Report on Global Business Environment: Walmart's Strategies & Risks

This report provides an overview of the global business environment and analyzes Walmart's international operations. It discusses the opportunities, risks, and considerations for Walmart as a global company, including the political, economic, socio-cultural, and technological factors affecting its business. The report also examines how Walmart manages its international operations in areas of recruitment, compensation, benefits, and training, highlighting the company's functional organizational structure and use of technology. The analysis references various sources to support its findings, offering a comprehensive perspective on Walmart's strategies and challenges in the global market. Desklib offers this and many other solved assignments for students.

Introduction
Global business environment can be explained as state of affairs where number of nations
consists with various exogenous elements, where business organisations perform operations with
an aim of generating revenue. At global level, in the year of 2018 there are 500 largest business
companies which has generated revenue in the amount of £25.34 trillion. Along with this, £1.67
trillion can be considered as the generated amount of profit. Along with this, if it is talked about
number of staff members then there are around 69.3 million individuals that are continuously
performing tasks at workstation for the succession of goals (Hamilton and Webster, 2018).
What does it mean to be global?
In business context, the term “Global” can be defined as different sovereign countries,
where organisations do performs operations to earn high profit margins. Global means the whole
world, where business firms takes decisions in regards to capabilities and resource use and many
more others as well. Including this, it is also said that today's business environment is
specifically holding number of uncertainties, which are required by business organisations like
Walmart to look into so that no issues takes place.

Company been successful in the global business environment?
A famous American multinational retailer named as Walmart, was found in the year of
1945 by Sam Walton. If it is talked about succession of this business organisation, In 2018,
Walmart become number one retailer when it managed to leave behind the Amazon. On the other
hand, it is also said that with the help of thousands of stores, Walmart has unanimously enhanced
sales by 40% from it's online application and website. Including this, it is also said that Walmart
was also deft in capitalizing on many rivals’ problems or demise, leading it to its best holiday
season in years. At present organisation is also continuously managed to bring innovations at
workplace considering the different range of features that has been given to customers like self-
driving delivery vans, personal shopping service and many more. Away with this, it is also said
that Walmart has succeeded just when it has managed to decide the number of key markets,
where firm has already passed the 500 billion mark recently (Walmart, 2019).
Opportunities, risks and considerations in becoming a global company.
When an organisation looks forward to become an international organisation, it brings
ample number of things with it and these are: Opportunities where in present time, it can be said
that for a business organisation like Walmart, there are number of opportunities stays available
like conducting business in a whole new sector and more. If it is talked about risks where
Currency exchange fluctuations can wipe out gains of a company like Walmart. It is must for this
kind of an organisation to develop right strategy to sustain within the market. Considerations
where, fluctuations among economic conditions of a country and more are said to be some of the
issues, that are required Walmart to understand, so that it could effectively gain competitive
advantages (Tallman, Luo and Buckley, 2018).

Political, economic, socio-cultural and technological factors affecting the
company.
In present context, political is said to be a factor shows that Walmart must address the
threat of higher wages. This is a threat because it goes against the cost minimization essential in
Walmart’s cost leadership generic strategy. Economic, for businesses operating globally, nothing
is better than a flourishing global economy. During the recession, people were forced to cut
down costs which had affected the revenue and profits of businesses. Socio- cultural, where if it
is talked about Walmart, consumer demographics have undergone a major change in the last
decade. The millennial generation likes to shop online. Increased use of digital technology and
increased smartphone usage have also encouraged online shopping. Another technological factor,
From marketing to customer service and HR management as well as supply chain management
everywhere the use of technology has become important for effectiveness.

How does the company manage their International Operations, in areas of
recruitment, compensation, benefits and training?
In present time, Walmart has followed the functional organisational structure, it helps
them in working in much more effective but in simple way. This reduces the chances for
company to deal with complexness. In present context, within the recruitment and selection
process, Walmart has specifically managed to consider the updated technology, which led them
in sustaining within the market for a longer period of time (Kasemsap, 2018).

REFERENCES
Books and Journals
Hamilton, L. and Webster, P., 2018. The international business environment. Oxford University
Press.
Kasemsap, K., 2018. Mastering business process management and business intelligence in global
business. In Global Business Expansion: Concepts, Methodologies, Tools, and
Applications (pp. 76-96). IGI Global.
Tallman, S., Luo, Y. and Buckley, P. J., 2018. Business models in global competition. Global
Strategy Journal. 8(4). pp.517-535.
Online
Walmart. 2019. [Online]. Available through: <https://fortune.com/global500/2019/walmart/>.