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Wal Mart
FAST FACTS:

Type: Founded: Founder: Headquarters: Area served: Key people: (CEO): Industry: Products: Markets Revenue:

Public (NYSE: WMT) 1962 in Rogers, Arkansas, USA Sam Walton Bentonville, Arkansas, USA Worldwide Mike Duke H. Lee Scott Retailing Discount Stores, Super centers, Neighborhood US$ 404.16 Billion US$ 30.07 Billion US$ 13.59 Billion US$ 163.514 Billion US$ 64.608 Billion approx. 2,100,000 www.walmartstores.com www.walmart.com

Operating income: Net income: Total assets: Total equity: Employees: Website:

Introduction:
Wal-Mart Stores, Inc. is an American public corporation that runs a chain of large, discount department stores. It is the world's largest public corporation by revenue, according to the 2008 Fortune Global 500. Founded by Sam Walton in 1962.The company was incorporated
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as Wal-Mart Stores, Inc. on October 31, 1969. In 1970, it opened its home office and first distribution center in Bentonville, Arkansas. It had 38 stores operating with 1,500 employees and sales of $44.2 million. It began trading stock as a publicly held company on October 1, 1972, and was soon listed on the New York Stock Exchange. The first stock split occurred in May 1971 at a market price of $47. By this time, Wal-Mart was operating in five states: Arkansas, Kansas, Louisiana, Missouri, and Oklahoma; it entered Tennessee in 1973 and Kentucky and Mississippi in 1974. As it moved into Texas in 1975, there were 125 stores with 7,500 employees and total sales of $340.3 million. Wal-Mart Stores Inc. is synonymous with low prices and name brand quality products. The company basis of success and foundations cannot be credited to the Sam Walton. Wal-Mart formula for success simply put is their relationship with customers, employees, and technology that assists in forming relationships with their suppliers; places Wal-Mart Stores Inc. as the top discount retailer. Sam Walton led Walmart to become the top discount retailer. The Mega Corporation has eliminated top competitors such as Kmart and Sears to reign supreme over the discount retailing market. Walmart promotes programs such as stock options and financial rewards, but these programs are for full time employees. Walmart works internally by using procedures and programs to assure success with the company.

Wal-Mart Strategy:
Let's start with technology. Wal-Mart pushed the retail industry to establish the universal bar code, which forced manufacturers to adopt common labeling. The bar allowed retailers to generate all kinds of information -- creating a subtle shift of power from manufacturers to retailers.

A universal Bar Code

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Wal-Mart became especially good at exploiting the information behind the bar code and is considered a pioneer in developing sophisticated technology to track its inventory and cut the fat out of its supply chain. Recently, Wal-Mart became the first major retailer to demand manufacturers use radio frequency identification technology (RFID). The technology uses radio frequencies to transmit data stored on small tags attached to pallets or individual products. RFID tags hold significantly more data than bar codes.

Vision Statement:
To become the worldwide leader in retailing

Mission Statement:
Our fist responsibility is to provide all consumers, the best products and services with guaranteed satisfaction under one roof. Wal-mart provides a wide array of products like toys, electronics, groceries, jewelry, ladies, men, and childrens apparel, and hard goods at reasonable prices. We will continue to offer scholarships to deserving high-school graduates in hopes of providing students with a well-deserved education. Consumers have been conveniently provided not only with the use of on-line shopping to show without ever leaving home, but also with the concept of one-stop shopping. The Wal-mart team is devoted to everything that Walmart has accomplished as a universal competitor. We are dedicated in recruiting rewarding, and retaining employees of good moral standing by providing benefits for excellent performance, providing clean environments to work in, and by providing equalopportunity for all individuals We will continue to offer the highest quality products at the lowest price to strive to be the best in the retail industry.

Mission Statement Components:

1. Customers 2. Products or services 3. Markets 4. Technology
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5. Concern for survival, profitability, growth 6. Philosophy 7. Self-concept 8. Concern for public image 9. Concern for employees

Strategy- Formulation Analytical Framework:

Stage 1: The Input Stage
External Factor Evaluation Factor (EFE) Matrix (IFE) Matrix Competitive Profile Matrix (CPM) Internal Evaluation

Stage 2: The Matching Stage

Strength-Weakness Strategic Position and Grand Opportunities-Threats Action Evaluation Strategy (SWOT) Matrix (SPACE) Matrix Matrix Matrix Boston Consulting Group (BCG) Matrix Internal External (IE)

Stage 3: The Decision Stage

Quantitative strategic Planning Matrix (QSPM)

Strengths:

Customer oriented SAMS Club customers able to buy in bulk Super centers offer one stop shopping Satisfaction guaranteed programs promoting customer goodwill

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Buy from local merchants when possible Stock ownership and profit-sharing with employees Leads industry in information technology Ongoing development of its employees Strong community involvement

Weaknesses:
No formal mission statement Membership only for SAMS Club Keep poor performing employees on hand Old fashioned store policies Few women and minorities in top management

Opportunities:
Consumers want ease of shopping Internet shopping growing Dollar value increasing Similar shopping patterns worldwide Retail sales expected to increase Environment conscious consumers Elderly population growing Asian market virtually untapped by retail European Market untapped by retail

Threats:
Regulation of Wal-Mart pharmacies Small towns do not want entry of Wal-Mart Bad media exposure for Kathie Lee Brand Variety of competition nationally, regionally and locally
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Substitute products more easily because of intense competition

Internal factor evaluation Model (IFE) Matrix of Wal Mart:

Key Inter
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External Factor Evaluation (EFE) Matrix of Wal Mart:

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Key Exte Opportun

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Competitive Profile Matrix of Wal Mart:

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Critical S Factors
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SWOT Analysis of Wal Mart:

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Opportun 1. Cons
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Strategic Position and Action Evaluation (SPACE) Matrix of Wal Mart:

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Wal Mart is an excellent Position, therefore adopt Aggressive type of strategies that are: Market Penetration Market Development Product Development Vertical Integration Horizontal Integration Conglomerate Diversification Concentric Diversification Combination of all strategies that is feasible.

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Grand Strategy Matrix of Wal Mart:

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BCG Matrix for Wal Mart:

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The Internal-External (IE) Matrix of Wal Mart:

IFE Wei
Wal Mart can be best managed by Hold and Maintain Strategies
that are: Market Penetration Product Development
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Quantitative Strategic Planning Model [QSPM] of Wal Mart:

Key Exte
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