BUSN110 – Sec 113
Prof. Patricia Steger
SWOT Analysis: Wal-Mart
1. Problem/Opportunity Recognition: They have the opportunity to expand their brand to others market worldwide.
2. Situation Analysis (SWOT):
Strengths: * Improved productivity strategies that help them to be the first general-merchandise retailer in USA. * They are the outlines of strategies for competitors. Competitors follow them. * Strong managements in stores. * Broad range of products that try to meet the needs of every costumer target. * Use of IT to develop process and productivity. * Large organization that ensure a great buying capacity. | Weaknesses: * The control of this big organization might be weak in some points. * Dangerous low profits to ensure savings for costumers. * They have focused competitors in some areas. | Threats: * Their strategies can be copied and improved by competitors. * Heavy competitors in USA (Sears, Target, etc) * Overseas trades might pull down the prices as well as the profits. * Economy recession might reduce their gross income and affects inventory strategies. | Opportunities: * More worldwide expansion. * Internet shopping and home delivery. |
3. Objective (Problem definition): To find new market opportunities in other countries and develop them properly.
4. Major Alternatives (solve the problem) and 5. Evaluation of Alternatives
Alternative | Pros | Cons | 1. Create a researching and marketing department to investigate potential markets in other countries. | Helps to develop properly those new markets and minimize the failure risk. | Require large invest of money and more time in order to see the results. | 2. Merge with other organizations located in different countries to develop those markets. | Those local organizations know the market and it avoids the necessity of a researching and marketing