer in 2006, next to only Exxon Mobil, with an 8.9% retail store market share in the US and a global turnover of $312 billion, is the most famous example of a successful retail strategy. However, Wal-Mart's international operations spread across 14 markets outside US, has been a mixed bag of experiences for the company. Despite Wal-Mart's impressive track record and strength, the question is, "How can it stay ahead?" given the rapidly changing retail landscape, newly emerging markets and aggressive global competitors.
Business Model
Wal-Mart operates under nine different retail formats through primarily three retailing subsidiaries: Wal-Mart Stores Division U.S., Sam's Club, and Wal-Mart International.
As per the Generic Strategies Framework of Michael Porter, Wal-Mart has adopted a strategy somewhere between "Focused Low-Cost" positioning and "Cost Leadership" where-in,
- Market scopeĀ Global operations cater to a......
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Approximate Word Count: 1353
Approximate Pages: 6 (250 words per double-spaced page)
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