Walmart

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Date Submitted: 09/06/2012 08:14 AM

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SWOT Analysis Wal-Mart

Strengths

Wal-Mart is a powerful retail brand. It has a reputation for value for money,convenience and a wide range of products all in one store.

Wal-Mart has grown substantially over recent years, and has experienced globalexpansion (for example its purchase of the United Kingdom based retailer ASDA).

The company has a core competence involving its use of information technologyto support its international logistics system. For example, it can see how individualproducts are performing country-wide, store-by-store at a glance. IT also supportsWal-Mart's efficient procurement.

A focused strategy is in place for human resource management and development.People are key to Wal-Mart's business and it invests time and money in trainingpeople, and retaining & developing them.

Weaknesses

Wal-Mart is the World's largest grocery retailer and control of its empire, despiteits IT advantages, could leave it weak in some areas due to the huge span of control.

Since Wal-Mart sell products across many sectors (such as clothing, food, orstationary), it may not have the flexibility of some of its more focusedcompetitors.

The company is global, but has has a presence in relatively few countriesWorldwide.

Opportunities

To take over, merge with, or form strategic alliances with other global retailers,focusing on specific markets such as Europe or the Greater China Region.

The stores are currently only trade in a relatively small number of countries.Therefore there are tremendous opportunities for future business in expandingconsumer markets, such as China and India.

New locations and store types offer Wal-Mart opportunities to exploit marketdevelopment. They diversified from large super centres, to local and mall-basedsites.

Opportunities exist for Wal-Mart to continue with its current strategy of large,super centres.

Threats

Being number one means that you are the target of competition, locally andglobally.

Being a global...