Walmart Market Entry Strategy
Alexandra Kirsten, Gerald Thielemann, Angelo Cervone, Joseph Krok, Nick Massa December 5, 2012
Table of Contents
Walmart Company Profile
Major Products and Services
Overview of Financial and Operational Indicators
Key Financial Performance Indicators
Revenue and Operating Profit
Assets and Liabilities
Paraguay Country Profile
Discovery and Settlement
Independence and Dictatorship of Francia
Dictatorship and War
Liberals Versus Colorados
Cultural Values (Hofstede)
GDP and Per Capita GDP
Imports and Exports
Uruguay Country Profile
Healthcare and Welfare
Relations with The United States
Republic of Peru Country Profile
Imports and Exports
United States-Peruvian Relations
Starting a Business
Factors of Conducting Business
Market Entry Strategy
Wholly Owned Subsidiaries
In today’s business world many multi-national corporations are focused on expanding their business internationally. This is due to the fact that around the world, there has been much uncertainty with regards to economic and financial conditions which warrants diversification amongst a corporations business practices. If a corporation focuses and practices its business in a single country they are subject to much volatility with profits on a yearly basis and are extremely sensitive to risk. In order to limit this risk sensitivity these companies have set out to expand among different regions in the world, making sure that if one section of their business fails or sees a sharp decline in revenue they will be able to continue forward. These corporations are making sure they are positioned to recuperate in a timely matter in order to remain competitive and not lose a significant market share within their industry. One specific region in the world that multi-national corporations have viewed as opportunistic is Latin America. Much of Latin America is unsaturated with high populations making it very appealing to large multi-national corporations such as Walmart. After doing much research we have concluded that although Latin America has been considered an emerging market for some time; it still has an under-penetrated formal retail market, particularly in the food retail segment. Our study consists of three country profiles which Walmart has yet to penetrate within Latin America. These countries are Paraguay, Uruguay and Peru. There are pros and cons when entering any country and after a close analysis of each, Peru is the best fit for Walmart. Conducting international business in Peru from the standpoint of a manager working at Walmart has considerable...
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