Founder of walmart

Sam Walton did not invent retailing, he simply changed the business model and way of doing business to make it a much more profitable venture.

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"The secret of successful retailing is to give your customers what they want. And really, if you think about it from your point of view as a customer, you want everything: a wide assortment of good-quality merchandise; the lowest possible prices; guaranteed satisfaction with what you buy; friendly, knowledgeable service; convenient hours; free parking; a pleasant shopping experience."

:- Sam Walton (1918-1992)

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• Headquarter:- Bentonville,Arkansas, United States.

• CEO :- Michael J. Duke.

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Revenue US$ 446.950 billion (2012)[1]

Operating income US$ 26.558 billion (2012)[1]

Net income US$ 15.699 billion (2012)[1]

Total assets US$ 193.406 billion (2012)[1]

Total equity US$ 71.315 billion (2012)[1]

Owner(s) Walton family

Employees 2.2 million (2012)[1]

DETAIL INFORMATION OF WALMART

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History

• Sam's focus was on selling products at low prices to get higher-volume sales at a lower-profit margin.

• Sales increased 45 percent in his first year of ownership to $105,000 in annual revenue, which increased to $140,000 the next year and $175,000 the year after that.

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Incorporation Incorporated as Wal-Mart Stores, Inc. on

October 31, 1969.The first stock split occurred in May 1971

at a market price of $47Walmart opened its first Texas store in

Mount Pleasant on November 11, 1975In 2000, H. Lee Scott became President

and CEOeffect"mom and pop" stores.

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Logo’s of Walmart

Wal-Mart rules the

Fortune 500 for the

second year in a row .

The eighth time this

decade -- beating Exxon

Mobil .

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How can walmart control the global

Walmart operations are organised into three divisions :-

• Walmart stores US• SAM’s club• Walmart international

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Enterprise.

Walmart stores US

• $258 billion, or 63.8 percent of total sales for financial year 2010

Walmart Discount Stores Walmart Supercenter Walmart Market Walmart Express

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Retail formats:-

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Stores with size from 51,000 square feet to 24,000 square feet

In 1990, Walmart opened its first Bud's Discount CityIn March 2012, there were 629 Walmart discount stores in

US

Hypermarkets with size from 98,000 to 261,000 square feet

The first Supercenter opened in 1988 In March 2012, there were 3,029 Wal-Mart Supercenters

in US

Walmart Discount Stores:-

Walmart Supercenter:-

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Walmart Market:- It is a chain of grocery stores that average about

42,000 square feetIts first store opened in 1998In May 2012, there were 199 Walmart Markets.

Walmart Express is a smaller discount storeWal-Mart planned to build 15 to 20 Walmart Express

stores, by the end of its fiscal year in January 2012.

Walmart Express:-

Sam’s club• Sam's Club stores are

"membership" stores and most customers buy annual memberships.

• Their old slogan was “We're in Business for Small Business” which changed to "Savings Made Simple“

• Walmart also operates more than 100 international Sam's Clubs in Brazil, China, Mexico

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Walmart International• Walmart's international comprise 4,263

stores and 660,000 workers in 15 countries outside the United States

• the company is the largest private employer in the U.S. and Mexico, and one of the largest in Canada.

• In the financial year 2010, Walmart's international division sales were $100 billion, or 24.7 percent of total sales.

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It started its international operations with its

entry in Mexico in 1991.

It formed a joint venture with Grupo Cifra SA de

CV (Cifra), a well-established retail chain in

Mexico. 

It  fine-tune its strategies to suit the Mexican

customer.

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Successful joint venturesEntered Mexico with a JV

2006 :-  It formed a joint venture with Bharti

Enterprises, Inc.

 2009:- Wal-Mart started doing business in India for

the first time.

Indian Wal-Mart is a wholesale business.

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Entered India with a JV

1990 :- Real estate prices in Japan declined.

Prompting many foreign retailers to enter

the country.

Wal-Mart started exploring the Japanese

market in 1997. 

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Entered in Japan:-

Corporate affairs

Walmart reported net income of $15.4Walmart is governed by 15 membersNotable former members include Hillary Clinton &

Tom Coughlin

In north america ,Walmart primary compitition include departmental stores like KMART, TARGET ,SHOPKO, MEIJER & many more…

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Finance & governance:-

Competition:-

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Customer base:- Analyst recently estimated that more than

1/5th of Walmart consumer lack bank account twice the national rate.

It was found that some small towns can lose almost half of their retails trade within 10 years of Walmart store opening.

Economic impact:-

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There are more than 2.2 million employees working in Walmart.

Walmart has been subject to criticism by numerous group & individual.

In 2005, labour union created a fake website to influence people against Walmart.

Employee & labour:-

Criticism:-

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Can Walmart adopt same strategies in

No. of Difficulties of Walmart :-• Hire a large no. of employees• Demand of urban people• Appropriate pricing• Organization culture

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other countries like U.S ?

Could competitors copy the inventory

• Walmart uses SMART inventory system , it keeps tracks of all the stock of Walmart and can automatically order the product which is out of stock.

NO other companies cannot copy their system because Walmart had ordered that software specially for them and they patented them.

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system of Walmart?

Current affairs on Walmart

• 21st sep, 2012:-Walmart plans India stores 'in two years’• 28th feb,2013:- Walmart ‘excited’ about FDI in retail• 6th march,2013:-Walmart, Solar City Helping To Boost Ohio Solar Energy• 7th march,2013:-Bharti walmart opens a store in Andhra Pradesh

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Future planning of walmart•Wal-Mart is planning to open a new distribution centre in Mankato, in late 2015, creating about 300 jobs.•Global expansion is the mantra of Walmart for future.•Wal-Mart plans to hire 100,000 veterans over five years•Walmart is moving ahead with a plan to open hundreds of small-format stores.

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STRENGTH

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OPPORTUNITYWEAKNESS

THREAT

Strength:-• Walmart is powerful retail plant• Walmart has grown substantially over

recently year, and has experience global expansion

• The company has a core competency involving its user of IT to support its international logistics system

• A focus strategy in place for HRM and development

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Weakness:-

• The corporate is huge but still has presence in 14 countries

• Customers sometimes are curious about the quality of products

• The market share is low outside the US market

• Supplies profit margin is very low

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Opportunity:-

• Take over , merge with , or form alliances with global retailers focusing on specific market such as Europe or China

• Due to recession in 2008-09 the purchasing power of customers is reduce

• Market development untapped market specially.

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Threats:-

• Being leader it faces a lot of competition

• Poor human relation• Effect on local retailers.

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• "Corporate Patriotism Award”, 2004, for

supporting of U.S. service members and their

families.

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Awards and achievements

• “Top 25 Diversity Recruitment

Programs" , 2002, to hire and promote

Latinos.

• Top Organizations for Multicultural

Business – DiversityBusiness.com

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Contd…

Most successful men have not achieved their distinction by having some new talent or opportunity presented to them. They have developed the opportunity that was at hand.

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