Wal-Mart Case Study

Wal-Mart Stores: Everyday low prices in China contingency HKU590 Harvard pipeline School Case preparation questions 1. Why is Wal-Mart successful in the U.S.? What are Wal-Marts competitive advantages and their sources? Walk-Mart sells brand name products at a cheaper price. misdirect purchasing items in bulk and trim back costs in every a nonher(prenominal) aspect of the business, the companionship brook claim unbeat commensurate low prices. Wal-Mart has developed partnerships with suppliers to keep its prices low. In adjoinition, Wal-Mart executives do non spend m unitaryy on anything that does not add value to the business and they do not count in frivolous expenses. When managers or executives travel, they still share hotel retinue! This allows the company to keep its expenses as low as attainable so that it can afford to price its products so low. Customers react to Wal-Marts promise of Every Day Low Prices, and ancestry in th at location because they know that they will save betwixt 15-20%. Wal-Mart keeps to its low promise. In addition, Wal-Mart focused on opening stores in small, one-horse towns. By doing this, the company capitalized on the needs of the citizens by providing affordable products at a convenient location.

Often these towns could scarcely support one store like Wal-Mart and because of this the company was able to bar other companies from entering the local market. Wal-Mart also implements a successful statistical distribution strategy, positioning its distribution centers at bottom a days drive of each st ore to ensure prompt and competent deliveri! es. Even with Sam Waltons death, Wal-Mart executives continue to stick to the vigilance rules Sam developed. Wal-Mart is successful not only because it makes sound strategical management decisions, but also for its innovative implementation of those strategic decisions. 2. What are some of the generic wine sources of a cost leaders strategy (answers are in your text.)? The cost leading strategy is an integrated situated of...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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