Preview

Wal-Mart Fortune 500 Company

Powerful Essays
Open Document
Open Document
1643 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Wal-Mart Fortune 500 Company
Wal-Mart

Walmart 2

Wal-Mart is the largest corporation by revenue, according to the 2010, Fortune Global 500. Of course the current economic conditions are affecting Wall-Mart, so the best way to respond is by having a strategy. In this case, the goal of the strategy is to maximize future revenues for Wal-Mart. The mixed result provided by the economic indicators point out that is really important that Wal-Mart keeps at the top of their principles the Every Day Low Price. The US nation is dealing with high unemployment and people are trying to drop their household debts. This means that Wal-Mart needs to keep taking actions in order to reduce costs that can lead to translate to the final price and then maximize their revenues. Consumers also want to maximize their spending. When Americans are dealing with economic pressures, those pressures influence the consumer behavior. The best retail prices and a strong customer relationship will help boost their sales. In addition, Wal-Mart needs to continue being a head in implementing new technologies that in fact can be translated in reducing costs will enhance the whole strategy.
Wal-Mart can continue to maximizing revenues by taking advantage of their retail inventory Management. Moreover, increasing supply chain efficiency will continue to be very important in maximizing their profits. Latest technologies implemented allow Wal-Mart to respond to consumer’s price sensitivity in real time, allowing Wal-Mart to maximize earnings per unit.

Walmart 3

Here we will focus on Wal-Mart domestic operations and how the firm should respond to the economic indicators with the goal of maximizing revenues. The indicators and ratios selected were: Retail industry sales, Gross Domestic Product (GDP), Inflation rate (CPI), Unemployment rate, Consumer Confidence Index, US Household Debt. Wal-Mart operations consist of three business segments: Wal-Mart U.S., international and Sam’s club. Wal-Mart domestic operations have more



References: Conference Board, 2010. The US Economy Forecast. Retrieved on December 21, 2010 from: http://www.conference-board.org/data/usforecast.cfm 2010 Trading Economics. United States Inflation Rate. Retrieved on December 21, 2010 from: http://www.tradingeconomics.com/Economics/Inflation-CPI.aspx?Symbol=USD Trading Economics.United States GDP Annual Growth Rate. Retrieved on December 22, 2010 from: http://www.tradingeconomics.com/Economics/GDP-Growth- Annual.aspx?Symbol=USD Trading Economics, 2010. US Third Quarter GDP Revised Up. Retrieved on December 22, 2010 from: http://www.tradingeconomics.com/Economics/GDP-Growth.aspx?Symbol=USD US Third US Inflation Calculator, Inflation Rates by Month and Year. Retrieved on December 21, 2010 from: http://www.usinflationcalculator.com/inflation/historical- inflation-rates/ Forecast Chart, 2010. Current Inflation News & Forecast: US Inflation Rate. Retrieved on December 21, 2010 from: http://www.forecast-chart.com/forecast-inflation-rate.html CNN Money Magazine, 2010. Fortune 500 companies list. Retrieved on December 14 from: http://money.cnn.com/magazines/fortune/fortune500/2010/index.html Wal-Mart 2010 Annual Report. Financial Highlights. Retrieved on December 16,2010 from http://walmartstores.com/sites/annualreport/2010/financial_highlights.aspx Wal-Mart 2010 Annual Report. Retrieved on December 20, 2010 from http://cdn.walmartstores.com/sites/AnnualReport/2010/PDF/WMT_2010AR_FINAL.pdft echnologies implemented allow Wal-Mart to respond to consumer’s price sensitivity in real time, allowing Wal-Mart to maximize earnings

You May Also Find These Documents Helpful

  • Good Essays

    There are six major economic indicators that are of particular relevance to Wal-Mart. Those six economic indicators are consumer price index, employment cost index, employment situation, product price index, productivity and costs and U.S. import and export price indexes. These economic indicators are their statistics are vital to the successful operation of a business.…

    • 1203 Words
    • 5 Pages
    Good Essays
  • Better Essays

    Wal-Mart is a giant of the retailing industry yet is not immune to the pressures of globalized trade, supply, and competition. Wal-Mart’s profit sustainability is always ‘in doubt’ unless it continues to fight off various competitive conglomerates or large size retailers such as Amazon and Target. Mergers on the scale of Wal-Mart are rare yet the marketplace shifts based on the continued expansion of physical and online retailers like Amazon and Amazon’s many partner/provider organizations. To stay ahead of the various operational and governmental threats, Wal-Mart’s focus is on maintaining their low cost…

    • 1894 Words
    • 8 Pages
    Better Essays
  • Satisfactory Essays

    Local Business Bus/210

    • 319 Words
    • 2 Pages

    The first component of Wal-Mart is business commerce. Business commerce is when Wal-Mart exchange good and services with other businesses. For example, Wal-Mart has a hair salon service; I love to get my hair done every other week. Also, many Wal-Marts provide banking services and some fast food services. Wal-Mart has stock trades also. Another main component of Wal-Mart is business occupation. Business occupation is the acquired set of specialized skills and abilities that allows Wal-Mart to create valuable goods and services. When my husband started at Wal-Mart he had to undergo several trainings to ensure that he understands the business and also that he provides customers with excellent services. Wal-Mart provides thorough training to its employees so that they can keep the customers coming back. Customers always value great customer service. I think this is one way Wal-Mart remains ahead of its competitors. The last main component of Wal-Mart is business organization. Business organization is the system of task and authority relationship which coordinates and controls the interactions between people so that they work toward a common goal. Wal-Mart’s common goal is to provide low prices. They try to provide lower prices than their competitors. They are about saving their customers money. They have reduced the costs of their retail and other products in the store. There are many Wal-Marts around the world and they provide the same services in all of them. I love Wal-Mart and I agree that they have prices lower than many other retailers. I definitely agree with their slogan, it is so true. “Save money, Live better”.…

    • 319 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Wal-Mart Stores, Inc. is a discount variety business that began small and has grown into a worldwide multibillion dollar industry within the forty eight years of operation. Providing a brief history, analyzing the financial statements, performing an industrial comparison and trend analysis, this paper will evaluate the financial health of this corporation. (Walmart Corporate, 2010).…

    • 1737 Words
    • 7 Pages
    Better Essays
  • Good Essays

    The Fortune 500 was established in 1955. Fortune 500 is a list of the 500 largest companies in the United States as compiled by FORTUNE Magazine. This list is compiled by using recent figures for revenue and includes both public and private companies with publicly available revenue data. (investopia.com) The Fortune 500 companies are ranked by the amount of revenue that they are bringing in on a yearly basis. While many feel that many of those businesses are operated by men, the Fortune 500 currently released and let it be known that there are 21 women CEO’s in the Fortune 500 category. (Management.Fortune)…

    • 1814 Words
    • 8 Pages
    Good Essays
  • Good Essays

    Wal-Mart’s conundrum with the economy is that it provides premium services and goods at a price well below that of any competitor. The size and scope of the company’s operations allows for them to put pressure on the companies that produce these goods. Wal-Mart often uses outsourced labor and imported goods as a means…

    • 853 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Why Wal-Mart successful?

    • 484 Words
    • 2 Pages

    The first reason why Wal-Mart is so successful is because it offers low price for customer. Experts estimate that Wal-Mart saves shoppers at least 15 percent on a typical cart of groceries. To keep the prices low, Wal-Mart required manufacturers to be more efficient and leaded these suppliers to move manufacturing jobs overseas especially to China. Besides, “Every day low prices” strategy helps Wal-Mart to build up a low-price image and the consumption habit from the shopper. Therefore, many people become a loyal customer and shop more frequently in Wal-Mart instead of other grocery stores.…

    • 484 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Economics of Disney

    • 885 Words
    • 4 Pages

    Rittenberg, L., & Tregarthen, T. (2009). Principles of economics. Nyack, NY: Flat World Knowledge . [Text] Chapter 20: Macroeconomics: The Big Picture…

    • 885 Words
    • 4 Pages
    Better Essays
  • Powerful Essays

    Walmart grew in large part by leveraging information systems to an extent never before seen in the retail industry. Technology tightly coordinates the Walmart value chain from tip to tail, while these systems also deliver a mineable data asset that is unmatched in U.S. retail. Tight inventory management is legendary at Walmart through its just-in-time techniques that allow the firm to boast one of the best supply chains in the world. Walmart has not only transformed its own supply chain, but also influenced how vendors throughout the world operate because the company has the economic clout to request changes from its vendor partners and to receive them.…

    • 3997 Words
    • 15 Pages
    Powerful Essays
  • Good Essays

    Analyze the current economic situation in the U.S. as compared to five (5) years ago. Include interest rates, inflation, and unemployment in your analysis. The United States is the most technologically advance country in the world, not to mention the largest. Everywhere you look or read the headlines are saying that the U.S. economy is in a great shape. Is that really the case? There has been a spike in the number of houses being sold; interest rates have hit rock bottom, and a record weakening in the federal budget balance. With all those things taking place within our economy, it is still not where it should be nor is it close to where it needs to be.…

    • 1459 Words
    • 6 Pages
    Good Essays
  • Best Essays

    On October 29, 1929, a date named Black Tuesday marked the greatest stock market crash the United States had ever seen. It had devastating effects on the United States and virtually every other country in the world. The United States suffered through hard economic times until 1941, when the Depression officially ended. There is a lot of debate on what ended the Great Depression, some say FDR’s “New Deal” programs got the economy rolling again; others credit it to World War II. Without Franklin Delano Roosevelt’s “New Deal”, the United States would have never recovered as fast as it did.…

    • 2099 Words
    • 9 Pages
    Best Essays
  • Good Essays

    Another way to know the state of the economy is by looking at the current unemployment rate. A high…

    • 818 Words
    • 4 Pages
    Good Essays
  • Best Essays

    “Play It Safe at Home or Take a Risk Abroad,” is a Harvard Business Case Study…

    • 4184 Words
    • 17 Pages
    Best Essays
  • Powerful Essays

    In almost all countries, monetary authority is governed by a central bank. In some countries, it is called federal reserve or reserve bank. Other countries like Andorra, Monaco and North Korea do not have a central bank due to various reasons. The central bank has always been responsible in managing the nation's money supply or its monetary policy through managing interest rates, setting the reserve requirement, and acting as a lender of last resort to the banking sector during financial crisis. In the past years, central banks in industrialized countries have made great pace in the regulation of monetary policy.…

    • 9421 Words
    • 38 Pages
    Powerful Essays
  • Better Essays

    China Inflation

    • 1951 Words
    • 8 Pages

    In recent years, China has met price of commodities rising quickly, inflation has affecting the overall economy. In this article, I will analyses last five years status of China inflation, explain the cause and effects, then base on the cause and effects, giving some solution to deal with the inflation.…

    • 1951 Words
    • 8 Pages
    Better Essays