This website uses cookies to ensure you have the best experience. Learn more

Market Trends For Wal Mart Essay

1997 words - 8 pages

Market trends refer to the general movement of an investment market (wiseGeek, 2009). In every aspect of the any business, market trends are important and should be evaluated to help with key initiatives. Wal-Mart, Inc.'s senior executives will help to make key decisions on challenges ahead or key issues facing the companying on a short and long-term basis. For this week's team paper, market trends will be reviewed in the areas of market structure, new companies entering the market, prices, technology, and productivity. Furthermore, additional trends will be reviewed as it relates to cost structure, price elasticity of demand, competitors, supply and demand, and impact of government regulations.Market StructureWal-Mart, being the leader in retail, has strategized during this season to maximize profits for its store, contingent upon its competitors' strategy. As (Colander, 2008) explains how organizations in an oligopoly market reacts, "If my competitors act one way, I'll do X, but if they act another way, I'll do Y" (p. 289). For example, in reaction to its competitors' advertising and to ensure that it remains ahead of this market trend, Wal-Mart kicked off its "Pre after Thanksgiving" sales on November 21, by offering between 42% to 60% savings off its already low prices (Wal-Mart 2009a). According to its website, "U.S. Shoppers who want to get a jump start this weekend can find values in Entertainment they would expect to see after Thanksgiving Day. We will continue to deliver amazing savings on popular items, and to do so often." As retailers continue to compete with each other for business, shoppers will continue to reap the benefits.Impact of New CompaniesAs new companies enter the market on a global level, keeping prices low will be a key aspect. Although Wal-Mart's focus is keeping consumers happy by offering low everyday prices (Wal-Mart Website, 2009) this strategy will continue to allow Wal-Mart greater success. As more companies enter the market, this may allow Wal-Mart an opportunity to drive prices even lower domestically and globally. To continue with low prices on a global front, Wal-Mart must continue to focus on their International Segment. One of Wal-mart's former presidents and CEO of the International segment stated "We need to be the growth of Wal-Mart some day when the United States slows down" (as cited in Molin, 2004). The International Segment generated about 24.6%, which includes various components of discount stores, supercenters and Sam's Clubs operating outside the United States (Wal-Mart 2009d Annual Report, p 15 para 7). For 2009, foreign currency exchange rates had an unfavorable impact of $2.3 billion for this segment (Wal-Mart 2009e Annual Report, p 16 para 5). Because exchange rates are not usually predicted or stable, this may continue to be an issue for Wal-Mart's International Segment.PricesOne of Wal-Mart's commitments is to provide everyday low prices. This commitment has been an obstacle for the retail...

Find Another Essay On Market Trends for Wal-Mart

Is Wal-mart good for Overseas Workers?

818 words - 4 pages became the number one food retailer in the nation. What led Wal-mart from starting out as a rookie grocery market to becoming a dominating, world-wide supercenter? The answer is in their prices, which is generally 15 percent lower than their competitors’. (Fisherman) For this very reason, Wal-mart has changed the lives of many, including the spending habits of the shoppers and the working environments of the factory workers overseas who produces

Wal-Mart - Great for Shoppers, Bad for Competitors

554 words - 2 pages Wal-Mart - Great for Shoppers, Bad for Competitors Wal-Mart can be a virus and a cure, since it has its pros and cons depending on the critiques perspective. From my point of view, Wal-Mart is an extremely efficient superstore, with amazing marketing skills, and coordination. However, Wal-Mart is also a bully and price decider, therefore, Wal-Mart is great for shoppers and bad for competitors. As a student; Wal-Mart is my primary resort

Design a Basic Compensation Plan for Wal-Mart in China

1897 words - 8 pages satisfaction. Wal-Mart's compensation plan for international companies especially china consists of many different elements that would reflect China and their labour laws along with the company's rules and regulation. Wal-Mart takes great pride in training their worker to do and be the best they are while on the job. It also meets with its employee every morning to market to reassure them of their roles as a part of the family and how to make

The quest for best Aldi vs Wal-Mart

995 words - 4 pages In today’s world, saving as much money as possible is very important to many people. Grocery shopping is probably the time many people spend most of their paycheck. Wal-Mart is often the place many will go, because of the low prices available. Another store also offers low prices, almost consistently more than Wal-Mart. The store’s name is Aldi, and it is a great store for those customers who are in a rush, and want to save money In

Using Forecasting, Regression and Decision Making Analysis for Wal-Mart Opening New Department in St. Catharines, Canada

3216 words - 13 pages strive to do and achieve.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 training people, and retaining them.EFFECITIVE USE OF LOGISTICS MANAGEMENT, EFFECTIVE INVENTORY CONTROL, BARGAINING POWER OVER SUPPLIERS, GLOBAL EXPANSION FOR NEW MARKET OPPORTUNITYWeaknessesWal-Mart is the World's largest grocery retailer and control of its empire, despite its

Wal-Mart: The Challenge of Making Relationships with Stakeholders

1161 words - 5 pages diverse groups: market stakeholders (shareholders, employees, consumers, and suppliers and non-market stakeholders (labor unions and environmental stakeholders). Market Stakeholders Shareholders With the shareholders, whose focus is to see profit, Wal-Mart ranks number one, 2008 per Fortune 500 magazine and listed as the 13th most profitable company with $11.3 billion dollars in earnings for 2006. Shareholders equity is over $64 million dollars

Is Walmart Good?

1085 words - 4 pages $100 billion annually, or $600 for the average America family (Maich 6). These savings for consumers and families are astounding. This data is not only about for those who shop at Wal-Mart but this data is about all consumers. This is so because “Wal-Mart sells for less, it forces competitors to cut prices in order to compete” (Maich 6). A study by a UBS Warburg analysts show the impact Wal-Mart has on competition and on the market. The analyst

Company Selection Paper

1223 words - 5 pages revenues and expenses for an allotted period. The allotted period usually consist of a month, quarter, or fiscal year. Next, the balance sheet is a breakdown of all assets, liabilities, and owners equity at a given point. The statement of retained earnings displays changes and trends in the owner's equity over a period. Finally, the statement of cash flows shows a breakdown of cash coming in and leaving the entity.Both Wal-Mart and Target make good

A Target on Wal-Mart

1372 words - 5 pages Wal-Mart is the largest company in the world; Wal-Mart employs 2.1 million workers worldwide with revenue of more than $405 Million for the year 2009. Its operations are based primary in the United States, but have begun to expand to other countries. According to Wal-Mart Annual report Wal-Mart has over 8,400 retail units under 55 different banners in 15 countries. This research will analyze the current market conditions of Wal-Mart

Eco 365 week 5 individual

1352 words - 5 pages generic line by approximately80 new products, boasting that the products are an average of 40 percent lower than popular brands. The company has reported75 percent of its shoppers look for better values on household and snack items. Wal-Mart has once again answered and delivered a way to stay competitive. (Pinsker, Beth)Composition of inputsMajor Competitors, like Kmart, are floundering in the current market. This only seems to be a boost for Wal

Strategic planning for walmart. The past, present and future

4246 words - 17 pages . This will have positive impact on both firms. Wal-mart will gain knowledge about local requirements, trends, political structure and contacts from Bharti. On the other hand, Bharti will gain access to framework, tools, brand, learnings and buying power of Wal-mart which are essential for success in untapped Indian market. As a part of international expansion strategy, Wal-mart expanded country by country. It realized that it is necessary to

Similar Essays

Wal Mart And Its Market Struct Essay

602 words - 2 pages be the leading grocer and retailer in the nation.At the end of 1996, Wal-Mart Supercenters had a 62% share of total supercenter sales. The sales for 1996 totaled $17.78 billion, up from the $11.51 billion for the previous year. These numbers, and Wal-Mart's other numbers continue to grow year after year, and at this rate it may be hard to maintain a monopolistic competition market structure. They may have no choice but to consider themselves an oligopoly.

Wal Mart Uses Bribery To Enter The International Market

914 words - 4 pages Wal-Mart, being one of the largest and most successful companies in the U.S has looked for expansion overseas. The company has a very strong market research team that analyzes the different options and opportunities, and now it has more than 10,000 stores in 27 countries. However, the means Wal-Mart used to enter in some of those markets have been questioned. Investigations have shown that the company bribed officials in several countries to

Marketing Plan For Wal Mart Essay

6596 words - 26 pages can have a significant impact on total revenue.However, taking the vast scope of Wal-Mart into consideration, along with the diversification of its stores and products and its ability of absorbing losses, these market challenges can indeed be surmountable. The key is to make sure that the correct marketing procedures and methods being conducted properly.The computer repair and maintenance industry can be a very profitable venture for the

International Strategy For Wal Mart Essay

1058 words - 4 pages is the world's largest retailer and continues to push its international market in the event that its U.S. market slows down. Mexico was the first testing ground for Wal-Mart International where they went in and just acquired existing stores-and that became a common theme in other countries like the UK, Germany, and Japan. The strategy of corporate take over puts the company at a great advantage-the competition is eliminated, they acquire real