Walmart Problems And Future Prospects
Problems faced in different countries
1. Slowness to develop a strong presence online.
Walmart has become sloppy in executing big changes, which is inevitable for an organization. After so many years of such an explosive growth. Case in point is Walmart's slowness to develop a strong presence online. Despite these fears, Walmart's leaders are optimistic that they can shift the business and position the retailer for long-term success. They are already testing a radical new concept -- downsizing stores, literally, by dramatically shrinking the square footage of new stores.
2. The Consumer Trends That Are Slowly Killing Walmart in USA
Shopping behavior has changed. And even though the recession forced many Americans to "trade down" to cheaper items like the ones Walmart is famous for, consumers sought out new ways to do so. In many cases they traded even further down and headed right for the Dollar Generals (DG) of the world. The change, of course, is that traffic has shifted from physical stores to online stores. In fact, a startling 50% of Walmart's customers now shop on Amazon.com (AMZN), versus just 25% five years ago.
Amazon's low prices (thanks to its low overhead expenses and no sales tax in most states) and unbeatable selection (thanks to the acquisition of companies like Diapers.com and Zappos), combined with the convenience of online shopping, have attracted a growing fan base of customers -- stealing more and more customers away from Walmart. That's because Amazon's reach will only continue to expand as it builds out its Kindle platform. The ease of purchasing with just one click from virtually whatever device you choose (your computer, phone, Kindle, or even Apple's iPad) will continue to attract a growing number of consumers -- again, spelling bad news for Walmart.
3. Walmart is losing market share in Brazil :
World's biggest retailer's Mexican division bribed government officials to secure building permits in the country. Confronted with evidence
1. Slowness to develop a strong presence online.
Walmart has become sloppy in executing big changes, which is inevitable for an organization. After so many years of such an explosive growth. Case in point is Walmart's slowness to develop a strong presence online. Despite these fears, Walmart's leaders are optimistic that they can shift the business and position the retailer for long-term success. They are already testing a radical new concept -- downsizing stores, literally, by dramatically shrinking the square footage of new stores.
2. The Consumer Trends That Are Slowly Killing Walmart in USA
Shopping behavior has changed. And even though the recession forced many Americans to "trade down" to cheaper items like the ones Walmart is famous for, consumers sought out new ways to do so. In many cases they traded even further down and headed right for the Dollar Generals (DG) of the world. The change, of course, is that traffic has shifted from physical stores to online stores. In fact, a startling 50% of Walmart's customers now shop on Amazon.com (AMZN), versus just 25% five years ago.
Amazon's low prices (thanks to its low overhead expenses and no sales tax in most states) and unbeatable selection (thanks to the acquisition of companies like Diapers.com and Zappos), combined with the convenience of online shopping, have attracted a growing fan base of customers -- stealing more and more customers away from Walmart. That's because Amazon's reach will only continue to expand as it builds out its Kindle platform. The ease of purchasing with just one click from virtually whatever device you choose (your computer, phone, Kindle, or even Apple's iPad) will continue to attract a growing number of consumers -- again, spelling bad news for Walmart.
3. Walmart is losing market share in Brazil :
World's biggest retailer's Mexican division bribed government officials to secure building permits in the country. Confronted with evidence