Competitive Strategies of Walmart - 2

COMPETITIVE
STRATEGIES
STUDENT DETAILS
STUDENT DETAILS

COMPETITIVE STRATEGIES 1
Executive Summary
The competitive strategy is developed to help an organization for gaining competitive advantage.
Wal-Mart is the American discounted department store, it is founded by Sam Walton in 1962.
Headquarter of the company is situated in Rogers, Arkansas. Currently, there are over 11,200
stores of Walmart in different countries like Argentina, Brazil, Canada, Chile, China, Costa
Rica, El Salvador, Guatemala, Honduras, India, Japan, Mexico, Nicaragua, Puerto Rico,
the United Kingdom and the United States. In this study, it is concluded that the company faces
challenges due to the emerging competition and declining customer satisfaction.

COMPETITIVE STRATEGIES 2
Table of Contents
Introduction................................................................................................................................3
Analysis of Strategic issue.........................................................................................................4
Business Strategy.......................................................................................................................4
Utilization of business strategy in this case...............................................................................5
External environment analysis...................................................................................................8
PESTLE Analysis...................................................................................................................8
Porter’s five forces analysis.................................................................................................10
Recommendations....................................................................................................................12
Conclusion................................................................................................................................13
References................................................................................................................................14

COMPETITIVE STRATEGIES 3
Introduction
Competitive strategies are the long-term action plan of the company. These strategies are designed to
direct an organization for gaining a competitive advantage. It is important from the perspective of the
business to understand and deeply analyze the core principle of their chosen competitive strategy
(Borrescio-Higa, 2015). The selected competitive strategy in this assignment is the business strategy.
This business strategy is chosen for Wal-Mart China operations. Wal-Mart is the American
discounted department store, it is founded by Sam Walton in 1962. Headquarter of the company is
situated in Rogers, Arkansas. Currently, there are over 11,200 stores of Walmart in different
countries like Argentina, Brazil, Canada, Chile, China, Costa Rica, El
Salvador, Guatemala, Honduras, India, Japan, Mexico, Nicaragua, Puerto Rico, the United Kingdom
and the United States (Elder & Dauvergne, 2015). In this report, there will be a discussion about the
importance and implications of business strategy in the growth of the business. In this report,
strategic issues will be analysed with relevance to their business strategy. This concept will be linked
with the theoretical concept. Apart from this, the study of the external environment will also be done,
PESTLE and 5 forces analysis will also be conducted in this report from the perspective of Walmart
China.