Financial Performance Comparison: Google, Walmart, and McDonalds

This report provides a comparative analysis of three major companies: Google, Walmart, and McDonalds. It delves into their backgrounds, financial performance, and market positions relative to their competitors. Google's dominance in the search engine market, Walmart's retail strategies, and McDonald's consistency in the fast-food industry are examined. The report also considers the logical and emotional factors that can influence investment decisions, as prompted by the assignment brief. Future performance predictions are made based on current market trends and company strategies. This document is available on Desklib, a platform offering a wealth of academic resources for students.

Running head: COMPARISON BETWEEN THREE COMPANIES
COMPARISON BETWEEN THREE COMPANIES
Name of the Student
Name of the University
Author Note

1COMPARISON BETWEEN THREE COMPANIES
Introduction
The essay will be based on the analysis of three companies namely Google, Walmart
and McDonalds which belong to three different industries. The comparison will be mainly
based on the analysis of the financial position of the organizations in the market. The
backgrounds of the three organizations will be discussed in detail. The organizations will be
further compared to their competitors in the market. The companies that are taken into
consideration are, Google, Walmart and McDonalds. All the three are multinational
organizations of the American origin. The discussion will be based on the industry in which
they operate and their positions in the market as compared to their competitors in the market
(Helfat and Martin 2015).
Comparison of three companies
Analysis of Google
Google is a multinational technology organization of American origin which mainly
specialises in the products and services that are internet-related. The products of the
organization include, online technologies related to advertising, search engine, hardware and
software. The organization has a huge employee base of 73,992 and has its operations all
over the world. The revenues of the company have shown huge growth from the year 2008 to
2011. The financial position of the organization has shown sustainable since the start of its
operations. Google holds around 63% of the total worldwide market share in the year 2017
(Google.co.in. 2018).
The major reason behind the growth of Google has been the innovative search engine
of the company and the employee-friendly work culture. The entry of the organization in

2COMPARISON BETWEEN THREE COMPANIES
various markets like the fast growing industry has been able to provide huge opportunities of
growth for Google.
The major competitors of Google in the market are Bing and Yahoo. The two
companies have however not been able to give tough competition to Google in the market.
They have been able to acquire a market share of 16.2% and 10.8% respectively in the
worldwide market (Hill, Jones and Schilling 2014).
The future performance of the company will be mainly based on the ways by which it
is able to acquire the huge and fast growing smartphone market. This will help the
organization to further grow in size and increase its revenues.
Analysis of Walmart
Walmart is a multinational retail organization of American origin which mainly
operates a supermarkets and discount departmental stores. The headquarter of the company is
located in Bentonville, Arkansas. The revenues of the organization in the year 2017 has
amounted to 500.34 billion dollars. The organization has an employee base of 2.3 million in
the entire world and around 1.4 million in the US alone. Walmart holds the position of the
world’s biggest retail organizations in terms of the revenues (Walmart.com. 2018).
Walmart was established in the year 1945 by Sam Walton. The company enjoyed
immediate success in its ventures and the revenues that were earned by Walmart in the first
year was around 1,05,000 dollars. The company has to a stage where it owns more than 8500
stores in the entire world. The 2.2 million people are a part of the Walmart family. The major
reason behind the huge success of Walmart has been its lowest prices. The company has
always devised policies based on the choice of the customers (Pearlson, Saunders and
Galletta 2016).

3COMPARISON BETWEEN THREE COMPANIES
The major competitor of Walmart in the retail market has been Amazon and Target.
These two companies have been to provide tough competition to Walmart and have caused
negative effects on its revenues. Walmart has however been able to maintain its competitive
position in the retail market in terms of the revenues that are gained by the organization every
year.
The future performance of Walmart will be hugely affected by the strategies that have
been formulated by the company to address the competition in the market. The company has
implemented high-end technologies which are based on the future of retail market. Walmart
is also aiming at increasing its presence on the internet so that it can provide competition to
Amazon in the products and services that it offers. The organization has also planned for
further acquisitions so that it is able to increase its international presence. The organizational
chart of Walmart has also been modified so that it can operate successfully in the growing
retail market (Trigeorgis and Reuer 2017).
Analysis of McDonalds
McDonald’s is a fast food organization of American origin, which has its operations
in more than 36,000 locations in the entire world. The company was founded in the year 1940
and the headquarters are located in California, United States. The products that are offered by
the organization include, hamburgers, French fries, milkshakes, soft drinks and many more.
The revenues of the organization in the year 2016 was around 24.622 million US dollars.
McDonalds has acquired the position of the largest fast food organization in the world in
terms of revenues generated. The company holds a huge market share in the fast food
industry of the United States (Mcdonalds.com. 2018).
The major reason behind the huge success of McDonalds in the fast-food industry is
the consistency that has been maintained by the organization in the food products offered to

4COMPARISON BETWEEN THREE COMPANIES
the customers. The organization has been able to maintain the same quality of food in the
various franchises that operate under its name. The customers trust the organization on the
quality of products that are manufactured and provided by McDonalds.
The competitors of McDonalds in the fast food sector are, Burger King, Taco Bell,
KFC, Subway. The organizations are providing tough competition to Dominos in terms of the
revenues. The products offered by McDonalds are also being imitated easily by these fast
food chains (Schnackenberg and Tomlinson 2016).
The future performance of McDonalds is mainly based on the variety that they can
bring in the various products that they offer in the market. This will help McDonalds in
increasing its revenues and competing against the other fast food chains.
Conclusion
The three different organizations which belong to different industrial sectors operate
in unique manners. The stability of the companies on financial grounds depends on the costs
that are incurred in their operations. The sustainability and future performance is further
dependent on the high revenues and profitability of the companies. The competitors of the
organizations in the industry are also major factors that affect their profitability and revenues.

5COMPARISON BETWEEN THREE COMPANIES
References
Google.co.in. (2018). Google. [online] Available at: https://www.google.co.in/ [Accessed 14
Apr. 2018].
Helfat, C.E. and Martin, J.A., 2015. Dynamic managerial capabilities: Review and
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Hill, C.W., Jones, G.R. and Schilling, M.A., 2014. Strategic management: theory: an
integrated approach. Cengage Learning.
Mcdonalds.com. (2018). McDonald's: Burgers, Fries & More. Quality Ingredients.. [online]
Available at: https://www.mcdonalds.com/us/en-us.html [Accessed 14 Apr. 2018].
Pearlson, K.E., Saunders, C.S. and Galletta, D.F., 2016. Managing and Using Information
Systems, Binder Ready Version: A Strategic Approach. John Wiley & Sons.
Schnackenberg, A.K. and Tomlinson, E.C., 2016. Organizational transparency: A new
perspective on managing trust in organization-stakeholder relationships. Journal of
Management, 42(7), pp.1784-1810.
Trigeorgis, L. and Reuer, J.J., 2017. Real options theory in strategic management. Strategic
Management Journal, 38(1), pp.42-63.
Walmart.com. (2018). [online] Available at: https://www.walmart.com/ [Accessed 14 Apr.
2018].