Internal and external factors can affect the four functions of management within any business. With the Wal-Mart Corporation; globalization, technology, innovation, diversity, and ethics are key factors that the corporation must consider if it plans to succeed and stay competitive with other industries in its area. If these areas are not considered, the Wal-Mart Corporation would discover that its company would not remain as strong as it has proven itself to be. Effect of Internal/External Factors
Managers must deal with several factors that will impact the four functions of management, and both internal and external stimuli have a large influence on planning, organizing, control and leading. Internal stimuli can include factors of supplies to employees who a manager is in charge of. Planning for an event can be impacted by supplies, because someone needs to be in charge of ordering and planning necessary personnel to prepare for the event. Leading can also be in issue. If a manager does not reflect enough control then people will lose respect; however, if a manager is too insensitive, then this will result in losing personnel due to employees choosing to leave their jobs. Leading can occur through working alongside the employees while also making sure that matters of the business are taken care of. A resource being used at its peak is necessary, but if workers are not being productive then managers need to remove personnel to discipline these employees who are not performing to the needs of the business. External factors can also have a large impact on managers and how they run their business. These factors could be any stimuli, an example being laws changing to supply issues that are not in the control of the manager. Wal-Mart operates by reducing cost, and if factors outside of its control interfere then the manager may need to increase prices to remain profitable.
In today’s global business world, Wal-Mart has expanded beyond the North American markets. As of 1991, Wal-Mart has established itself as a global company with the opening of a Sam’s Club in Mexico City, Mexico. According to Walmart.com, today their reach can be felt not only in North America, but in Central and South America, the Caribbean and Western Europe, spanning “13 markets nationwide.” (Wal-Mart Corporation. 2008. Para 4.) Countries that are part of the Wal-Mart family include: Honduras, Brazil, Puerto Rico, United Kingdom and the Pacific nation, Japan. (Wal-Mart Corporation) Why have they expanded globally? Their motto provides evidence of their goal; “to save people money, so they can live better nationwide,” Wal-Mart in their ever growing international presence, has incorporated the needs of the local people they affect around the world. (Wal-Mart Corporation. 2008. Para 2.) They not only provide all consumers with low prices, but also positively affect the economies of each country by including local manufacturers and farmers in the products they buy and sell at Wal-Mart facilities. This helps the economies of many communities prosper within these countries. Profits are returned to the neighborhoods where customers, Wal-Mart employees and affiliated vendors are present. Wal-Mart.com reports in their September 2008 India Fact sheet, that they have “been sourcing a variety of products from” Indian “suppliers, for more than 20 years.” (Wal-Mart, 2008. Para 6.) This concentration of improving the economies of these related economic markets allows Wal-Mart and their foreign partners to succeed in all their globalization endeavors. Technology
When Sam Walton started out he was clear about his distrust of computers; however, that did not stop Walton from building his company into a global leader in technology that it became (Wailgum, T. 2007). Wal-Mart opened its first doors in 1962 and began it’s take over in technology. By 1975 Walton had more than 125 stores and mass computers to control...
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