Recommendation for Walmart, Inc and its Online Presence

638 Words2 Pages

I. Bottom Line Recommendation Expanding Wal-Mart’s online presence is the most important opportunity that will help position the company more strongly for 2014 and beyond. Online retail and shopping sales has been growing consistently every year, not just in the US but worldwide. Not only does online shopping give customers more convenience, more variety, and more discreetness but it also gives customers better prices. While it is quite true that Wal-Mart has product variety and cheap prices – things customers want – the physical stores do not really give the convenience and discreteness that online retail and shopping does. This recommendation is the most critical to address because online shopping is worldwide. With Amazon currently dominating the online shopping industry, and quadrupling their sales of $15 billion to $61 billion within just the past five years, it is no question that they have to be doing something right. Online shopping is global. II. Three Opportunities 1) Trend towards healthier and more organic foods The trend towards healthier and organic foods is an opportunity that Wal-Mart can take advantage of. A recent survey shows that there has been a positive trend towards lower fat diets in the past decade. This data means that the general public is willing to improve their health and diet – a wide customer base Wal-Mart cannot ignore. Government and private sectors even made efforts towards guiding Americans to more healthful diets, through nutrition education and information efforts. 2) Growth of online retail and shopping Hoover describes Amazon as the Earth's biggest everything store. If Wal-Mart improved its online presence and online store, Wal-Mart can easily be the ne... ... middle of paper ... ...dors and competitors have been constantly rising. Last December, there has been more gifts and products bought from online stores like Amazon than physical stores for the holidays. Convenience is priority, not everyone has time to go around shopping in physical a store any longer, which is the benefit of online shopping; everyone has a smartphone or some sort of connection to the Internet. Wal-Mart should try its utmost to have a better online presence, especially since online retail is becoming very popular. IV. Summary of Analysis Wal-Mart is the biggest retail company in the world, and to say it will be like that forever is an illusion. The competition is very intense and if Wal-Mart does not take action, it could lead market share loss. Online retail and shopping is the perfect opportunity that Wal-Mart can take on, it is a risk Wal-Mart has to take.

Show More
Related

  • Consequences of Best Buy's Strategies

    1201 Words  | 3 Pages

    As seen in Exhibit F, Best Buy has 1,055 main locations that consist of their standard large format stores, and 406 Best Buy Mobile locations that focus on mobile device sales. To supply these locations, Best Buy has 23 distribution centers located throughout the country. Comparatively, Wal-Mart has 4,625 stores stocked by 158 strategically located distribution centers. This puts Wal-Mart at a huge advantage in a couple of ways. Not only is Wal-Mart much more likely to have a store nearby any given customer, they are also better equipped to keep its products in stock at all times. This means more customers visit, and due to stocking, more customers can make the purchase they want. On an international level, Wal-Mart also exceeds Best Buy’s few hundred stores with 6,308 stores in over 11 countries. This furthers Wal-Mart’s availability to customers and puts them at an advantage over Best Buy. Additionally, the increased scale of Wal-Mart’s retail and distributive operations make them extremely competitive on pricing, a major aspect of purchase decisions for high-ticket items like consumer electronics.

    Read More

  • Wal-Mart's Impact on American Economy: A Double-Edged Sword

    1042 Words  | 3 Pages

    When Wal-Mart establishes itself in a town, it makes its competitors to close their businesses since they cannot compete in the current market. There are several businesses that go out of business when this company sets up a branch in the town. However people don’t agree with this since customers are the ones who go to purchase goods from Wal-Mart. If there are people who should be blamed are the customers since they flock into the retail market to buy from them. This is the reason why these retail businesses are out of business. The reason that makes customers go to shop at Wal-Mart is that, there is ample parking, low prices and they also provide superior goods and services to the customers.Down town destruction started earlier before Wal-Mart was established. Wal-Mart is trying to bring with it new technologies that are aimed to cope with the current technologies. We ought to find new ways of doing things and this is exactly what is happening with Wal-Mart. For instance, Wal-Mart might be embracing technology to supplant it. Internet shopping might be some of the new business technologies that they are trying to embrace.

    Read More

  • Walmart

    1564 Words  | 4 Pages

    Thirdly, there are areas both domestic and abroad relatively untouched by Wal*Mart: large cities. Though it may seem like untapped potential in these markets, it is not recommended to expand in these highly populated areas. The axiom, “If it ain’t broke, don’t fix it,” applies: If Wal*Mart were to do an about-face and start expanding in this form, it would send mixed signals about not only changes in the corporate strategy, but also about the future of this conglomeration of stores. This is especially poignant at this volatile time in the price of their stocks. They should also be extremely cautious in the acquisition of existing discount retailing companies. As the industry becomes more concentrated, Wal*Mart’s selectivity in large acquisitions extends beyond just profits. Many times, Wal*Mart could better spend their resources by improving existing stores or building new ones because they can build them around their ideologies at a much lower cost than through purchasing other companies. Again, this is not to say they should not expand in this manner, just that they need to be extremely selective when doing so.

    Read More

  • Specialty Retail Industry

    1805 Words  | 4 Pages

    Key Issues The growing popularity of online retailing is attracting competition from traditional and online multi-retailers such as Wal-Mart and Amazon, which are gaining considerable market shares in many of the product segments included in the specialty retail sector. Currently, the majority of revenue is generated by store sales, but online sales from the stores’ websites are increasing. With the US dollar getting weaker, international sales from these US based websites are increasing too. This creates a significant positive outlook for the large incumbent players but also acts as a significant barrier of entry for new players.

    Read More

  • Walmart Swot Analysis Essay

    1603 Words  | 4 Pages

    In pervious years, Walmart has integrated an e-commerce aspect to their operations. The strength of this aspect is the vast physical advantage when compared with any online retailer.

    Read More

  • Amazon Case Study

    1751 Words  | 4 Pages

    Since the creation of Amazon in 1995, it has been a reference of adopting a successful strategy which has preserved over time; being the largest online store in the world nowadays. In addition, i...

    Read More

  • Walmart Strategic Analysis

    1778 Words  | 4 Pages

    Wal-Mart has a competitive advantage that helps set them apart from the others. They operate under economies of scale. Competition has a hard time matching superstores on price because they typical lack volume to negotiate better deals With the development of its own distribution center and scale of operations, Wal-Mart is able to order in larger quantity at lower prices and passed on the savings to its customers. This generates store traffic and supports a one-stop shopping experience.

    Read More

  • Swot Analysis Of Best Buy Company

    1056 Words  | 3 Pages

    ...ere Wal-Mart is accused of selling products at very low prices, which affects the other retailers in the market. Online marketing is also possible in this corporation and thus products are easily accessible to many customers.

    Read More

  • Amazon Creates Value for Customers

    1964 Words  | 4 Pages

    Amazon.com was a venture into an emerging market of internet and had to face hidden and unexpected hurdles in order to survive and excel in the market. Therefore, Amazon.com kept modifying its strategies with their focus on enhancing customer experience of online shopping and to delivery exceptional services with complete convenience to their customers. One of the major strategic decisions was to compromise on cost saving stragegy when Amazon.com started to maintain its own warehouses in different countries in order to ensure timely and accurate delivery to their customers

    Read More

  • Technological Amazon, Inc.: The Business Concept Of Amazon

    923 Words  | 2 Pages

    is a global company that offers internet retail shopping services. Amazon was an online book retailer established 21 years ago during the 1994s, and has grown exponentially in sales and size as the years have gone by. Jeffrey P. Bezos started it in July 1994 and has led to its success. It was possible because of the strategies Amazon used. Emerging of online banking on the internet gave rise to the idea of online shopping. To become a competitive firm strong strategies are to be made. Amazon positions itself as a low-cost retailer and offers a wide range of products and services via online which is unique in the internet retail business. Amazon competes healthily and preserves its competitive advantages as it constantly upgrades itself in the dynamic market. It also shows that Amazon can continue to grow and achieve it mission and vision of being "earth's most customer centric

    Read More

  • History and Success of Amazon Inc.

    766 Words  | 2 Pages

    Amazon has recorded a magnificent success in its business throughout the years that it has been in operation. It has attracted almost all people to use it when necessary. Amazon has built its success in business methodically and slowly. Amazon has made much success because of its ability to read market trends and diversify its operations. It started as an online book selling company. However, it changed its operations and started selling other products. Currently, many large retail shops use Amazon to host and power their websites, for instance, sears and virgin megastores. Amazon now attracts over fifty million visitors in a period of one month. Amazon has tried to make their services fit each individual user. It has based its services on the end user. It has shipping discounts, customer product reviews and a credit card with bonuses. It also has prime membership, product forums and 1-click ordering system among other services. The company has tried to make a remarkable experience for customers and visitors (Thomas, 2006).

    Read More

  • Walmart's Latest E-Commerce Strategy In The Business?

    1070 Words  | 3 Pages

    While Walmart has seen success in their On-line expansion it is still small potatoes compared to their in store sales. Walmart has grown to be the largest brick and mortar retailer in the world. A key challenge is not sacrificing the success of their retail stores to compete in the E-commerce market.

    Read More

  • Internal Challenges In The Amazon By Jeffery Bezos

    834 Words  | 2 Pages

    The Amazon was founded in 1994 by Jeffery Bezos with a sole aim of exploiting the internet to reach more and more customers given the fact that internet was increasing at a rapid phase. However, the company was at first focused on online bookstore but as it grew it invested in other goods such as electrical appliances. Currently, the company is placed in top 100 lists of fortune companies despite the ever growing competition in the online retailing business in the world today. However, the company has never fallen short of ideas, concepts, and strategies aimed at monitoring and developing plans that can put Amazon at the leading place in the global Internet retailing industry. This assignment will attempt to cover in details how Amazon can

    Read More

  • Global Stricing Strategy: Walmart's Global Marketing Strategy

    733 Words  | 2 Pages

    Walmart is the world’s largest retailer. Its revenue was considered as GDP it would be 23 countries ahead of Sweden. Walmart has 4 different segments Walmart stores, Sam’s club, international, and other private labels. Walmart has great strengths like efficient supply chain cross docking and inventory management, service innovation, strong penetration and is the world’s largest private satellite communication system. With every company they also have weakness like poor public image, unable to adapt internationally and strict labor laws. Walmart have come across some great opportunities over the years. They have opportunities like globalization in the middle class globally, e-business and inorganic growth leading to consolidation. They have also encounter some threats

    Read More

  • Benefits Of Walmart

    715 Words  | 2 Pages

    At the first, Wal-Mart only operates its business in home country. However, Wal-Mart became more integrated and independent by expanding internationally. In 1991, Wal-Mart start expands the business at international level which includes 26 countries outside of the United State such as Mexico, China and Canada. Now, Wal-Mart totally has more than 6100 stores in foreign country. The step taken by Wal-Mart is to improve and maintain their achievement outside of the home country. Wal-Mart’s strategy which expands their market at international level gains a lot of benefit to their business.

    Read More

More about Recommendation for Walmart, Inc and its Online Presence

Open Document