Shrinkage in Walmart: Impact on Financial Condition and Solutions

Running Head: SHRINKAGE IN WALMART
SHRINKAGE IN WALMART
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1SHRINKAGE IN WALMART
Table of Contents
Introduction......................................................................................................................................2
Body.................................................................................................................................................3
Scope of research.........................................................................................................................3
Solutions......................................................................................................................................3
Work plan........................................................................................................................................4
Conclusion.......................................................................................................................................5
Summary..........................................................................................................................................5
Reference.........................................................................................................................................6
Appendix..........................................................................................................................................7

2SHRINKAGE IN WALMART
Introduction
Walmart Inc. has a bright business future in Canada. However, the company is suffering
from the shrinkage in retail. In this regard, the purpose of this proposal is to figure out the
financial impact of shrinkage in retail on the business orientation in Walmart Inc., Canada. As
per the report it can be seen that the shrinkage rate has been increased at a rapid pace from 1.38%
to 1.44 % in 2016 (S2.q4cdn.com., 2018). Moreover, retail security expert Stephen O'Keefe who
was also serviced 15 years in Walmart Canada advised putting more concern for the retail
organisations because it had an adverse impact on the financial condition of the retail company
(Toneguzzi, 2018). In response to this, as the Chief Finance Manager, it is the duty to notify the
organisation about the vitality and provide a solution for this.
In this context, the problem questions are as follows,
 Is there any relationship between the shrinkage in retail and the financial situation of a
retail company?
 How far the shrinkage in retail poses a financial threat to the business expansion of
Walmart Inc.?
 By which means Walmart Inc. can resolve the threat of shrinkage in retail?
Based on those research questions, it can be asserted that the research requires an in-depth
analysis of the impact of shrinkage in retail through the secondary sources. Simultaneously, it
is also essential to identify fluctuation in business for Walmart Inc. in Canada and assess the
process through which the shrinkage puts a great deal of threat to the progress of that retail
giant.