SWOT analysis, BCG Matrix
- 1. Content: • Introduction • SWOT Analysis • BCG Matrix • Growth strategy By Gulshan Maurya
- 2. Introduction • Walmart Inc. is an American multinational retail corporation that operates a chain of hypermarkets, discount department stores, and grocery stores across the world. • It was founded by Sam Walton in 1962 and was incorporated on October 31, 1969. • It's headquartered is in Bentonville, Arkansas. • As of July 31, 2019, Walmart has 11,389 stores and clubs in 27 countries.
- 3. SWOT Analysis Strength 1.Global organizational size 2.Global supply chain 3.High efficiency of supply chain Weaknesses 1.Thin profit margins 2.Easily copied business model 3.Competitive disadvantage against high-end specialty sellers. Opportunities 1.Expansion in developing countries 2.Improvement in human resource practices to develop competitiveness in the labour market 3.Improvement in quality standards. Threats 1.Healthy lifestyle trend 2.Aggressive competition 3.Online retailers of various sizes
- 4. BCG Matrix Sam’s club and International segment Cash CowsDogs Supercentres Sam’s club and International segment Neighbourhood market Discount stores
- 5. Its supercentres are the star. The supercentres provide almost everything to the consumers such as; pharmaceuticals, groceries, general merchandise, etc. It provides more than 28,000 products to consumers. Sam’s club are cash cow. As the Sam’s club has membership only, with cash and carry operations, which motivates consumers to visit the club as it also provide the financial service and credit card facilities. ? Neighbourhood market are the question mark for the Walmart, which needs proper strategies for increasing the market share. Discount stores are the dogs for the Walmart, as it is not bringing much benefit to the company.
- 6. Walmart’s Strategies for Growth Market Penetration Walmart’s main growth strategy is market penetration. this strategy entails selling more goods or services to the company’s current markets by giving discounts and related offers. Market Development. Market development involves offering the company’s existing goods and services to new markets. by opening new stores in countries where it does not yet have operations. This objective includes online presence for retail transactions.
- 7. Product Development. Walmart Inc. uses product development as a strategy for growing the retail business. product development involves developing and offering new products to the markets where the company currently has operations. Diversification. This growth strategy involves providing entirely new products in new markets, which are usually industries or sectors where the company does not yet operate. A strategic objective in using this growth strategy is to search for and acquire companies that can be integrated into Walmart’s existing operations, such as via the company’s e-commerce website.