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Submitted by wifsy on September 11, 2007
Category: Business
Words: 816 | Pages: 4
Views: 286
Popularity Rank: 25,428
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Wal-Mart Stores, Inc: On Becoming the World’s Largest Company (2002)
A. Executive Summary:
Purpose Statement:
The purpose of this study is to determine on how Wal-Mart had responded to one of the most challenging period in its history (2001) and study the ways on how to make the firm to continue to be the leading retailing store in the industry.
Problem Statement:
1. Slow consumer spending
2. Rising unemployment
3. Energy crisis
4. Terrorist events last September 11, 2001
Alternative Courses of Action:
1. Discover the possibility of introducing innovative practices.
2. Find new expansion programs
3. Expand and develop more marketing strategies
4. Mounting more stores abroad
5. Advancement in internet technology to allow better service of information and convenience
Methods of Analysis:
The methods of Analysis used in the case are SWOT Analysis, PEST Analysis and Financial analysis.
Recommendation:
The recommended alternatives can help the company lessen the current challenges it faced and help Wal-Mart stay as the leading retail store in the industry.
Conclusion:
Companies can expand globally to achieve benefits similar to diversifying into new industries. These industries can maintain their growth force and extend their competitive advantage into the new markets.
B. Methods of Analysis
PEST Analysis
Political Environment
The terrorist attack primarily changed the way many industries operated. The risks of the terrorist’s actions will likely to continue to grow as rebel and what their supporters looked for was to hurt American wellbeing around the world. This was also one of the problems Wal-Mart Stores have encountered which lead to a very difficult point in time in many retailing industry. Wal-Mart getting...
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