WALL Mart Company
Strength
- Strong customer loyalty
2- A well recognized brand all over the world.
3- Affordable pricing
4- Offers customer oriented products
5- Diversified/differentiated products
6- Wal-Mart shares its stock and profits with its employees.
7- Customers who are members of SAM’s club are able to buy in bulk.
8- Offers Satisfaction Guaranteed Program to create goodwill amongst its customers.
WEAKNESSES
1- Wal-Mart has no formal mission statement.
2- Wal-Mart‘s has a vast product line but may lack some flexibility to
compete against its rivals in some sectors.
3- No reaction towards the incompetent employees.[sky]
4- Store policies are obsolete.
5- Lack of female employees’ empowerment.
6- Wal-Mart faces many difficulties in countries like India and China.
OPPORTUNITIES
1- In the economic slowdown many consumers prefer to bargain, this will
benefit Wal-Mart to further increase its sales.
2- As many retail businesses are on decline due to drop off in disposable
incomes. Therefore,Wal-Mart is able to increase its customer base by
providing bargaining to the potential customers.
3- Online shopping has become very common.
4- European and Asian market are still unexploited by retailers.
5- Consumer’s buying patterns are similar worldwide.
6- The retail sales are expected to increase in the long term.
7- Strong distribution network.
THREATS
1- Strong competitions amongst its rivals.
2- As a global retailer, Wal-Mart has to face political instability in the country
which they operate in.
3- Intense price competition can become a threat to the company as the
manufacturing cost becomes low because of outsourcing from other regions
of the world and therefore has lead to price deflation.
STRENGTHS/OPPORTUNITIES (SO
STRATEGIES):
1- Being a well recognized brand known as retail market leader, Wal-Mart
can take advantage of this major strength by allowing customers to go for
bargain and offers discounts as well while other retailers don’t do this so
often. (S1,O1)
2- During economic slowdown most of the people disposable income gets
reduced. At this time, Wal-Mart is able to gain/retain customer’s loyalty by
offering products at affordable prices. (S3, O2).
3- As the trend of online shopping has grown more over the years, Wal-Mart
can keep its customer up to date and allows them to order online by offering
customer oriented products. (S4,O3)
WEAKNESSES/OPPORTUNITIES (WO STRATEGIES):
1- Wal-Mart has to set a clear mission statement as there is lot of potential increase in retail business
in the future and this is one of the reasons, Walmart could not achieve profits in other countries like
India. (W1,O6)
2- Since customer buying patterns are similar across the world, Wal-Mart can update its customers
about its new products and policies on internet as well. (W4,O3)
3- European and Asian markets are still unexposed to retail shopping; Wal-Mart can make use of this
advantage by market expansion in other locations of the world by offering products at cheap prices
specifically at the time of economic instability. (W6,O4)
4- Wal-Mart can also widen its distribution worldwide by exploiting countries unlike its domestic
market. (W6,O7)
5- Wal-Mart should provide benefits to its employees who will boost up the morale of the employees
and leads towards the sustainable growth of the organization. (W5,O6)
STRENGTHS/THREATS (ST STRATEGIES):
1- Wal-Mart has a strong brand image; it can face a massive competition against its rivals. This can be
avoidable by offering differentiated products at affordable prices (S1, T1) (S5, T1).
2- Wal-Mart has been able to develop a brand value that is able to sustain itself even at the time of
economic/political instability in the country which they are operating by introducing differentiated
products and satisfied guaranteed programs to create goodwill with the customers (S5,T2) (S8,T2).
WEAKNESSES/THREATS (WT STRATEGIES):
1- To avoid any tough competition, Wal-Mart should focus on existing product line or to remain above
the competition by investing more on advertising campaign to keep its competitors always on pressure
(W2, T1).
2- Make a thorough study of the foreign market and adapt according to their culture to establish itself
in the Asian/European market.(W6,T2)
https://www.slideshare.net/anwar_shah4528/walmart-10930437
