What is a Competitive Strategy: Types - Definition

Running head: COMPETITIVE STRATEGY
Competitive Strategy
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COMPETITIVE STRATEGY
Executive Summary
The significant objective of the report is to provide an analysis about the history, growth and
development of Walmart with respect to how it may attain a competitive advantage in the retail
market. In order to analyze the competitive strategies of the company, an evaluation of its
strengths, weaknesses, opportunities and threats have been made. Furthermore, the report also
makes an analysis of the external environment in which the company operates, through the
model of Porter’s Five Forces and the life cycle model. A competitive analysis of the company
has been made along with an evaluation of its operations using the TOWS matrix. The corporate
and business level strategies of Walmart have also been discussed along with an evaluation of
the organizational structure and control system.

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Introduction
Competitive Strategies can be regarded as the planning and action which is required for a
company to grow in an industry and gain competitive advantage. This allows a company to be
ahead of its competitors in the industry by channelizing the areas of strengths and working on the
aspects which operate ads demit for the company. This evaluation process plays a very important
role and helps a company grow while making important changes to the structure of the company.
The strategies are developed in accordance with the market conditions and internal environment
of the company. Implementing these strategies which enable a company to be able to deal with
market pressures and attract the most number of buyers in the market by securing its own
position (Rothaermel 2017). Planning and ideas can be developed in the form of offering unique
services and products which helps a company to be ahead of the other companies in the market.
A company can outperform the rival forces in the market by following the strategies and
upholding the value of stakeholders and company. Walmart is a company which employs
competitive strategies to sustain through the market pressures and forces
Company Overview
Walmart Inc. is one of the largest retailers and companies across the world. It is an
American retail corporation which operates in many countries worldwide. Walmart has
hypermarkets and departmental stores which offer discounted products and grocery. The
headquarters of the company is situated in Arkansas, Bentonville. Walmart was a venture by
Sam Walton which was founded in the year 1962 which later on went to become Incorporation in
1969 (Walmart.com 2020). It is recorded to be one of the largest companies according to the
revenue collection of the company which is amounted to be approximately 14.405 billion dollars,
as put forward by Fortune Global List of 2019. The company has over 2.2 million employees and

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thus, is the largest employer in the private sector in the world. The company is family owned but
publicly traded one by the Waltons. The company ranked as the largest retailer of grocery in
United States in 2019 with over 65% of total Walmart’s share United States. Walmart got to be
listed in the Stock Exchange List of New York in 1972 while it went on to become the most
profitable one by the end of 1988 and with the greatest revenue by the end of October 1989.
Walmart has become geographically diverse and made investments outside United States of
America such as Canada, United Kingdom, China and so on (Walmart.com 2020). Whereas,
globalization did not really yield to great result for the ventures it made in regions such as South
Korea and Germany. Walmart has become one of the most indomitable forces in the retail
market, thus.
SWOT
SWOT Analysis is an effective way to analyze the internal strengths and weaknesses of a
company which is essential for understanding the current position of the company. It is very
important to develop strategies which help companies decide next plans and development for the
company which ensures growth and sustenance. SWOT Analysis can be made use of the best
advantage which can help a company diminish the probabilities of being unsuccessful in their
business and operations (Korableva and Kalimullina 2016). The risks and threats can be easily
avoided which may be the cause behind the downfall of the company. The strategies helps the
company to be distinguishable from the other companies in the market and gain competitive
advantage. With the help of SWOT analysis, Strengths, Weaknesses, Opportunities and Threats
of the internal environment of the company can be easily analyzed.
Strengths