logo

E-Commerce Business Model - PDF

   

Added on  2021-06-14

19 Pages4667 Words92 Views
E-Commerce Analysis 1E-Commerce AnalysisNameInstitutional Affiliation1

E-Commerce Analysis 2Table of ContentsBusiness Summary.......................................................................................................................................3Key Trends...............................................................................................................................................3Growth of Online Platforms.........................................................................................................................3E-Commerce Business Model......................................................................................................................3E-Commerce Technology.............................................................................................................................3Online Marketing Activities.........................................................................................................................4E-Commerce Online Marketing Metrics......................................................................................................4Conclusion...................................................................................................................................................4Reference List..............................................................................................................................................52

E-Commerce Analysis 3Research QuestionsWhat has led to the growth of Wal-Mart’s business platform?How do you determine an attractive E-commerce model for the business?What should Wal-Mart do to compete effectively in electronic retailing?What technological processes should Wal-Mart Focus on?What unique online marketing techniques have Wal-Mart adopted?3

E-Commerce Analysis 4Business SummaryWal-Mart is one of the biggest retailers across the world with about 10,000 outlets acrossthe world and an annual avenue of nearly $500 billion. The firm sells nearly all products groupsincluding electronics, apparel, home furnishing items, groceries, appliances, sporting items anddrugs, while still maintaining its everyday low price (EDLP) strategy. Nevertheless, half of itsprofits come from groceries. Wal-Mart functions in three business section: Wal-Martinternational, Wal-Mart U.S. and Sam’s Club. The biggest business segment is Wal-Mart U.S.accounting for about 60 percent of its profits. Sam’s Club is the warehouse model of the retailerwhere it imposes an annual membership fee to its clients, permitting them to purchase goods athuge discounts. The segment of the U.S. is the most important to the firm. Wal-Mart hasestablished a dependable brand with understandable value proposition and has grown across theUnited States, thus becoming the country’s biggest retailer (Mamula, 2012 p.55).Although Wal-Mart has few outlets in the United States in comparison to global markets,U.S. outlet is approximately 2.5 times bigger than the international outlet regarding the retailsquare footage. In 2016, Wal-Mart US square footage for each outlet was 150,000 and 59,200 forWal-Mart international. Besides, the Wal-Mart US outlet profit was at $445 while that of Wal-Mart international outlet amounted to $310. Therefore, regardless of similarity in outlet, the USsection is more important to the firm in comparison to the international section.Key TrendsSelf –Cannibalization Threat Due to Large Size: income growth and long-term sales of Wal-Mart relies greatly on the ability of the company to open new outlets and stretch into new markets. Nevertheless, due to the size of Wal-Mart, it is exposed to the risk of dismantling it sales amount in the United States, therefore efficiently competing with itself for shares in the market. It is the reason why the company has restrained its expansion.4

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
Influencing Organisational Strategy Assignment - Walmart
|20
|4850
|121

Report on Supply Chain Management of Wall Mart
|14
|2625
|51

Assignment on E-Commerce Systems
|12
|3207
|93

ETHICS AND LAWS WITHIN YOUR DIGITAL PLANNING OF WAL-MART STORES INC. KSA 9
|16
|3669
|68

Wal-Mart International Business: Assignment
|11
|3272
|43

Wal-Mart Decision Making Model for Growth Plans
|9
|1878
|156