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Wal Marts Entry Into India - Distribution Policy

Wal-Mart’s Entry into India
Distribution Policy
Dersou C

When one thinks of the world’s largest retailer, there is one that consistently stands out. This is without a doubt, Wal Mart. This fortune 500 company has since its incorporation in 1962 shown continuous growth, and has become the star of modern day retailing. Their slogan: (which has changed over the years to better fit the current environment) “Save Money, Live Better” has proven to be a positive reflection of their corporate strategy; that has over the years shown a sign of constructive development.

Thus Wal Mart’s expectations are raised above the bar. It is for this reason that Wal Mart is required to live up to its name and provide the standard for others to follow. A method, which Wal Mart has followed to achieve this, is that of international expansion. Through this Wal Mart, can not only lead to the way of retailers of the American market, but also for the World.

The country that has come to Wal Mart’s attention is that of India. This country situated in the Asian sub continent has shown some positive macro environmental signs that will be the incentives to Wal Mart’s. This report will have an overview on these macro environmental forces that will help shape Wal Mart’s expansion into India. It will also provide a clue on the distribution policy that Wal Mart will follow. But first, some historical information on “THE” retailer.

The Wal Mart Story

Wal Mart had its humble beginning in Arkansas in the United States. SamWalton the founder of Wal Mart, had to change from several locations before finally setting up his first store (under a different name; the name Wal Mart appeared in the early 1960’s). Mr.Walton found that he could pass on considerable savings to his customers, and his business grew.

This success, led to the opening of several new stores in the state. And over the next 20 years he was able to open stores in other states, acquired some other retailers...