Decision Internal and External Factors Paper
October 15, 2014
Internal and external factors affect companies in many different ways. Some of the internal and external factors affecting Wal-Mart are globalization, new technology, innovation, diversity, and ethics. By using the four functions of management we will investigate how Wal-Mart handles both internal and external factors affecting their company both positively and negatively. Globalization is defined as, process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology. Technology is defined as, the application of scientific knowledge for practical purposes, especially in industry. Innovation is defined as, the action or process of change. Diversity is defined as, the quality or state of having many different forms, types, ideas, etc. Finally, ethics is defined as, rules of behavior based on ideas about what is morally good and bad. (merriam-webster) Globalization
The book The Charles Fishman', in his book The Wal-Mart Effect, explains how globalized Wal-Mart truly is. In his book he points out that almost half of all Americans live within five (5) miles of a Wal-Mart and that ninety-five percent (95%) live within fifteen minutes. This topped by the fact that Wal-Mart has one hundred million customers each week and ranks nineteenth not only in the world but in the nation as well. It is stunning to me how big a company Wal-Mart truly is. So I am going to elaborate in greater detail. If you were to combine Kroger, Sears, Home Depot, Target, Costco, and Kmart that is how big Wal-Mart is. The Wal-Mart effect is another reason Wal-Mart has had global success. From the very first store Sam Walton opened in 1962 Wal-Mart’s Slogan has always been "saving people money so they can live better" (Sam-Walton)Sam Walton thought by lowering prices it would bring...
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