Wallmart

Only available on StudyMode
  • Topic: Wal-Mart, Asset turnover
  • Pages : 4 (611 words )
  • Download(s) : 54
  • Published : April 7, 2013
Open Document
Text Preview
Wall-Mart Case

Strategy Management

What are Wal-Mart’s competitive advantages? Wall-Mart Competitive advantages:

|Company |Total Assets |Total Sales |Net Profit |Total Equity | |Wall-Mart |180,663 |418952 |16389 |71655 | |Target |43705 |65786 |2920 |15487 | |Kohl’s |6315 |9120 |643 |3511 |

X=X=

|Company |Net profit |Total Asset |ROA |Equity Multiplier |ROE | | |Margin |Turn | | | | |Wall-Mart |3.3% |2.6 |8.5% |241.1% |20.4% | |Target |3.8% |0.8 |3.1% |175.4% |23.5% | |Kohl’s |7.1% |1.4 |10.2% |179.4% |18.3% |

This help us to see that the asset turnover and the size of the company are one its competitive advantages

We can see that Wall-Mart has nearly double the assets turnover as Kohl’s which means that Wall-Mart is very efficient with its assets, as for every $1 in assets it is gathering $2.6 in sales , and we can see that it is clearly low cost leader

The other two competitive advantages are prices & presence...
tracking img