The Wal-Mart Corporation is known for its expanding of business as a market strategy. The Wal-Mart successfully expanded their business through branching out in different states of the United States as well as the other countries. Recently the Wal-Mart Corporation operates four thousand stores across the world, including the 1, 200 stores that are operating abroad. The corporation employs 1.3 million workers and is now recognize as the largest retailer in the United States that serves more than one million consumers every week in different state in US. The impressive long –economic performance of the Wal-Mart is because of its target location, numbers of work force, real estate, and the immense presence. The corporation manages their wealth and size efficiently in which the competitors failed to perform. In addition, the Wal-Mart preserve their old familiar outlets and at the same time improving the brand familiarity. The Wal-Mart Corporation is known for its retail business and one of the leading retail markets in the United States as a result of their effective management strategies they utilize. The Wal-Mart Corporation’s management strategies centers on the culture in the corporation and culture of the employees. The corporation proved that they listens to their employees needs. Furthermore, the corporation provides their employees with generous financial rewards through plans for sharing of profits such as the alternatives for purchasing of stocks. The Wal-Mart Corporation has three effective strategies and these are the growth of the corporation as a result of the expansion in the United States as well as abroad, lead the retail market everywhere, and making name familiarity and positive brand (Hayden et al 2002). The Wal-Mart plays a significant role in the economy of the United States because of its revenue. The economic growth of the Wal-Mart Corporation corresponded with the variety of available trends in the retail sector in United States. In this view, the rise of the Wal-Mart Corporation contributes to the massive changes in the patterns of trade, technology, and the preferences of the customers. The success and advantage of the Wal-Mart Corporation in the market competition were not completely explored and understand. The Wal-Mart successful taken down the competitors because scholars claimed the single store retailers were not efficient enough compared to the chain retailer, also chain retailers focuses on the investment on the information technology. Furthermore, Wal-Mart is the leading corporation that utilizes Radio Frequency Identification, where in it receives tag that can only be read by a signal of the radio. The Wal-Mart Corporation established their business on the locations they believed to be profitable. The corporation became a main contributor to the entire increase of the productivity of business and workers in retail sector because of Wal-Mart’s arrangement of density, scope, expertise in technology, and scale economies. The corporation hires numerous employees when they open a new store that has a positive effect on the net on the job despite the minimum amount. The impressive economic performance of the Wal-Mart Corporation in the retail sector is because of its lower prices offered to the customers. The technological improvement and the suppliers around the world become more and more connected with their downstream consumers (Basker 2007).
In the global environment, the Wal-Mart Corporation always follows the government regulation through conducting a comprehensive check of the regulatory prerequisites that has been carried out before performing the export and import of products, establishing internal controls to make sure that the observance with all the regulatory necessities, together with the obligations for record keeping, and making sure that documentation of prices, description, participants in the transaction is correct and complete (Wal-Mart n.d). In addition, Wal-Mart Corporation attempts to take the global approach through business leaders, regulations implemented by the government, and experts on subject matter that deals with local market, international, state, as well as the federal level. The corporation cooperates with the non-government organization in order to enhance the lives of the consumers, supply chains, and workers and shape the public policy (Wal-Mart 2015). The Wal-Mart Corporation approach to global market is through expansion of business into several different countries. However, entering in a global market means different laws and culture that could contribute to Wal-Mart’s expenditure and risk in entering in the global market. In this view, the Wal-Mart Corporation use of the strategy of multinational business which enable the company to enter into the global market and effectively manage the different culture and laws. This strategy is intended for international level where in it entails different consumers for several different states should be treated differently thereby resulting to high profitability and productivity of the company. The Wal-Mart Corporation centers on the diversity and they accommodate the consumer based on their preferences and their country. In addition, expanding business outside the United States can create challenges for Wal-Mart Corporation such as the different suppliers from different countries that would meet the preferences of the different consumers. Thus, cultural understanding where the company operates if very critical and it could influence the way the corporation operates (Wei et al n.d).
References
Basker, E. (2007). The Causes and Consequences of Wal-Mart’s Growth. Journal of Economic
Perspective, Vol. 21(3), pp. 177 - 198
Hayden, P.; Lee, S.; McMahon, K. & Pereira, M. (2002). Wal-Mart Staying on Top of the
Fortune 500 – A Case Study on Wal-Mart Stores Inc [PDF Document]. Retrieved from: Research Gate website: https://www.researchgate.net/file.PostFileLoader.html?idassetKey
Wal-Mart. (2015). Global Responsibility Report [PDF Document]. Retrieved from Wal-Mart
website: http://s2.q4cdn.com/056532643/files/doc_financials/2015/annual/2015-global-responsibility-report.pdf
Wal-Mart. (n.d). Global Statement of Ethics [PDF Document]. Retrieved from Wal-Mart
website: http://www.walmartethics.com/uploadedFiles/Content/U.S.%20-%20English.pdf
Wei, L.; Wang, S.; Zhang, J. & Ao, Y.(n.d). Strategic Analysis For: Walmart [PDF Document].
Retrieved from Simon Fraser University website: https://www.sfu.ca/~sheppard/478/syn/1137/G_6_1137.pdf
