Wal-Mart: External Market Analysis
The objective of this study is to conduct an external market analysis for Wal-Mart and to analyze the HRM data trends and issues to identify appropriate strengths, weaknesses, opportunities, and threats from a global perspective. This information will be utilized as the basis for the strategic workforce improvement plan.
Wal-Mart is the largest retailer in the world as well as being the second-largest company in the world following Exxonmobile as well as the largest nongovernmental employer in the United States. Wal-Mart Stores, Inc. operates retail stores in all 50 U.S. states. Wal-Mart is reported to have labor relations issues and external threats due to competition. Low sales in the clothing lines due to reductions in personal consumption spending are reported in the apparel industry at a rate from somewhere between 5% and 15%. The hurt that was put on such as Ann Taylor and Talbots and that leaked over to Wal-Mart loss of sales as well.
The economy has been weak with a consumer survey reporting Nearly 130 million customers shop its 3,200 U.S. stores each week with only a little more than 45% shopping throughout the store and regular shoppers reporting sticking to low-margin basics, by passing a higher margin sections such as apparel” (Berner, p.67 cited in: Akkad, Chelune, and Coppolla, 2011, p.19) The competition derived from the global marketplace which is characterized by consumer quality increases and service receipts and competitions in the price game keep prices competitive with retailers searching for ways to increase profitability and experience growth in dismal times.
The strengths of Wal-Mart include the great market share that they hold and the offering of a great deal of business to both wholesalers and manufacturers. This provides Wal-Mart with a great deal of power because the threat of Wal-Mart switching to a different supplier would result in a panic to the suppliers of Wal-Mart. Wal-Mart deals with major suppliers such as Coca-Cola, and Proctor & Gamble providing Wal-Mart with more bargaining power than the smaller retailers. The entry barriers are high in this retailing sector and Wal-Mart’s distribution center is outstanding as are its locations, and brand name as well as Wal-Mart possessing the financial capital needed to fight competitors.
Wal-Mart’s clothing line has suffered greatly in sales due to the downturn of the economy.
Included in the opportunities of Wal-Mart is the ability to create a new more affordable line of apparel that would fit the budgets of families in today’s economy better. With the purchasing power of Wal-Mart and its global presence, the company should seek alternative clothing producers for its apparel line. Wal-Mart should additionally concentrate on increasing its online sales.
External factors for Wal-Mart includes both opportunities and threats including the opportunities of the rise in healthcare spending in the U.S. And the increase in online sales in addition to an increasing network of stores. Threats are due to intense competition and the effects of the subprime banking crisis.
V. Online Sales
It is reported that Wal-Mart Stores, Inc. reported that it had a growth in its online sales “more than 39% in the first quarter of the year  and that it planned to expand around the world.” (Davis, 2013, p.1) E-commerce will be a growing area of importance for Wal-Mart Stores, Inc. according to Chief Financial Officer, Charles Holly who stated specifically as follows:
“During the quarter, e-commerce sales increased by over 30%, and we continue to make strategic investments in the markets that offer us the greatest growth opportunity. We’re focusing this investment in key areas, including our global technology platform and next-generation fulfillment networks, as well as scaling additional markets around the world.” (Davis, 2013, p.1)
Also reported for Wal-Mart Stores Inc. was the following information:
(1) It is reported that Wal-Mart now ships in the U.S. alone order from 35 of its 4,000 stores in the U.S. compared to the previously reported shipping from 25. Goals have been set at 50 stores by the end of the year. It is reported that traffic to Wal-Mart’s U.S. e-commerce site “exceeds 45 monthly visitors and growth and conversion are accelerating.” (Davis, 2013, p.1) Davis also reports that Wal-Mart announced yesterday it had acquired two online technology startups and planned to hire 150 more staffers for its Walmart.com operations in Silicon Valley, which already employ 1,500.” (Davis, 2013, p.1)
(2) It is reported that in the U.K. The “Asda supermarket chain that Wal-Mart owns is the country’s second-largest online grocer, Wal-Mart says. Asda completed the rollout of Wi-Fi to its stores in the first quarter, making it easier for customers and employees to connect to the Internet via mobile devices. Asda also expanded its Click and Collect service that lets customers pick up web orders in stores to 100 stores, and opened a third e-commerce fulfillment center in Nottingham.” (Davis, 2013, p.1)
(3) It is reported that in Brazil, sales online “â€¦grew more than 40% in the first quarter and Walmart.com.br is now the most heavily visited e-commerce site, Wal-Mart claims.” (Davis, 2013, p.1)
(4) Reports state that in China, Yihaodian, an online retailer that Wal-Mart bought a controlling interest in last year, now offers same-day delivery in Beijing, Shanghai and Guangzhou. Yihaodian is No. 42 in the Internet Retailer Asia 500. (Davis, 2013, p.1)
Wal-Mart Stores, Inc. is acknowledging that it has some serious catching up to do in online sales if it is to compete with its present competitors because these stores are already established in terms of their online presence and their sales gained in online shopping transactions. Because of Wal-Mart Stores, Inc. low prices, there is little threat for new entrants that would pose a serious level of competition for Wal-Mart Stores, Inc. And there is little threat of substitution. Wal-Mart’s sales were quite strong online for the first quarter of 2013 and growth is projected for online sales for Wal-Mart Stores, Inc. For the remaining quarters of 2013.
The information reviewed in this study has highlighted the need for Wal-Mart Stores, Inc. To focus on training and education of employees to accommodate the growth in online sales and the necessity to use technology applications for these transactions. Wal-Mart Stores, Inc. will need to focus its HRM strategy on ensuring that employees are trained and educated to interact via website support chat and other technological requirements in the online shopping environment. Wal-Mart will need to continue to devote its focus on increasing online sales and in competing with other online retailers in today’s global marketplace. As well, Wal-Mart Stores, Inc. will do well to examine other apparel manufacturers and consider its own low-cost line of apparel for the family budget in today’s tough economy when people have very little to spend on apparel.
Wal-Mart Stores, Inc. is strong and is experiencing growth and expansion on a global basis however, the company must necessarily concentrate on how it can enhance the online shopping experience for its customers and must train employees to ensure that the online shopping experience is a pleasant one and one that is not too complicated or time-consuming.
Akkad, S., Chelune, T., and Coppola, C. (2011) Wal-Mart’s Strategic BMGT495-7380. University of Maryland; University College. 22 Nov. 2011.
Wal-Mart (2011). Corporate Facts Sheet. Retrieved from http://walmartstores.com/pressroom/factsheets/
Wal-Mart Corporate (2011). About us. Retrieved from https://walmartstores.com/AboutUs/
Walmartstores.com (2008). 2008 Annual Report. Retrieved from http://walmartstores.com/sites/annualreport/2008/docs/wal_mart_annual_report_2008.pdf
Yang, F. (2009) Strategic Analysis of Wal-Mart. 1 May 2009. Retrieved from: http://aladinrc.wrlc.org/bitstream/handle/1961/9446/Yang,%20Fan%20%202009S.pdf?sequence=1
Get Professional Assignment Help Cheaply
Are you busy and do not have time to handle your assignment? Are you scared that your paper will not make the grade? Do you have responsibilities that may hinder you from turning in your assignment on time? Are you tired and can barely handle your assignment? Are your grades inconsistent?
Whichever your reason is, it is valid! You can get professional academic help from our service at affordable rates. We have a team of professional academic writers who can handle all your assignments.
Why Choose Our Academic Writing Service?
- Plagiarism free papers
- Timely delivery
- Any deadline
- Skilled, Experienced Native English Writers
- Subject-relevant academic writer
- Adherence to paper instructions
- Ability to tackle bulk assignments
- Reasonable prices
- 24/7 Customer Support
- Get superb grades consistently
Online Academic Help With Different Subjects
Students barely have time to read. We got you! Have your literature essay or book review written without having the hassle of reading the book. You can get your literature paper custom-written for you by our literature specialists.
Do you struggle with finance? No need to torture yourself if finance is not your cup of tea. You can order your finance paper from our academic writing service and get 100% original work from competent finance experts.
While psychology may be an interesting subject, you may lack sufficient time to handle your assignments. Don’t despair; by using our academic writing service, you can be assured of perfect grades. Moreover, your grades will be consistent.
Engineering is quite a demanding subject. Students face a lot of pressure and barely have enough time to do what they love to do. Our academic writing service got you covered! Our engineering specialists follow the paper instructions and ensure timely delivery of the paper.
In the nursing course, you may have difficulties with literature reviews, annotated bibliographies, critical essays, and other assignments. Our nursing assignment writers will offer you professional nursing paper help at low prices.
Truth be told, sociology papers can be quite exhausting. Our academic writing service relieves you of fatigue, pressure, and stress. You can relax and have peace of mind as our academic writers handle your sociology assignment.
We take pride in having some of the best business writers in the industry. Our business writers have a lot of experience in the field. They are reliable, and you can be assured of a high-grade paper. They are able to handle business papers of any subject, length, deadline, and difficulty!
We boast of having some of the most experienced statistics experts in the industry. Our statistics experts have diverse skills, expertise, and knowledge to handle any kind of assignment. They have access to all kinds of software to get your assignment done.
Writing a law essay may prove to be an insurmountable obstacle, especially when you need to know the peculiarities of the legislative framework. Take advantage of our top-notch law specialists and get superb grades and 100% satisfaction.
What discipline/subjects do you deal in?
We have highlighted some of the most popular subjects we handle above. Those are just a tip of the iceberg. We deal in all academic disciplines since our writers are as diverse. They have been drawn from across all disciplines, and orders are assigned to those writers believed to be the best in the field. In a nutshell, there is no task we cannot handle; all you need to do is place your order with us. As long as your instructions are clear, just trust we shall deliver irrespective of the discipline.
Are your writers competent enough to handle my paper?
Our essay writers are graduates with bachelor's, masters, Ph.D., and doctorate degrees in various subjects. The minimum requirement to be an essay writer with our essay writing service is to have a college degree. All our academic writers have a minimum of two years of academic writing. We have a stringent recruitment process to ensure that we get only the most competent essay writers in the industry. We also ensure that the writers are handsomely compensated for their value. The majority of our writers are native English speakers. As such, the fluency of language and grammar is impeccable.
What if I don’t like the paper?
There is a very low likelihood that you won’t like the paper.
- When assigning your order, we match the paper’s discipline with the writer’s field/specialization. Since all our writers are graduates, we match the paper’s subject with the field the writer studied. For instance, if it’s a nursing paper, only a nursing graduate and writer will handle it. Furthermore, all our writers have academic writing experience and top-notch research skills.
- We have a quality assurance that reviews the paper before it gets to you. As such, we ensure that you get a paper that meets the required standard and will most definitely make the grade.
In the event that you don’t like your paper:
- The writer will revise the paper up to your pleasing. You have unlimited revisions. You simply need to highlight what specifically you don’t like about the paper, and the writer will make the amendments. The paper will be revised until you are satisfied. Revisions are free of charge
- We will have a different writer write the paper from scratch.
- Last resort, if the above does not work, we will refund your money.
Will the professor find out I didn’t write the paper myself?
Not at all. All papers are written from scratch. There is no way your tutor or instructor will realize that you did not write the paper yourself. In fact, we recommend using our assignment help services for consistent results.
What if the paper is plagiarized?
We check all papers for plagiarism before we submit them. We use powerful plagiarism checking software such as SafeAssign, LopesWrite, and Turnitin. We also upload the plagiarism report so that you can review it. We understand that plagiarism is academic suicide. We would not take the risk of submitting plagiarized work and jeopardize your academic journey. Furthermore, we do not sell or use prewritten papers, and each paper is written from scratch.
When will I get my paper?
You determine when you get the paper by setting the deadline when placing the order. All papers are delivered within the deadline. We are well aware that we operate in a time-sensitive industry. As such, we have laid out strategies to ensure that the client receives the paper on time and they never miss the deadline. We understand that papers that are submitted late have some points deducted. We do not want you to miss any points due to late submission. We work on beating deadlines by huge margins in order to ensure that you have ample time to review the paper before you submit it.
Will anyone find out that I used your services?
We have a privacy and confidentiality policy that guides our work. We NEVER share any customer information with third parties. Noone will ever know that you used our assignment help services. It’s only between you and us. We are bound by our policies to protect the customer’s identity and information. All your information, such as your names, phone number, email, order information, and so on, are protected. We have robust security systems that ensure that your data is protected. Hacking our systems is close to impossible, and it has never happened.
How our Assignment Help Service Works
1. Place an order
You fill all the paper instructions in the order form. Make sure you include all the helpful materials so that our academic writers can deliver the perfect paper. It will also help to eliminate unnecessary revisions.
2. Pay for the order
Proceed to pay for the paper so that it can be assigned to one of our expert academic writers. The paper subject is matched with the writer’s area of specialization.
3. Track the progress
You communicate with the writer and know about the progress of the paper. The client can ask the writer for drafts of the paper. The client can upload extra material and include additional instructions from the lecturer. Receive a paper.
4. Download the paper
The paper is sent to your email and uploaded to your personal account. You also get a plagiarism report attached to your paper.
PLACE THIS ORDER OR A SIMILAR ORDER WITH US TODAY AND GET A PERFECT SCORE!!!