Business Management Assignment Help - Assignment

Running Head: MANAGEMENT
MANAGEMENT
Name of the Student
Name of the University
Author Note

1MANAGEMENT
Question 1
The publicity strategy for Walmart was "low price on a regular basis." It was not until NAFTA
emerge in Mexico. For the sale of American goods, Walmart charged higher tariffs. Mexico
became a free trade nation after NAFTA was introduced1. Walmart thus reduced its tariffs from
10% to 3%, which meant that it has become difficult for rivals like Comerci negotiate with each
other. It has also opened the doors to foreign investment in Mexico with the signing of NAFTA.
Walmart also paid huge fees for goods being delivered to Mexico from Europe and Asia.
Question 2
While a commendable portion of success of Wal-Mart is due to NAFTA, a major reason behind
its success is undoubtedly its competitive strategies like effective time to enter the market and
cost leadership strategy. Walmart's underlying business approach was cost leadership. This
strategy includes offering quality products to the consumers at a lower price range than its
competitors. They deliver at rates that allow them to be a pioneer. NAFTA backed this policy
very strongly as NAFTA reduced US consumer tariffs in Mexico, from 10% to 3%. NAFTA also
encouraged Mexico to develop its network for transport2. NAFTA incentives are the most
productive usage for any business, except especially Walmart. Walmart was successful for the
Mexican market as its underlying strategic approach. Along with its cost leadership strategy, the
time of Wal-Mart to enter the market of Mexico also helped it reach the leading position.
Question 3
1 Gálvez, Alyshia. Eating NAFTA: trade, food policies, and the destruction of Mexico. Univ of California Press,
2018.
2 Tsui-Auch, Lai Si, and Dawn Chow. "MNEs' Agency Within Institutional Contexts: A Study of Walmart's Post-
acquisition Practices in Mexico, Germany, and Japan." Journal of International Management 25.2 (2019): 100655.