The Analysis of Marketing Management for Wal-Mart Stores

Topics: Marketing, Strategic management, Retailing Pages: 11 (3141 words) Published: March 17, 2011
The analysis of marketing management for Wal-Mart stores with the strategies implementation

Wal-Mart store was established in 1962 in American, as a multinational corporation, it operates 8500 stores over 10 countries in the global market with the 50 different names for the different stores in different countries. Company no longer can pay attention only to their domestic market. Many industries are global industries, and their leading firms achieve lower costs and higher brand awareness (Kotler, 1994). In 1996, Wal-Mart entered the retail market in China, due to the retail market in China has significant competitive advantages. As the worldwide supermarket, Wal-Mart created the net sales almost $374.5 billion in 2009 for its operations.

The report is divided in to five parts to analyze the strategies implication with the aim of present the strategies of marketing management and application to its strategy development, which including the analysis of macro-environment with the SWOT analysis, the competitive strategies and implementation of communication.

Marketing can be seen as a system which must respond to environmental change, business may fail if they do not adapt to external changes (Charles, Joseph, Carl 2005). An organization’s marketing environment can be defined as: The actors and forces external to the marketing management function of the firms that impinge on the marketing management’s ability to develop and maintain successful transactions with its customers (Kotler, 1997). SWOT analysis (strengths, weakness, opportunities, threats) is useful framework for assessing an organization and its marketing environment (Charles, Joseph, Carl 2005).

Marketing opportunities can come in many forms and each should be assessed for its attractiveness and success profitability. Attractiveness can be assed in terms of competitiveness, market size and so on. Measures of attractiveness must be qualified by the probability of success which depends on the company’s strengths and competitive advantages.

SWOT analysis for War-Mart store
With the volume of international trade currently growing at around four times the rate of world Gross Domestic Product, companies are increasingly have to include export as part of their marketing plan. It follows therefore that the process of branding should be considered in global terms. Economies of scale can be achieved by developing a global brand. This can give an advantage over a local branded in host country without oversea recognition of name (Adrian, 2000). The brand value is the Wal-Mart strategic advantage not only in domestic but also in internal market with the different brand names. As the greatest retail store, War-Mart has a strong value and image for its brand with the good reputation based on high quality products and goods in this industry. On the one hand, Wal-Mart offers the customers with the broad range of products and services in its all subsidiaries stores. According to the financial report of corporation, the net sale has increased to $239,529 million in 2008 in Wal-Mart store, which benefit from its greatest sectors of grocery(Wal-Mart 2008 Annual Report). On the other hand, Wal-Mart maintains the sustainable growth in all subsidiaries for sales. Additionally, the corporation was adoption of the expansion strategy in the global markets. The company’s domestic market might be attacked by global firms offering better products or lower prices. In 1999, Wal-Mart acquired ASDA, is the largest retail store in UK. Furthermore, the net sale in ASDA was up to $33.4 billion in 2008. Such a great returns showed appropriate strategy of acquisition, which enable the corporation to creation of reputation and strengthen the strong brand value in global retail market (Appendix 1).

Charles (2005) points that the rapid growth of technology, which increases in positive impact on supermarket industry. New techniques and new ways of...
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