Although it seems that Wal-Mart has few threats to consider, it must still consider them in order to remain one of the best in the industry. These threats include increased competition, economic uncertainty, unions, and government regulation. The discount variety store industry is a fiercely competing marketplace and the big players are always strategically placed to gain new customers from the competition. Wal-Mart must keep an eye on its competitors, such as Kmart, Costco, and Target. Economic uncertainty, threat of unions, and government regulation can all be found in regions such as Germany. Germany has one of the highest degrees of unions and this has a profound effect on hiring, retaining, and laying off employees. Unions make it hard for a company to decide on its labor force requirements because once an employee is hired, it costs more in Germany to keep the employee on payroll and to lay off the employee. German workers are one of the highest paid workers in the world. A country that has had stagnant sales for the past four years also compounds these
Although it seems that Wal-Mart has few threats to consider, it must still consider them in order to remain one of the best in the industry. These threats include increased competition, economic uncertainty, unions, and government regulation. The discount variety store industry is a fiercely competing marketplace and the big players are always strategically placed to gain new customers from the competition. Wal-Mart must keep an eye on its competitors, such as Kmart, Costco, and Target. Economic uncertainty, threat of unions, and government regulation can all be found in regions such as Germany. Germany has one of the highest degrees of unions and this has a profound effect on hiring, retaining, and laying off employees. Unions make it hard for a company to decide on its labor force requirements because once an employee is hired, it costs more in Germany to keep the employee on payroll and to lay off the employee. German workers are one of the highest paid workers in the world. A country that has had stagnant sales for the past four years also compounds these