No, I do not claim they are a complete failure; they only do not really help the company compete with the rivals successfully and seeks improvement.If we consider the Support activities (Company Infrastructure, Human Resources, and Materials Management), the situation is better, but still there are numerous problems on every level of performance.
The antitrust committee watches closely any top-management activities of the enormous retail business leader.
If an acquisition of any type takes place in the U. All the cases mentioned above add up to the complication of the company’s structure through the need to hire more lawyers, PR specialists and crisis managers, whose services are quite costly and threat the Wal-Mart’s cost-cutting strategy. And that means Wal-Mart will have to deal with the increased costs for electricity of the superstores as well as the fuel for the company’s transportation and logistics system.
Some manufacturers care for their name and image so much, they have to refuse to cooperate with the U. largest retailer in order to preserve the initial quality of the product.
The suppliers are also not very happy with the Wal-Mart’s recent Asia-oriented supply chain – Chinese manufacturers are able to keep the costs impressively low and even the import burdens do not impede the joy of the deal.
Still, the success in Canada, Mexico and Britain shows there are significant business opportunities outside the U.
S., and they will provide the continuing growth rate the stockholders are so striving for.Another truly suggestive opportunity for Wal-Mart is going abroad, or rather going truly global.Certainly, such opportunity has certain threats, like the Wal-Mart case in Germany.Conquering foreign markets, especially Asian-Pacific ones will need careful consideration of the strategies and approaches, but the initiative would most probably be extremely rewarding.All free online essays, sample essays and essay examples on Wal-Mart topics are plagiarized and cannot be completely used in your school, college or university education.Let us now take a closer look at the strengths and weaknesses the company has to face in its internal environment.The major strengths are the pricing, convenience (availability) of the stores, the scale of business, and the capital accumulated, the ability to influence the suppliers and correspond with the customer preferences.Wal-Mart is still successful, but it has begun to lose the market share because low-pricing is no longer enough.The customer that is able to pay more will look for more sophisticated, unique products, for better services and for more comfort along the shopping-time.The local communities also pose a threat to the success of Wal-Mart’s growth and development strategy.They often oppose the construction of the new superstores, creating legal barriers and public opinion mobs in the area and bringing additional expenses to the overall procedure.