Walmart Analysis

Topics: Wal-Mart, Sam Walton, Employment Pages: 4 (877 words) Published: October 17, 2014
Company Information
Sam Walton opened their first Walmart store since July 2, 1962. “People think we got big by putting big stores in small towns. Really, we got big by replacing inventory with information.” They opened their first store in Rogers, Arkansas. By 1967 they owned 24 stores and bringing in $12.7 million in sales. By 1970 Walmart went national. They also became a publicly trading company. In 1980’s the first Sam’s Club opened and the first Walmart Supercenter opened as well. It combines a supermarket and general merchandise all in one place. In 1990’s, Walmart was named America’s Top Retailer. They also opened their first Sam’s Club in Mexico City in 1991. Sam Walton passed away in 1992 at age 74. By that time, Walmart employed 371,000 associates in 1,928 stores and clubs. In 1993, they hit their first $1 million mark in sales. Between 1994 and 1998, Walmart opened stores in China, United Kingdom, and bought Wolcott 122 stores in Canada. (www.walmart.com) By 2014, Walmart employs 2.2 associates at more than 11,000 stores worldwide. At this time it serves over 200 million customers. Walmart’s earnings per share increased 10.6 % to $5.02. They had an addition of $22 billion in net sales, and they are now a $466 billion company. They returned $13 billion to shareholders in dividends. (Walmart 2013 Annual Report) SWOT

Strengths
Wide range of products
International operations
Cost leadership strategy
Weaknesses
Labor related lawsuits
High employee turnover
Negative publicity
Opportunities
Trends towards healthy eating
Retail market growth
Online shopping growth
Threats
Resistance from communities
Rising prices
Gap Analysis
Walmart has had to face several labor related lawsuits every year. They cost the company millions of dollars. The company is criticized for poor work conditions, low wages, unpaid overtime work and female discrimination. It also suffers from high employee turnover. It increases the company’s...


References: Noe, R. (2013). Employee Training & Development. (6th Ed.) New York, NY: McGraw Hill.
Walmart (2013). Walmart Corporate - Walmart Annual Reports. Retrieved March 13, 2014, from http://stock.walmart.com/annual-reports
Walmart (2014). Walmart Corporate - Walmart Corporate: Our Story. Retrieved March 12, 2014, from http://corporate.walmart.com/our-story/
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