Walmart Corporation Strategic Management Analysis Report

This report delivers a strategic analysis of Walmart, a multinational retail corporation, examining its mission, vision, and goals in relation to the retail industry. It analyzes industry trends, threats, and opportunities, along with Walmart's performance management system. The report identifies key factors influencing Walmart's strategic decisions, including customer satisfaction and competitive advantage. It evaluates the company's mission and vision statements, highlighting their role in decision-making and innovation. The analysis covers Walmart's expansion strategies, its approach to maintaining a conflict-free environment, and its efforts to provide value to customers. Ultimately, the report offers recommendations for Walmart's growth strategy and assesses the effectiveness of its performance management practices in achieving organizational goals. Desklib provides access to this and similar solved assignments for students.

Running head: STRATEGIC MANAGEMENT ANALYSIS OF WALMART
STRATEGIC MANAGEMENT ANALYSIS OF WALMART
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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
Executive Summary
The report is based on the analysis of the various factors related to the strategic management
of organization. The company that is taken into consideration is Walmart which is a
multinational retail organization of American origin. The various aspects of the organization
that are analysed in the report are the vision and mission statement of the company. The goals
of the company are analysed in the report. The retail industry of the United States is also
analysed in the report. The threats and the opportunities of the industry are also analysed.
Performance management system of Walmart is analysed in the report.

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Table of Contents
Introduction....................................................................................................................3
Mission, Vision and Goals of Walmart..........................................................................3
Mission Statement......................................................................................................4
Vision Statement........................................................................................................4
Goal Statement...........................................................................................................5
b. Analysis of the Retail industry...................................................................................6
Threats and Opportunities associated with industry trends........................................8
Future Scenario of Retail Industry...........................................................................11
Recommendation related to growth strategy of Walmart............................................12
Performance management system used in Walmart....................................................18
Performance management practices used by Walmart............................................20
Conclusion....................................................................................................................22
e. Memorandum...........................................................................................................22
References....................................................................................................................25

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Introduction
The report helps in analysing the different mission, vision and values of the respective
organization named Walmart. The different kind of trends and factors play a significant role
in the organization and the different threats and opportunities that is faced by the organization
in an effectual manner.
The main aim and purpose of the report is to understand the growth strategy that can
be adopted by respective company in order to reduce the different issues. The strategy of
retrenchment has to be analysed as this will help in understanding the different kind of
functional aspects in an effectual manner.
The structure of the report includes the different kind of performance management
system as this will help in understanding that the success of the organization is achieved by
them in an effectual manner. The different kind of steps are required to be included in the
process as this will help in improving the performance of the organization in an effectual
manner.
Mission, Vision and Goals of Walmart
Walmart is one of the American multinational retail kind of corporation that is
operating as the supermarket chains along with grocery stores that is headquartered in
Bentonville, United States (Walmart.com., 2018). The company was founded in the year
1962 and it was incorporated in the year 1969. The entire supermarket and grocery chain is
spread across 11,718 number of locations worldwide. The operating income of the company
was US$17.301 billion till the year 2017 and there are more than 2.3 million employees who
are performing different activities in different parts of the world.

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Mission Statement
Walmart’s strategic decisions are the direct manifestation of the missions wherein the
mission statement of the Walmart Supermarket includes that: “Saving People Money so they
can live better”. The main mission of the statement is to satisfy the customers and partners
with the unique kind of experience in shopping by providing them with quality and price and
services that is based on commitment of the employees. Proper commitment is necessary and
essential in nature as this will help the entire company in achieving the different objectives in
a sustainable manner.
The mission statement has helped the company in the process of decision making as
this will help the company in solving the different issues related to the innovation and
creativity that is required to be provided to the competitors.
Vision Statement
The vision of Walmart Supermarket is to be innovative, independent and sustainable
kind of cooperative wherein the different customers can able to choose from various range of
goods as well as services at prices that is reasonable in nature. The respective supermarket
aims to achieve the top position in the entire retail industry that will help the company in
gaining competitive advantage in the supermarket industry. The respective company has tried
to influence the minds and behaviour of the different employees and customers on the basis
of the different financial benefits (Beske, Land and & Seuring, 2014). The employees will be
able to earn proper benefits as to gain their competitive advantage and achieve the vision
statement inn an effectual manner.

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Goal Statement
The goal statement of Walmart is to be the first choice of the target customers in the
entire market. There are different kind of long term objectives that has to be achieved by
Walmart that are identified as follows:
To be the first choice of the different customers
To remain the best and accurate leader in the entire competitive market
To achieve the international standards all along in the market
To make sure that the different customers stick with the entire Primark and this will
help them to attract the customers in an effectual manner as well (Anitha, 2014).
The main goal of the respective supermarket is to provide the customers with cheap
products in the market as this will help them in keeping the environment within the
organization conflict free environment. The other objective of the Walmart Supermarket is to
provide high kind of quality and fashion basics at the value for the money prices. In order to
achieve the different kind of organizational goals and objectives, the respective company will
require to have short and long-term objectives as this will help in provide best possible
services as this will help in solving the different kind of objectives effectively (Ashkanasy,
Bennett & Martinko, 2016).
The mission statement of the Walmart Supermarket meets the criteria of a useful
mission statement of Walmart as they are trying their level best in achieving the different
objectives effectively. The mission statement of Walmart has helped the entire company in
using it in the process of decision making in the different aspects of the organization. The
decision-making has helped the company in analysing the different kind of decisions that will
help the company in providing the customers with innovative kind of services (Bamiatzi et
al., 2016).

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For instance- In Walmart, it was seen that the customers are really happy with the
goods and services provided by them. It was seen that the respective supermarket has
satisfied their customers by offering different kind of products and services to the customers
at a less price then their competitors in the market. The innovative kind of strategies used by
Walmart has helped the company in providing welfare to the employees along with the
different customers in the organization. With the help of innovation, the company has tried to
provide range of goods and services at reasonable prices and this has helped the company in
gaining competitive advantage in the entire market as well (Buckingham & Goodall, 2015).
From the above instance, it can be analysed and identified that Walmart has tried to
implement the different kind of strategies that has helped them in understanding the different
work of the competitors as this will help them in performing better in the entire market in an
effectual manner. The different core values of the customers are provided with proper
importance as this will provide the company with reference to the distribution sector as well.
The mission of the company has helped the company in creating impact on the organization
by providing the employees with different kind of services that are better in nature in
comparison to the other competitors in the entire market as well (Cascio, 2014).
b. Analysis of the Retail industry
Walmart is a major part of the retail industry in United States of America. The
organization operates a range of supermarkets in the country. The United States of America
has distribution channels that are well established for the various types of retail organizations.
The services related to the retail industry provide an environment which fosters strong
operations in business and further spurs innovations. The innovative nature of the industry
helps in increasing the reliability and efficiency. The total sales that were gained from the US
retail industry in the year 2016 is around 2.6 trillion dollars from the 3.8 million retail

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organizations in the country (Çifci et al., 2016). The sales in the retail industry of USA are
increasing every year and with the growth in e-commerce sales. The growth related
opportunities of the US retail market exist for the retail providers of any size. The retail
sector of the country appoints almost one out of the five Americans. The retail stores of the
various organizations are designed in such a way so that they become the face of the industry.
The online sales have been the major factor related to the growth of the retail industry in the
recent times. Business related opportunities in the retail industry are also provided by the
franchising related operations of the various retail organizations (Cuervo-Cazurra &
Ramamurti, 2014). The franchising model has been embraced by all the retail organizations
in the country. The franchising model of retail organizations has been able to provide services
and products belonging to more than 300 business related categories. The retail industry has
been termed as the leading job creator in the country.
The latest trends in the retail industry of the United States has been the change in the
ways of shopping. The customers have become the most important part of the entire business
operations and they decide the services or products that can be offered by the organization.
The trends of online retailing have further changes the situation of physical retail
organizations like Walmart. The competition has also increased in the industry and this
requires the various retail organizations to change their promotional and marketing strategies
(Davis, Yue & Davis, 2017). The trends in the retail market are further dependent on the
buying behaviour of the consumers and the ways by which they choose the products. The
consumers are now enjoying a huge variety of choices that are provided by the online and the
offline stores of various retail organizations of the United States. The brick-and-mortar retail
stores need to compete with the online stores like Amazon who are providing a huge variety
of products to the various customers. The organizations in the retail industry therefore need to
analyse the behaviour of the consumers, the value proposition provided to the consumers

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should also be analysed and changed if necessary. The customers have become the kings of
the retail industry and they are able to change the entire operations of the industry (DeNisi &
Smith, 2014). The online retail platforms have been using the customer relationship related
factors to compete against the various organization in the same industry.
Threats and Opportunities associated with industry trends
It can be seen that there are different kind of strengths, weaknesses, threats and
opportunities wherein these will help the company in solving the different queries and solve
them in an effectual manner (Johnson, 2016). The different kind of strengths and
opportunities has to be in such a manner that will help the company in understanding the
issues and making their strengths as this will help them in reaching the goals in an effectual
manner. There are different kind of threats and opportunities for Walmart in relation to the
industry trend that includes the following:
Opportunities
The different kind of opportunities of Walmart is due to the different kinds of
improvements and expansion program in the different kinds of business practices (Teece,
Peteraf & Leih, 2016). These are the different kind of opportunities that has to be analysed in
an effectual manner as this will help and provide them with different kind of global economic
situation that will help them in presenting the issues and making them the opportunity as to
improve their conditions (Schilke, 2014).
The different kind of opportunities of Walmart are as follows:
Expansion in the different kind of developing countries (Hill, Jones & Schilling,
2014)
Improvement in the different kind of human resource practices

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Improvement in the standards of the quality (Rothaermel, 2015)
The opportunity that has been provided to Walmart to expand the business in different
kind of developing countries, it requires to increase the different kind of economic conditions
that are stable in nature (Ginter, Duncan & Swayne, 2018). However, on the other hand, it
can be seen that there are different kind of opportunities on the different practices of HR is
directly related to the criticisms that is provided to the company’s employment practices. The
opportunity provided to Walmart is required to address the different concerns of the
employees and customers as this will help in improving the standards of the quality and this
has to reduce the bad and ill effects of the low-quality products on the health of the different
customers as well (Rahmandad & Repenning, 2015).
Furthermore, it was seen that the entire company is in the global market that will help
them in increasing their presence in all over the world and this can create huge presence in
the world in an effectual manner (Rouvari et al., 2016). It can be seen that the weaknesses of
Walmart have to be identified as the strengths of the company as this will help the company
in solving such issues and gain competitive advantage in the market in an effectual manner as
well (Lin & Wu, 2014). There are different kind of factors and trends that has to be analysed
in an effectual manner as this will help the entire company in reducing the threats and
weaknesses and turn them into strengths as this will help them in solving the different queries
effectively in the entire global market (Lasserre, 2017).
Threats:
There are different kind of threats to business of Walmart that are linked to the
different kind of retail market conditions along with the different kind of changes in the tastes
and preferences of the customers as well (Birkinshaw, Zimmermann & Raisch, 2016). The

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threats of the respective company have to be ascertained in an effectual manner as this will
help them in understanding the competitive kind of strategic changes that are as follows:
Aggressive kind of condition (Stead & Stead, 2014)
Healthy trend in the lifestyle brand
Individuals online selling (Walmart.com., 2018)
The healthy lifestyle of the different kind of individuals in the entire society are the
different kind of opportunities and threats. It is required for the company to understand the
different kind of threats as this will help them in analysing the issues and solve them in an
effectual manner (Helfat & Peteraf, 2015). The aggressive kind of situations has to be
analysed effectively as this will help in providing different kind of healthy brands to the
customers that will not affect the health of the company (Chen, Delmas & Lieberman, 2015).
The small scale or the individuals online selling is one of the threats as there are
different large retailers who can use different kind of services in order to gain competitive
advantage in the entire market (Slack, 2015). Due to the usage of internet, there are different
small retailers who can use the internet and bypass Walmart Supermarket and use their
restricted website to sell their products and gain competitive advantage as well (Cohen &
Olsen, 2015). There are different kind of other issues and threats that is faced by the
supermarket named Walmart wherein this will create huge issues in the organization and this
will help in sorting the issues effectively.
However, there are different kind of other threats of the Walmart supermarket
wherein there are different kind of options that are required to be analysed in an effectual
manner. The threats include the political issues in the entire global market that can cause
huge issues in the market and this can have direct impact on the entire organization as well.
The different kind of weaknesses has to be analysed in an effectual manner as this will help

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in providing the company with different kind of strategies that will help them in gaining
competitive advantage in an effectual manner. A proper and focused strategy is essential in
nature for the entire company as this will help the different companies in understanding the
different goals and this will help in attaining such goals in an effectual manner (Niesten &
Jolink, 2015).
Future Scenario of Retail Industry
The future of the entire retail industry has a huge potentiality and the growth will be
to its maximum as well. With the implementation of the advancements in the technology, it
has been seen that there will be different kind of implementation of strategies that will help
Walmart in understanding the different kind of requirements in an effectual manner.
In the future, there will be easy buy and easy pay in the next few years and this will
help the organization in attracting more customers in the entire competitive market.
With the implementation of different technological impact, the company will help in
gaining competitive advantage making the payments secured in nature (Villar, Alegre
& Pla-Barber, 2014).
Secondly, with the help of the social networks wherein it includes buy, share and
connect that have the invading effect on the shopping experience of the customers
(Sears & Hoetker, 2014). There will be huge kind of development in the entire
industry that will help the company in gaining huge and critical mass in the entire
competitive market (Wheelen et al., 2017).
The retail industry will become smoother in their operations as this will help the entire
company in understanding the requirements of the customers and provide them with
the omni experience as this will help the different customers in understanding the
different issues and solving issues effectually as well (Bettis et al., 2015).