SWOT
? They were not globally known so it would be difficult for them to create a brand fix globally.
OPPURTINITIES
? They can further expand globally where they can explore new areas and markets where no body else is reaching.
THREATS
? They are facing disceptation in local markets.
? Competitors may imitate their strategy.
? Intense determine Competition
? Legal and political issues
STRENGTH
? Information Technology :
They have a strong information technology system as implement EDI, Information system, UPC at POS, Satellite system, Pick to light system, marketer management inventory system which was not implemented by any other competitor.
? Supply Chain (Strong). They had a yearn term relationship with the supplier as there was no non sense negotiator as they eliminated the manufacture representative from negotiation with the suppliers.
? They were focused on Human resource and development as associates were considered a key to success for Wal-Mart.
WEAKNESS
GENERIC STRATEGY
Cost Leadership
? Wal-Mart commits to cede quality products with the lowest price
? Store Managers are given authorization to lower prices based on the local competition.
? Stores are make in b read of large cities and communities with the warehouse appearance that handsome them the competition advantages in leasing and maintenance costs.
Differentiation
? They were differentiating in a dash they have an Excellent Inventory System
o Focus especially on eliminating less profitable products and reducing the variety of products in a given category.
o Restructure the flow of goods from maker to the store shelf. The gameyer quick turnover results in more than turns and therefore less inventory.
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VALUE CHAIN
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PORTER FIVE soak up MODEL
Threat to Entry LOW
BARRIER TO ENTRY - HIGH
Economies of Scale is high: IT can deter entry by forcing the entrant to enumerate at...
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