Impact of Vision, Mission, and Stakeholders on Walmart's Success

Running Head: WALMART 0
walmart

WALMART 1
Contents
Introduction................................................................................................................................1
Impact of Vision, mission and stakeholders on Walmart overall success.................................3
Porter’s Five Forces of Competitive Position Analysis.............................................................3
SWOT Analysis of Wesfarmers.................................................................................................4
Strength-.................................................................................................................................4
Weaknesses-...........................................................................................................................4
Opportunities-.........................................................................................................................4
Threats-...................................................................................................................................5
Strategies to maximise strength and opportunities.....................................................................5
Strategies to overcome threats and weaknesses.....................................................................5
Strategies to Maximise Competitiveness and Profitability........................................................5
Communication plan for various stakeholders...........................................................................6
For employees........................................................................................................................6
For customers.........................................................................................................................6
For suppliers...........................................................................................................................6
For government......................................................................................................................7
Corporate governance mechanism of Walmart..........................................................................7
1. Auditing...........................................................................................................................7
2. Board of directors............................................................................................................7
Effectiveness of leadership in Walmart.....................................................................................7
Recommendation for improving leadership...........................................................................7
Relationship between strategy and organisation structure.........................................................8
Techniques to solve issues in business administration..............................................................8
Efforts made by Walmart to be a responsible corporate citizen................................................8
Conclusion................................................................................................................................10
References................................................................................................................................11

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Introduction
Walmart which was incorporated in 1969 is World's biggest retail and wholesale store
(Walmart, 2018). It has basically three segments namely Walmart U.S., Walmart
International, Sam's Club (Reuters, 2018). Current CEO of Walmart is Doug McMillion. It
has to face various challenges due to its large size (Snyder, 2015). It will analysis Walmart
vision and mission that how these helps Walmart to bring success in business, further the
report will analyze the strength, weaknesses, opportunities, threats of Walmart and the way in
which Walmart can capitalize their strength and opportunities as well as overcome
weaknesses and threats. It also provides strategies for Walmart which they can use for
increasing their competitiveness and profitability. It further highlights the communication
plan by which Walmart can effectively communicate with all their stakeholders. In the later
section of the report, the corporate governance mechanism that is used by Walmart to control
managerial actions has been discussed. It showcases the way in which leadership is effective
in Walmart. Efforts made by Walmart to be ethical corporate citizen have been described
along with the relationships between organizational structure and strategies made by
Walmart.

WALMART 3
Impact of Vision, mission, and stakeholders on Walmart overall success
The vision of Walmart is to put emphasis on low prices, improving quality, providing
growth opportunities to its employees. The vision statement of Walmart helps it in
achieving overall growth, due to its lower prices Walmart is attracting a lot of customers
which in turn helps in company's overall success (Ferguson, 2017).
The mission of Walmart is to help people in saving their money. The mission slogan of
Walmart is saving more and live better. By giving this slogan, it is in the hearts of people
which result in the overall success of Walmart (Ferguson, 2017).
It is seen in the article that Walmart is only able to satisfy 50% of its stakeholders but by
improving this condition it can create more success in the market (Meyer, 2017).
Porter’s Five Forces of Competitive Position Analysis
It includes the threat of new entrants, bargaining power of suppliers, bargaining power of
buyers, threat of substitute products, rivalry among existing competitors (CGMA, 2018).
• The threat of new entrants to Walmart - New firms are entering the market with
innovative strategy this forces Walmart to cut down its prices, to cut down its
costs and providing innovative services. As Walmart is a leader in the market, it
has to keep himself in the growth pace (Greenspan, 2017).
• Bargaining power of buyers- Buyers demand are increasing day by day. They
want the good quality product at lower prices, it puts pressure on Walmart to put
innovative strategy so that it can sustain in the competitive environment.
• Bargaining power of suppliers- As Walmart also deals in food so it has to buy its
several raw materials from suppliers which in turn decrease the margins of
Walmart which it was earning in the market. Some powerful suppliers negotiate
with their prices which in turn affect the overall profitability of Walmart
(Greenspan, 2017).
• The threat of substitute product- Threats of substitute product occurs when
another industry is offering the similar product of same kind (Wilkinson, 2013).
There are so many firms who are competing in an industrial environment, it has
strong external forces from many firms which are retail firms, different variety of
retail firms (Greenspan, 2017).