...Walmart- China 1. Customers patronize Wal-Mart China stores because they have low prices which are a great asset to china’s consumers who are more cost sensitive than other countries. Although, China’s consumers like to go to store after store to find the cheapest price, and of course Wal-Mart contains those low prices. Wal-Mart also established through studies and research that China’s customers valued great customer satisfaction which in return they displayed their loyalty by coming back over and over. Therefore, making some consumers skeptical to shift to Wal-Mart. Sustainability means everything to customers in China because like mentioned before consumers are loyal to the companies in which they have previously interacted with. Consumers in China become return customers if you have to sustain the great service expected from the customers. China’s consumers are not to kind on change, but as long as you provide the best service possible over and over they will continue to comeback. 2. Wal-Mart also has to consider sustainability when deciding their vendors. In order for Wal-Mart to be as successful as they are, they have to have top of the line products from top of the line vendors. Therefore, reliability is a must. As mentioned in the case, there were complications between Wal-Mart and the vendors specifically when it came to the Return to Vendors Programs. There was no control over the time the vendors had to collect the products that were unusable or destroyed which was...
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... Wal-Mart is one of the world’s largest retail stores across the nation. They are the leaders in employment opportunity, sustainability, and corporate philanthropy (Wal-Mart, 2012). Wal-Mart has 10,020 stores in more than 28 countries. They employ 2.2 million people and serve 176 million customers per year (Wal-Mart, 2012). This paper will look at Wal-Mart and analyze environmental factors that have effects on Wal-Marts marketing decisions both domestically and internationally. Global Economic Interdependence and the Effect of Trade Practices and Agreements Global Economics Interdependence is defined by the business dictionary as, “mutual dependence at a global level” (Business dictionary, 2012). This is where one country depends on another country and that country will depend on another country and so on; this will eventually mean global independence (Business dictionary, 2012). Importing and exporting different goods is a large part of Global Economic Interdependence. Wal-Mart does everything in their power to help the customers save money on the products and merchandise they purchase by offering these products at lower prices than many of their competitors. People throughout the world want to shop at a place that they know will save them money and even possibly time. Wal-Mart is continually increasing their customer base because of the low prices and one-stop-shopping. This is helping with the sustainability of Wal-Mart stores. Wal-Mart would...
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...discussed a CSR consultant for analyze and evaluate the performance of a foreign multinational in area of Corporate Social Responsibility in China. Corporate Social Responsibility is at the forefront of business initiatives for organization in China today. This article is going to talk about the Corporate Social Responsibility consultant analyze and evaluate the performance of a foreign multinational in China. Also can provide useful practical and relevant information and recommendations are how to approach the Corporate Social Responsibility form the foreign multinational in China. As in the foreign multinational in china, the Corporate Social Responsibility consultant should do these. * Provide an overview of the concept of Corporate Social Responsibility. * Outline the Wal-Mart’s history and activities in China. * Explain supply chain responsibility. Choosing the company’s suppliers who threat their workers and the environment well. * Wal-Mart’s approach to EHS and Worker’s Rights * From give the example of Wal-Mart, to analysis of the dynamics of Corporate Social Responsibility. * Give the Wal-Mart’s approach to Community Outreach. Table of content Executive Summary 1 Introduction 3 Outline the company’s history and activities in China. 4 The Company’s history 4 The Company’s activities in China 4 Analysis: 6 The Company’s approach to Workers’ Rights. 7 The fact: 7 The analysis: 8 The Company’s Stand towards Environmental Stewardship...
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...Wal-Mart Sustainability Strategy “Given the fact that Wal-Mart customers generally are unwilling to pay a premium for environmentally friendly products, how is the company deriving business value from its sustainability strategy, or if not, how can it ensure that it does?” Wal-Mart launched a sustainability strategy to dramatically reduce the company’s impact on the global environment and become “the most competitive and innovative company on the world”(Denend, L.(2007)).I believe the decision to launch a sustainability strategy was a brilliant move for the company because it takes advantage of the opportunity to significantly increase Wal-Mart’s reputation, thereby increasing consumer loyalty and profits in the long-run. Through this strategy, not only would Wal-Mart benefit, but the global environment as a whole. Wal-Mart responded to public concerns of the company’s global environmental impact by contracting a nongovernmental organization (NGO) to research the issue. The Union of Concerned Scientists (UCS) compiled data regarding the impact in five areas: 1) greenhouse gas emissions, (2) air pollution, (3) water pollution, (4) water use, and (5) land use. From this research came Wal-Mart’s sustainability strategy. The company began to develop goals and objectives to reduce their impact on the environment (Denend, L.(2007)). During the process of developing goals and objectives, the organization’s culture shifted from an internally focused culture...
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...MGT/421 Individual Environmental Factors Wal-Mart Shirley A Everett April 24, 2012 Robert Stack- Facilitator Effects of Global Economic Interdependence Globalization in the economic context is related to the increase of individual businesses that operate in a range of countries. Therefore, Globalization stimulates economic growth, creates jobs and raises income levels. Globalization is marked by free trade, free flow of capital and cheaper foreign labor markets. Globalization has several facets, globalization of markets, merging historically distinct and separate national markets into one huge marketplace, and globalization of production, sourcing of goods and services from locations around the globe. There are still many challenges in the global market, for example; distance, time zones, language barriers, cultural differences, currency issues, as well as national government regulation issues, and business system improvements. Still, the world is looking smaller through globalization. In the case of the Wal-Mart as a Multi-National Corporation (MNC), the factors that affect its global and domestic marketing decisions are based on their striving to continue to dominate the retail market of the United States, and continue to build their presence around the world. The strategic planning of Wal-Mart approaches global expansion with a regionalized marketing campaign. Wal-Mart’s global focus is on finding low cost products from around the world, importing those products...
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...1.0 Introduction Wal-Mart Stores, Inc. began in the year of 1962 and its founder is Sam Walton. Till now, Wal-Mart is so successful because its founder, Walton emphasized on the customer satisfaction and hard work. This creates a value on Wal-Mart. It is indeed popular in American business of its low prices and it is one of the world’s largest public corporations. Hence, it has to be more careful while handling the relationships between different stakeholders. Wal-Mart is reported to be able saving the average family of $3200 annually. However, the company has received many critics on the issues of its treatment towards its employees, suppliers and economic impacts on communities. Many stand out to say that Wal-Mart is engaged in immoral issues in order to provide low prices. This case attempts to show us about the controversy of both the positive and negative impacts on the society due to Wal-Mart’s low pricing. It involves various stakeholders here in the case, such as competitors, suppliers, and employees. In addition, some ethical issues such as the discrimination, illegal immigration issues, and leadership misconduct are brought out to discuss. 2.0 Wal-Mart’s Stakeholders relationship 2.1 Competitors Stakeholders Problem: Wal-Mart used predatory pricing which causes other companies out of business. This is because they work on volume. They can give greater discount than any other competitors can afford and yet still make a profit. There is lawsuit in Germany in...
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...Competitive Advantages in Today’s Global Climate Ovelinda Garcia, Justin Hightower, Shyann Fontenot, Alex Jacobs MGT/498 July 14, 2013 Perry Martin Competitive Advantages In Today’s Global Climate Organizational sustainability and viability occur when a business strives to set itself apart from its competitors. Organizations that seek to become and maintain themselves as industries leaders typically thrive in the global marketplace. Industry dominance is dependent upon the development and implementation of corporate strategies. Organizations that continuously seek to examine their portfolios, improve operational activities, conduct research and development, and implement their strategic planning and strategies are innovated and profitable; both key characteristics in maintaining the competitive advantage within the global marketplace. Leading organizations analyze and predict the changing environment and situations in which they operate in and perform with the objective to maintain competitive advantage and sustainability. Riordan Manufacturing is poised to capitalize on establishing the organization as an industry leader in using polymer materials and providing solutions to its customer base. The global plastics manufacturing giant’s rigorous focus on R&D sets the company advantageously as a leader in identifying trends. Although the company’s initial focus was on...
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...Donald Tiffany Retail Marketing Mid Term alternate assignment CASE 3 Wal-Mart’s Sustainability 360 1. Is Wal-Mart good for society? Would society be better off with or without Wal-Mart? The debate on whether Wal-Mart has done more good or bad for society has been a longstanding one. Apologists of the world’s largest retailer defend its business strategies, touting it as the prime example of unfettered American capitalism, the epitome of free market efficiency with low costs and high quantities of production and consumption. Opponents argue that the retail behemoth has led to the transfer of millions of jobs to less-developed countries like China, the exit of many small-to-medium businesses, and also infringement of employee rights. There are two sides to this debate depending on the stance one takes, along with how “society” is defined. From an economic standpoint, society refers to, collectively, the common person; the consumer. Consumers would benefit from low prices and an increase in quantity of goods consumed. Wal-Mart’s strategy of “everyday low prices” has certainly served society well in that respect. Due to its enormous economies of scale, notably its bargaining power with suppliers and the establishment of its own distribution centers, Wal-Mart has managed to offer very competitive low prices to its consumers due to the low costs. This has resulted of millions of Americans – especially the low-to-medium income consumers it traditionally targets – being able...
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...Ethical Issues that Wal-Mart faced in India and China. Wal-Mart’s ethical business management is related to the global environment, which consists of financial markets, cultures, technologies and government policies. The market also consists of hyper competition from different countries such as China and India and regional players in the global environment. China has low cost offshore labor in the “flat world”, so that Chinese imports are so inexpensive to enter in U.S. So many factors lead most US manufactories to close the doors and eventually jobs are lost accelerate. The United States’ economic outlooks vary with regard to the global economy. In my opinion, the labor force is one of technologies in a developing country and it supports the globalization process. China as a global manufacturer and U.S. partner is a great source of world-class offshore technology services. Wal-Mart has its own external and internal stakeholders. WAL-MART Ethically wrongs its Employees * Wal-Mart executives have failed to pay workers overtime and admitted to being trained and told by their superiors to do so. One of the Wal-Mart mgr claimed that he/she has seen every Wal-Mart mgr change the hours other than the General Mgr. the 31 state lawsuits, and $50 MM class action payment in CO convincingly indicate that Wal-Mart violated the law, and in TX it was estimated that Wal-Mart cheated workers out of $150 MM. Another figure cited is that they underpaid 87,000 workers in the US by $34 MM prior...
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... Wal-Mart, the world largest and most successful corporation, also has the unflattering reputation of being so uncaring that it now symbolizes corporate social irresponsibility in the eyes of many Americans. How did the most powerful company become admired as well as feared and despised? Using the company's marketing strategy as a basis for analysis, the current study argues that Wal-Mart's problems with its own employees are not just perceptual but fundamentally due to the company's targeting and positioning choice: the delivery of always low prices to customers has meant that such stakeholder groups as employees have had to be squeezed. In 1962, Sam Walton created Wal-Mart, a “superstore” geared toward giving the customer a superior experience mixed with the best prices around. Walton used his years in the logistics management in the United States military to find the best prices, standardize and streamlined supply chain management and pioneer his one-stop-shop. Soon his superstore that is headquartered in Arkansas was also located in countries such as China, Argentina, Brazil, Mexico, Japan and Chile. Wal-Mart’s mission is to provide customers with quality products at affordable prices. The company strives to provide satisfactory customer service and excellence in all it takes part in. Corporate Social Responsibility Issues for the Retail Industry The retail industry in United States is considered to be most evolved and headed by companies such as Wal-Mart, Home...
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...significant environmental threats and discuss how the company should respond to each threat to ensure that the impact to the business is minimal. Wal-Mart recently faced a hard time due to the recent increase to boost their revenue because of competitive low price by rivals in the retail market. In addition, a tough economic trend in the world and the saturation point coming in the US also let economists expect a more customer slowdown. Although, Wal-Mart tried to target on up-markets with their high-grade products as a new strategy, it was abolished due to individuals with lower incomes did not adapt to their shopping habit. As a result, Wal-Mart set the price leadership strategy, which pursues lower costs in broad target. This grass-roots strategy led the company to the success. Lee Scott, CEO of Wal-Mart, pointed that their decision based on customers’ monetary condition was totally right in the current economy, and they believe that it is still vital to continue in the next spell Another fact is the successful decision on international operation. Wal-Mart has been running this international division in 13 countries and operated expansion of its subsidiaries carefully (walmartstores.com). However, they have also failed in some divisions because of unsatisfactory sales results. As an example of their decision, Wal-Mart ceased their German operation to sale 85 shops to a local competitor (walmart.com), they also closed operations in South Korea in 2006 (walmart.com)...
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...Wal-Mart: The Future is Sustainability Summary Wal-Mart Stores, Inc. is one of the top companies in the retail industry. According to Forbes (2010), in 1962 brothers Sam and Bud Walton ran handful of small 5-and-10 stores in Arkansas and Missouri and they built their first Wal-Mart discount store in 1962. Then on Halloween day 1969 Wal-Mart Corporate (n.d.) states that the company incorporated. Since those early days when the founder Sam Walton was running the company many things have changed. For instance Ferrell, Fraedrich, and Ferrell (2011) stated that due to the staunch work ethic and dedication to customer care that Sam Walton instilled in the company, the company did feel that there was a need formal ethics program (p. 315). However, as time has passed the thinking of the Wal-Mart Executives has had to change. I do not know if Wal-Mart has changed because of the lawsuits they have encountered over ethical issues, if it was driven by the desire to keep profits high, or if Wal-Mart changed the way they do business because the company really does want to right thing for all the stakeholders. From what I can see, ethics has become a very important part of Wal-Mart’s business strategy. They seem to have a formal ethics program in company these days and they even want the entire world to know about because they provide a digital copy of their 36 page Statement of Ethics document on their web site. Text Questions 1. Do you think Wal-Mart is doing enough to become more sustainable...
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...ONLINE SEPTEMBER 29, 2013 ABSTRACT The main line of business of Wal-Mart is allowing customers to shop anywhere anytime online, on mobile devices, and in stores. The vision is to create opportunities and bring value to customers and communities around the world. The marketing mix strategy changes in the different locations of business and it is important to know how to effectively and efficiently give the consumers what they need and want. Using a strategic marketing mix will make the company flourish and maintain a good business production. THE GLOBAL COMPANY OF WALMART Wal-Mart is a global company that is very popular from their slogan of “Every Day Low Prices”. The main goal of Wal-Mart is to provide the public with quality goods for lesser price than the competition. Wal-Mart has over 245 million customers with locations in 27 different countries and e-commerce websites in 10 countries. With employment of 2.2 million associates worldwide, you would expect for profits to be $466 billion in the year 2013 (Corporate Wal-Mart 2013) The main line of business of Wal-Mart is allowing customers to shop anywhere anytime online, on mobile devices, and in stores. The vision is to create opportunities and bring value to customers and communities around the world (Corporate Wal-Mart 2013). The company of Wal-Mart is the world’s largest retailer and is very popular with lower and middle class families. Wal-Mart started as a small discount retailer in Rogers, Ark. and has grown...
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...Cross Cultural Perspectives: Wal-Mart ETH/ 316 June 11, 2012 Laura Brodkey-Scott Cross Cultural Perspectives: Wal-Mart Introduction Wal-Mart is defined as the giant of retail and it is one of the largest companies in the world. It has grown to not only be a staple in America but internationally as well, touching base in countries such as Japan and China. It is a popular supercenter that is located worldwide. Wal-Mart is the largest retailer and the largest company in the history of the world due to globalization and this due to the way they conduct business operations. Wal-Mart management has implement ways to overcome the challenges that are presented the ethical and social responsibilities in regards to globalization. This paper will present a breakdown analysis on how Wal-Mart has conquered the challenges of globalization and how they manager to remain the largest profit-making organization both in the USA and globally (Rosenfeld, 2007). In addition the paper will breakdown how the organization deals with ethical perspectives within this global icon known as Wal-Mart. Globalization Wal-Mart management embraced globalization and used it to develop a monopoly of international markets across the world. Wal-Mart has supercenters in the following countries: Mexico, Canada, Brazil, Japan, China and India. According to Glynn Davis (2008), Wal-Mart’s international market gives us a vast idea of the variety...
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...Case Study: Wal-Mart Stores “Every Day Low Prices” In China Webster University INTB 5000 1 Webster University 2 Wal-Mart Stores “Every Day Low Prices” In China FACTS: First opened in Shenzhen on August 12, 1996 As of December 2007 94 stores in 51 cities Employs 43,000+ associates Serves around 5 million customers per week Transition from rural US to metro/urban in China Competitive analysis a core value of the company Shopping 1,500 items and price matching them through “Special Buy” Analysis Major pressure from the Chinese regional governments to centralize in high growth regions About-face by Chinese govt. on Shanghai is of interest Has major implications on Wal-Mart’s ability to provide infrastructure for stores Supply Chain Challenges Abound Tier 1 cities include Beijing – Tianjin, Shanghai, Guangzhou Tier 2 cities include Chengdu, Nanjing, Chongqing, & Wuhan Tier 3 cities include Changzho, Jinhua, Mianyang Webster University 3 Wal-Mart Stores “Every Day Low Prices” In China 7,058 Units 1.9 Million Associates 23 offices sourcing from 70 countries UK 340 Units Canada 292 Units Japan 393 Units US 4,103 Units Mexico 943 Units Central America 433 Units China 86 Units Trust-Mart 101 Units India JV –Aug 2007 Puerto Rico 54 Units Brazil 297 Units Argentina 16 Units Webster University 4 Wal-Mart Stores “Every Day Low Prices” In China Webster University 5 Wal-Mart Stores “Every Day...
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