Wal-Mart

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Category: Business and Industry

Date Submitted: 05/29/2013 03:16 PM

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The SWOT analysis gives both an internal and external view of the company, it contains four areas of examination and they are the companies' strengths, weaknesses, opportunities, and threats.

Strengths

* Being the largest company in the world with 260 Billion in sales.

* The company has a good reputation in the United States.

* The company makes good use of technology, especially in inventory management.

* The company has a huge lead ahead of its competition.

Weaknesses

* High turnover rate of employees.

* They face criticism for reliance on temporary and part-time workers as well as accusation in regards to violations of the child labor laws.

* Not attractive for employees due to low pay rates and lack of benefits.

* Despite being the worlds' largest retail company, Wal-Mart operates in only a handful of countries outside of the United States.

Opportunities

* The constant incorporation of state of the art technology gives the company a competitive edge.

* There are several potential international markets that the company can target.

* Wal-Mart has the opportunity to use different strategies for different markets, such as creating normal stores, super centers, and neighborhood markets.

Threats

* Wal-Mart is under the threat of heavy competition in both local and international markets, due to the fact that they are the number one company.

* The trends of stores that focus on one special areas of expertise are now threatening Wal-Mart (such as Best Buy for example).

* Political pressure and foreign laws can affect Wal-Marts operations in other countries.

Overview

It is difficult for Wal-Mart to maintain the level of growth they had, but as the SWOT Analysis showed, the company has what it takes to do it. The company’s' strengths assists them in fully utilizing the opportunities that are available, while at the same time, the company has to be cautious in addressing all of its problems, weaknesses, and threats in order to maintain its astonishing...