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Case Study: Business Strategy Analysis of Wal-Mart

Sam Walton, a leader with an innovative vision, started his own company and made it into the leader in discount retailing that it is today. Through his savvy, and sometimes unusual, business practices, he and his associates led the company forward for thirty years. Today, four years after his death, the company is still growing steadily. Wal-Mart executives continue to rely on many of the traditional goals and philosophies that Sam’s legacy left behind, while simultaneously keeping one step ahead of the ever-changing technology and methods of today’s fast-paced business environment . The organization has faced, and is still facing, a significant amount of controversy over several different issues; however, none of these have done much more than scrape the exterior of this gigantic operation. The future also looks bright for Wal-Mart, especially if it is able to strike a comfortable balance between increasing its profits and recognizing its social and ethical responsibilities .

Why is Wal-Mart so Successful ? Is it Good Strategy or Good Strategy Implementation ? In 1962, when Sam Walton opened the first Wal-Mart store in Rogers, Arkansas, no one could have ever predicted the enormous success this small-town merchant would have. Sam Walton’s talent for discount retailing not only made Wal-Mart the world’s largest retailer, but also the world’s number one retailer in sales. Indeed, Wal-Mart was named “Retailer of the Decade” by Discount Store News in 1989, and on several occasions has been included in Fortune’s list of the “10 most admired corporations.” Even with Walton’s death (after a two-year battle with bone cancer) in 1992, Wal-Mart’s sales continue to grow significantly.

walmart case study questions

Regarded by many as the entrepreneur of the century, Walton had a reputation for caring about his customers, his employees (or “associates” as he referred to them), and the community. In order to maintain its market position in the discount retail business, Wal-Mart executives continue to adhere to the management guidelines Sam developed. Walton was a man of simple tastes and took a keen interest in people. He believed in three guiding principles: 1. Customer value and service; 2. Partnership with its associates; 3. Community involvement.

  • The Customer — The word “always” can be seen in virtually all of Wal-Mart’s literature. One of Walton’s deepest beliefs was that the customer is always right, and his stores are still driven by this philosophy. When questioned about Wal-Mart’s secrets of success , Walton has been quoted as saying, “It has to do with our desire to exceed our customers’ expectations every hour of every day”.
  • The Associates — Walton’s greatest accomplishment was his ability to empower, enrich, and train his employees. He believed in listening to employees and challenging them to come up with ideas and suggestions to make the company better. At each of the Wal-Mart stores, signs are displayed which read, “Our People Make the Difference.” Associates regularly make suggestions for cutting costs through their “Yes We Can Sam” program. The sum of the savings generated by the associates actually paid for the construction of a new store in Texas. One of Wal-Mart’s goals was to provide its employees with the appropriate tools to do their jobs efficiently. The technology was not used as a means of replacing existing employees, but to provide them with a means to succeed in the retail market.
  • The Community — Wal-Mart’s popularity can be linked to its hometown identity. Walton believed that every customer should be greeted upon entering a store, and that each store should be a reflection of the values of its customers and its community. Wal-Mart is involved in many community outreach programs and has launched several national efforts through industrial development grants.

What are the Key Features of Wal-Mart’s Approach to Implementing the Strategy Put Together by Sam Walton — The key features of Wal-Mart’s approach to implementing the strategy put together by Sam Walton emphasizes building solid working relationships with both suppliers and employees, being aware and taking notice of the most intricate details in store layouts and merchandising techniques, capitalizing on every cost saving opportunity, and creating a high performance spirit. This strategic formula is used to provide customers access to quality goods, to make these goods available when and where customers want them, to develop a cost structure that enables competitive pricing , and to build and maintain a reputation for absolute trustworthiness.

Wal-Mart stores operate according to their “Everyday Low Price” philosophy. Wal-Mart has emerged as the industry leader because it has been better at containing its costs which has allowed it to pass on the savings to its customers. Wal-Mart has become a capabilities competitor. It continues to improve upon its key business processes, managing them centrally and investing in them heavily for the long term payback. Wal-Mart has been regarded as an industry leader in testing, adapting, and applying a wide range of cutting-edge merchandising approaches. Walton proved to be a visionary leader and was known for his ability to quickly learn from his competitors’ successes and failures. In fact, the founder of Kmart once claimed that Walton not only copied our concepts, he strengthened them. Sam just took the ball and ran with it.

Wal-Mart has invested heavily in its unique cross-docking inventory system . Cross docking has enabled Wal-Mart to achieve economies of scale which reduces its costs of sales. With this system, goods are continuously delivered to stores within 48 hours and often without having to inventory them. Lower prices also eliminate the expense of frequent sales promotions and sales are more predictable. Cross docking gives the individual managers more control at the store level.

A company owned transportation system also assists Wal-Mart in shipping goods from warehouse to store in less than 48 hours. This allows Wal-Mart to replenish the shelves 4 times faster than its competition. Wal-Mart owns the largest and most sophisticated computer system in the private sector. It uses a MPP (massively parallel processor) computer system to track stock and movement which keeps it abreast of fast changes in the market. Information related to sales and inventory is disseminated via its advanced satellite communications system.

Wal-Mart has leveraged its volume buying power with its suppliers. It negotiates the best prices from its vendors and expects commitments of quality merchandise. The purchasing agents of Wal-Mart are very focused people. Their highest priority is making sure everybody at all times in all cases knows who’s in charge, and it’s Wal-Mart. Even though Wal-Mart was tough in negotiating for absolute rock-bottom prices, the company worked closely with suppliers to develop mutual respect and to forge long-term partnerships that benefited both parties. Wal-Mart built an automated reordering system linking computers between Procter & Gamble (P&G) and its stores and distribution centers. The computer system sends a signal from a store to P&G identifying an item low in stock. It then sends a resupply order, via satellite, to the nearest P&G factory, which then ships the item to a Wal-Mart distribution center or directly to the store. This interaction between Wal-Mart and P&G is a win-win proposition because with better coordination, P&G can lower its costs and pass some of the savings on to Wal-Mart.

Sam Walton received national attention through his “Buy America” policy. Through this plan, Wal-Mart encourages its buyers and merchandise managers to stock stores with American-made products. In a 1993 annual report management stated the program demonstrates a long-standing Wal-Mart commitment to our customers that we will buy American-made products whenever we can if those products deliver the same quality and affordability as their foreign-made counterparts.

Environmental concerns are important to Wal-Mart. A prototype store was opened in Lawrence, Kansas, which was designed to be environmentally friendly. The store contains environmental education and recycling centers. Wal-Mart has also adopted the low cost theme for its facilities. All offices, including the corporate headquarters, are built economically and furnished simply. To conserve energy, temperature controls are connected via computer to headquarters. Through these programs, Wal-Mart shows its concern for the community.

Wal-Mart has been led from the top but run from the bottom, a strategy developed by Sam Walton and carried on by a small group of senior executives led by CEO David Glass. Although recent growth has led Wal-Mart to add more management layers, senior executives strive to maintain its unique culture. This culture, described as “one part Southern Baptist evangelism, one part University of Arkansas Razorback teamwork, and one part IBM hardware” has worked to Wal-Mart’s advantage.

Just how Successful is Wal-Mart? — A forecast of Wal-Mart’s income for the period 1995-2000, considering increases of 30.6% in Net Sales, 27.7% in Operating Expenses, and 52.3% in Interest Debt (a level which is below Wal-Mart’s historically compounded growth rate of 55.6%) indicates that the company should continue to report gains each year until 2000.

Growth on Sales — According to most analysts and company projections, sales should approximate $115 billion by 1996, representing an increase of 30.6% as compared to 1995. If the company continues at this pace, sales should reach $334 billion by the year 2000. The growth on sales that Wal-Mart reported during the 1980s and the beginning of the 1990s will be difficult to repeat, especially considering the ever-changing marketplace in which it competes. In an interview, Bill Fields, President of the Stores Division, said “Wal-Mart is now seeing price pressure from companies that once assiduously avoided taking it on. These include specialty retailers such as Limited, category killers like Home Depot and Circuit City, and catalog companies like Spiegel. I think everybody prices off of Wal-Mart. You’ve got Limited reaching levels we’d thought they’d never get to. The result is that everyday low prices are getting lower”.

In addition, the baby-boomers are reaching their peak earnings years, when financial and personal priorities change. Thus, savings, not spending, will likely take precedence because most baby-boomers are approaching retirement.

Debt Position — Based on Wal-Mart’s position in 1994, which was considered a year of expansion for the company, (Wal-Mart added 103 new discount stores, 38 “Supercenters”, 163 warehouse clubs, and 94,000 new associates) interest debt increased 52.3%. The cost paid by Wal-Mart to finance property plants and equipment forced the company to increase long term debt by 4.6 times during the period 1991-1995. Long term debt for 1995 is $7.9 billion. If Wal-Mart continues its expansion plans based on more debt acquisition at 1994 levels, the company may not attain forecasted gains by as early as 1998.

Operating Expenses — Operating expenses will be a key strategic issue for Wal-Mart in order to maintain its position in the market. The challenge is how to run more stores with less operating expenses. According to Bill Fields, “. . . the goal is to increase sales per square foot and drive operating costs down yet another notch”. Trends indicate that operating expenses have been growing at a rate of 27.7% in recent years. However, Wal-Mart should reap the benefits of its investments in high technology, and be able to operate more stores without increasing its expenses.

Cost of Sales — Cost of sales historically has been equal to the level of sales. If the company continues to take advantage of its buying power, Wal-Mart can expect to lower its cost of sales.

Wal-Mart’s future will depend on how well the company manages its expansion plans. For the coming years, the company will need to justify its expansion plans with consistent growth in sales, in order to offset the increases in debt interest and operating expenses.

What Problems are Ahead for Wal-Mart? What Risks? — Throughout the 1980s, Wal-Mart’s strategic intent was to unseat industry leaders Sears and Kmart, and become the largest retailer in the U.S. Wal-Mart accomplished this goal in 1991. But Wal-Mart’s current strong competitive position and its past rapid growth performance can’t guarantee that the company will remain as the industry leader or maintain its strong business position in the future. Carol Farmer, a retail consultant, told the Wall Street Journal that, “One little bad thing can wipe out lots of good things”. Every move in its business operation ought to be well thought-out and executed.

Wal-Mart needs to address two major areas in order to maintain or to capture an even stronger long term business position: 1) Single-business strategy — Wal-Mart’s success is mainly based on its concentration of a single-business strategy. This strategy has achieved enviable success over the last three decades without relying upon diversification to sustain its growth and competitive advantages . Given its current position in the industry, Wal-Mart may want to continue its single-business strategy and to push hard to maintain and increase market share. However, there is risk in this strategy, because concentration on a single-business strategy is similar to “putting all of a firm’s eggs in one industry basket”. In other words, if the retail industry stagnates due to an economic downturn, Wal-Mart might have difficulty achieving past profit performance.

Also, if Wal-Mart continues to follow Sam Walton’s vision of expansion, Wal-Mart will reach its peak in the very near future. When it does, its growth will start to slow down and the company will need to turn its strategic attention to diversification for future growth .

2) Social responsibility — Retail stores can compete on several bases: service, price, exclusivity, quality, and fashion. Wal-Mart has been extremely successful in competing in the retail industry by combining service, price, and quality. However, other merchants may object to Wal-Mart’s entry into their community. Because of its ability to out-price smaller competitors, Wal-Mart’s stores threaten smaller neighborhood stores which can only survive if they offer merchandise or services unavailable anywhere else. This makes it very hard for small businesses, such as “mom-and-pop” enterprises, to survive. They, therefore, fight to keep Wal-Mart from entering their locales. Numerous studies conducted in different states both support and criticize Wal-Mart. Nevertheless, Wal-Mart did drive local merchants out of business when it opened up stores in the same neighborhood. As a result, more and more rural communities are waging war against Wal-Mart’s entrance into their market. Besides protesting and signing petitions to attempt to stop Wal-Mart’s entry into their community, the opposition’s efforts can even be found on The Internet. Gig Harbor, a small town in Washington, recently started a World Wide Web page entitled “Us Against the Wal.” The town’s neighborhood association promised that they “will fight them [Wal-Mart] tooth and nail”.

The increasing opposition indicates that the road ahead for Wal-Mart may not be as smooth as Wal-Mart’s annual report would entail. This requires Wal-Mart to rethink its expansion strategy since it would not be profitable to operate in an unfriendly community.

How Big Will Wal-Mart be in Five Years if all Continues to go Well? — Before he died, Sam Walton expressed his belief that by the year 2000 Wal-Mart should be able to double the number of stores to about 3,000 and to reach sales of $125 billion annually. Walton predicted that the four biggest sources of growth potential would be the following: 1. expanding into states where it had no stores; 2. continuing to saturate its current markets with new stores; 3. perfecting the Supercenter format to expand Wal-Mart’s retailing reach into the grocery and supermarket arena — a market with annual sales of about $375 billion; 4. moving into international markets.

Wal-Mart Supercenters represent leveraging on customer loyalty and procurement muscle in order to create a new domestic growth vehicle for the company. With few locations left in the U.S. to put a new Sam’s Club or traditional Wal-Mart, the Supercenter division has emerged as the domestic vehicle for taking Wal-Mart to $100 billion in sales. Before the Supercenter, Walton experimented with a massive “Hypermart”, encompassing more than 230,000 square feet in size. The idea failed. Customers complained that the produce was not fresh or well-presented and that it was difficult to find things in a store so big that inventory clerks had to wear roller skates. One of Walton’s philosophies was that traveling on the road to success required failing at times.

As a result of the unsuccessful experiment, Walton launched a revised concept: the Supercenter, a combination discount and grocery store that was smaller than the Hypermart. The Supercenter was intended to give Wal-Mart improved drawing power in its existing markets by providing a one-stop shopping destination. Supercenters would have the full array of general merchandise found in traditional Wal-Mart stores, as well as a full-scale supermarket, delicatessen, fresh bakery, and other specialty shops like hair salons, portrait studios, dry cleaners, and optical wear departments. Supercenters would measure 125,000 to 150,000 square feet, and target locations where sales per store of $30 to $50 million annually were feasible.

Walton’s prediction was right on target. The Supercenter division more than doubled in size during 1993, then doubled again in 1994. Supercenters, once thought of as risky because of slim profit margins on the food side, will most likely make Wal-Mart the nation’s largest grocery retailer within the next five to seven years.

Expanding overseas, Wal-Mart moved into the international market in 1991 through a joint-venture partnership with CIFRA S.A. de C.V., Mexico’s leading retailer. Since then the company has entered Canada, Hong Kong, mainland China, Puerto Rico, Argentina, and Brazil. The Wal-Mart International Division was officially formed in 1994 to manage the company’s international growth. By the year 2000, analysts expect Wal-Mart to be a huge international retailer, with numerous locations in South America, Europe, and Asia.

Conclusion — The ever-changing market presents continuing challenges to retailers. First and foremost, retailers must recognize the strong implications of a “buyers’ market”. Customers are being offered a wide choice of shopping experiences, but no one operation can capture them all. Therefore, it is incumbent upon management to define their target market and direct their energies toward solving that specific market’s problems. Technology, demographics, consumer attitudes, and the advent of a global economy are all conspiring to rewrite the rules for success. Success in the next decade will depend upon the level of understanding retailers have about the new values, expectations, and needs of the customer. If Wal-Mart continues its customer-driven culture, it should remain a retail industry leader well into the next century.

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Walmart’s Operations Management: 10 Strategic Decisions & Productivity

Walmart 10 decisions of operations management, strategic decision areas, productivity measures, retail business case study analysis

Walmart Inc.’s operations management involves a variety of approaches that are focused on managing the supply chain and inventory, as well as sales performance. The company’s success is significantly based on effective performance in retail operations management. Specifically, Walmart’s management covers all the 10 decision areas of operations management. These strategic decision areas pertain to the issues managers deal with on a daily basis as they optimize the e-commerce company’s operations. Walmart’s application of the 10 decisions of operations management reflects managers’ prioritization of business objectives. In turn, this prioritization shows the strategic significance of the different decision areas of operations management in the retail company’s business. This approach to operations aligns with Walmart’s corporate mission statement and corporate vision statement . The retail enterprise is a business case of how to achieve high efficiency in operations to ensure long-term growth and success in the global market.

The 10 decisions of operations management are effectively addressed in Walmart’s business through a combination of approaches that emphasize supply chain management, inventory management, and sales and marketing. This approach leads to strategies that strengthen the business against competitors, like Amazon and its subsidiary, Whole Foods , as well as Home Depot , eBay, Costco , Best Buy, Macy’s, Kroger, Alibaba, IKEA, Target, and Lowe’s.

The 10 Strategic Decision Areas of Operations Management at Walmart

1. Design of Goods and Services . This decision area of operations management involves the strategic characterization of the retail company’s products. In this case, the decision area covers Walmart’s goods and services. As a retailer, the company offers retail services. However, Walmart also has its own brands of goods, such as Great Value and Sam’s Choice. The company’s operations management addresses the design of retail service by emphasizing the variables of efficiency and cost-effectiveness. Walmart’s generic strategy for competitive advantage, and intensive growth strategies emphasize low costs and low selling prices. To fulfill these strategies, the firm focuses on maximum efficiency of its retail service operations. To address the design of goods in this decision area of operations management, Walmart emphasizes minimal production costs, especially for the Great Value brand. The firm’s consumer goods are designed in a way that they are easy to mass-produce. The strategic approach in this operations management area affects Walmart’s marketing mix or 4Ps and the corporation’s strategic planning for product development and retail service expansion.

2. Quality Management . Walmart approaches this decision area of operations management through three tiers of quality standards. The lowest tier specifies the minimum quality expectations of the majority of buyers. Walmart keeps this tier for most of its brands, such as Great Value. The middle tier specifies market average quality for low-cost retailers. This tier is used for some products, as well as for the job performance targets of Walmart employees, especially sales personnel. The highest tier specifies quality levels that exceed market averages in the retail industry. This tier is applied to only a minority of Walmart’s outputs, such as goods under the Sam’s Choice brand. This three-tier approach satisfies quality management objectives in the strategic decision areas of operations management throughout the retail business organization. Appropriate quality measures also contribute to the strengths identified in the SWOT analysis of Walmart Inc .

3. Process and Capacity Design . In this strategic decision area, Walmart’s operations management utilizes behavioral analysis, forecasting, and continuous monitoring. Behavioral analysis of customers and employees, such as in the brick-and-mortar stores and e-commerce operations, serves as basis for the company’s process and capacity design for optimizing space, personnel, and equipment. Forecasting is the basis for Walmart’s ever-changing capacity design for human resources. The company’s HR process and capacity design evolves as the retail business grows. Also, to satisfy concerns in this decision area of operations management, Walmart uses continuous monitoring of store capacities to inform corporate managers in keeping or changing current capacity designs.

4. Location Strategy . This decision area of operations management emphasizes efficiency of movement of materials, human resources, and business information throughout the retail organization. In this regard, Walmart’s location strategy includes stores located in or near urban centers and consumer population clusters. The company aims to maximize market reach and accessibility for consumers. Materials and goods are made available to Walmart’s employees and target customers through strategic warehouse locations. On the other hand, to address the business information aspect of this decision area of operations management, Walmart uses Internet technology and related computing systems and networks. The company has a comprehensive set of online information systems for real-time reports and monitoring that support managing individual retail stores as well as regional market operations.

5. Layout Design and Strategy . Walmart addresses this decision area of operations management by assessing shoppers’ and employees’ behaviors for the layout design of its brick-and-mortar stores, e-commerce websites, and warehouses or storage facilities. The layout design of the stores is based on consumer behavioral analysis and corporate standards. For example, Walmart’s placement of some goods in certain areas of its stores, such as near the entrance/exit, maximizes purchase likelihood. On the other hand, the layout design and strategy for the company’s warehouses are based on the need to rapidly move goods across the supply chain to the stores. Walmart’s warehouses maximize utilization and efficiency of space for the company’s trucks, suppliers’ trucks, and goods. With efficiency, cost-effectiveness, and cost-minimization, the retail company satisfies the needs in this strategic decision area of operations management.

6. Human Resources and Job Design . Walmart’s human resource management strategies involve continuous recruitment. The retail business suffers from relatively high turnover partly because of low wages, which relate to the cost-leadership generic strategy. Nonetheless, continuous recruitment addresses this strategic decision area of operations management, while maintaining Walmart’s organizational structure and corporate culture . Also, the company maintains standardized job processes, especially for positions in its stores. Walmart’s training programs support the need for standardization for the service quality standards of the business. Thus, the company satisfies concerns in this decision area of operations management despite high turnover.

7. Supply Chain Management . Walmart’s bargaining power over suppliers successfully addresses this decision area of operations management. The retailer’s supply chain is comprehensively integrated with advanced information technology, which enhances such bargaining power. For example, supply chain management information systems are directly linked to Walmart’s ability to minimize costs of operations. These systems enable managers and vendors to collaborate in deciding when to move certain amounts of merchandise across the supply chain. This condition utilizes business competitiveness with regard to competitive advantage, as shown in the Porter’s Five Forces analysis of Walmart Inc . As one of the biggest retailers in the world, the company wields its strong bargaining power to impose its demands on suppliers, as a way to address supply chain management issues in this strategic decision area of operations management. Nonetheless, considering Walmart’s stakeholders and corporate social responsibility strategy , the company balances business needs and the needs of suppliers, who are a major stakeholder group.

8. Inventory Management . In this decision area of operations management, Walmart focuses on the vendor-managed inventory model and just-in-time cross-docking. In the vendor-managed inventory model, suppliers access the company’s information systems to decide when to deliver goods based on real-time data on inventory levels. In this way, Walmart minimizes the problem of stockouts. On the other hand, in just-in-time cross-docking, the retail company minimizes the size of its inventory, thereby supporting cost-minimization efforts. These approaches help maximize the operational efficiency and performance of the retail business in this strategic decision area of operations management (See more: Walmart: Inventory Management ).

9. Scheduling . Walmart uses conventional shifts and flexible scheduling. In this decision area of operations management, the emphasis is on optimizing internal business process schedules to achieve higher efficiencies in the retail enterprise. Through optimized schedules, Walmart minimizes losses linked to overcapacity and related issues. Scheduling in the retailer’s warehouses is flexible and based on current trends. For example, based on Walmart’s approaches to inventory management and supply chain management, suppliers readily respond to changes in inventory levels. As a result, most of the company’s warehouse schedules are not fixed. On the other hand, Walmart store processes and human resources in sales and marketing use fixed conventional shifts for scheduling. Such fixed scheduling optimizes the retailer’s expenditure on human resources. However, to fully address scheduling as a strategic decision area of operations management, Walmart occasionally changes store and personnel schedules to address anticipated changes in demand, such as during Black Friday. This flexibility supports optimal retail revenues, especially during special shopping occasions.

10. Maintenance . With regard to maintenance needs, Walmart addresses this decision area of operations management through training programs to maintain human resources, dedicated personnel to maintain facilities, and dedicated personnel to maintain equipment. The retail company’s human resource management involves training programs to ensure that employees are effective and efficient. On the other hand, dedicated personnel for facility maintenance keep all of Walmart’s buildings in shape and up to corporate and regulatory standards. In relation, the company has dedicated personnel as well as third-party service providers for fixing and repairing equipment like cash registers and computers. Walmart also has personnel for maintaining its e-commerce websites and social media accounts. This combination of maintenance approaches contributes to the retail company’s effectiveness in satisfying the concerns in this strategic decision area of operations management. Effective and efficient maintenance supports business resilience against threats in the industry environment, such as the ones evaluated in the PESTEL/PESTLE Analysis of Walmart Inc .

Determining Productivity at Walmart Inc.

One of the goals of Walmart’s operations management is to maximize productivity to support the minimization of costs under the cost leadership generic strategy. There are various quantitative and qualitative criteria or measures of productivity that pertain to human resources and related internal business processes in the retail organization. Some of the most notable of these productivity measures/criteria at Walmart are:

  • Revenues per sales unit
  • Stockout rate
  • Duration of order filling

The revenues per sales unit refers to the sales revenues per store, average sales revenues per store, and sales revenues per sales team. Walmart’s operations managers are interested in maximizing revenues per sales unit. On the other hand, the stockout rate is the frequency of stockout, which is the condition where inventories for certain products are empty or inadequate despite positive demand. Walmart’s operations management objective is to minimize stockout rates. Also, the duration of order filling is the amount of time consumed to fill inventory requests at the company’s stores. The operations management objective in this regard is to minimize the duration of order filling, as a way to enhance Walmart’s business performance.

  • Reid, R. D., & Sanders, N. R. (2023). Operations Management: An Integrated Approach . John Wiley & Sons.
  • Szwarc, E., Bocewicz, G., Golińska-Dawson, P., & Banaszak, Z. (2023). Proactive operations management: Staff allocation with competence maintenance constraints. Sustainability, 15 (3), 1949.
  • Walmart Inc. – Form 10-K .
  • Walmart Inc. – History .
  • Walmart Inc. – Location Facts .
  • Walmart’s E-commerce Website .
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A Detailed Case Study on Largest Retail Giant Walmart

Avinash kumar mahato

Avinash kumar mahato

Walmart is one of the largest retail companies in the world. It was founded in 1962 by Sam Walton. The headquarter of this company is situated in the United States. The main aim of the company is to provide consistent discounts, loyal customer service, and fast friendly service.

Walmart’s targets to expand its business in large cities as well as spread retail stores throughout the world. The retail stores of Walmart are divided into four divisions Walmart Supercenters , Discount Stores, Neighborhood Markets, and Sam’s Clubs warehouses. More than 100 million customers are visiting these Walmart Stores.

It is very uncomfortable for small merchants and communities in America. Walmart reaches their town and provides low-cost offers and the best customer service. It is a very bad condition for small merchants and businessmen in America. To downtown merchants, Walmart just comes and takes over all the small stores.

The purchasing power, aggressive marketing and provide low prices to the customer by Walmart, tend to pull out the business by the small merchants. Gradually the dream of Walmart company to become the largest retailer in the world is full filing day-by-day. But, they increase their business by the wrong actions and do not respect the culture or language of the communities.

Timeline Events Of Walmart company Business Model Of Walmart How Walmart Generates Revenue? Walmart’s Marketing Strategy Walmart’s - Flipkart Acquisition

Timeline Events Of Walmart company

The Timeline of events for Walmart company since its inception.

  • 1960: Sam Walton opened his first discount store in Rogers, Arkansas.
  • 1981: Walmart become the largest company in America .
  • 1981: After becoming the largest company in America, they opened their stores in a small Louisiana town.
  • 1983: Walmart opened its stores in Pawhuska and Oklahoma.
  • 1986: Walmart claims that it can restore more than 4000 jobs to American Communities.
  • 1989: They drive a campaign about Environmental awareness that Walmart is aware of land, water, and air.
  • 1990: There are some activist groups against the expansion of Walmart’s store.
  • 31st December 1990: Walmart’s closed its stores in  Louisiana.
  • 5th November 1991: Walmart opened up its store in Lowa City.
  • 6th October 1998: Walmart’s founder Sam Walton created a family charity named Walton Family Charitable Support Foundation.
  • June 1999: Walmart takes over the ASDA Chain (a British supermarket chain), now they have stores and depots across the United States.
  • 2001: Walmart becomes the world’s largest retailer, got huge sales of $191 billion.
  • July 2003: Walmart opened its stores in Beijing and till now they have 22 stores in China and counting.
  • 2006: Walmart closed its stores in Germany.
  • July 2007: Walmart is operating more than 2500 retail units in Walmart International and more than 500,000 employers in some countries.
  • 2007: By the ending of this year, they got a net $45 billion sales.
  • 2008: Walmart’s opened its wholesale facility in India. This is the first step of Walmart's to sell products through its retail outlets in India.
  • 2018: Walmart acquired Flipkart for $16 billion and owned 77% stake in India’s largest online retailer brand.

Business Model Of Walmart

walmart case study questions

There are different business models that are followed by successful companies which vary from time to time. The business model of Walmart is based to eliminate the middleman from the distribution channels. The advantage of removing the middleman is to provide benefit to the consumer by providing products at lower costs. The main motive of Walmart's business strategy company is to enter every segment of the market and dominate the market by providing products at a lower price.

The main marketing strategy of the company is based on leading on price, be competitive, and deliver a great experience by the motto of Everyday Lower price.

Walmart has three important segments.

Walmart U.S

Walmart U.S is operated in the U.S. They provide customers with products and services that are not present physically in stores. They provide their services via the website and mobile application . The website of Walmart company has a special feature that provides a third party to sell products. The company operates its business on various platforms like supermarkets, discount stores, neighborhood markets, and e-commerce websites .

Walmart International

Walmart International is also divided into three sections which are retailers, wholesalers, and other small projects. These sections are also divided into various sections such as supermarkets, warehouses, electronics, apparel stores , drug stores, digital retailers, and many more.

It is the online platform of Walmart’s company i.e., “ samsclub.com ”. This club is consists of memberships of the only warehouse retailer operations. This section includes warehouse clubs in the U.S, as well as samsclub.com.

walmart case study questions

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How Walmart Generates Revenue?

The Revenue Model of Walmart deals with the principle of buying in bulk in one go. In this system, they got a huge discount from the manufacturers. They sell in small quantities at low prices. By reducing the price they have high sales volume through which they have high earning.

Walmart’s generate its revenue by removing the middleman and selling their product directly to the customers and services to business. The two main sources of revenue are Product revenue and Service revenue .

Walmart's revenue in the fiscal year ending January, 2020 was $524 Billion.

Product Revenue

Walmart has a wide range of products in various categories:-

  • In the grocery category, they have products like Daily needs products, dairy products, frozen foods, bakery, baby products, beauty aids, and many more.
  • Health and wellness category have products like Pharmacy products and clinical services .
  • The entertainment category has products like electronics products, toys, cameras, movies, music, videos, and books.
  • Stationary, paints, and hardware, Automotive, sporting goods, crafts, and seasonal merchandise.
  • Apparel categories include apparel for men, women, boys, girls, shoes, jewelry, and accessories.
  • Home appliances include home furnishing services, home decor, livings, and horticulture.

Service Revenue

Walmart also provide services to generate revenue in various fields:-

  • They provide financial services like prepaid cards , money orders, wire transfer, money transfers, bill payments, and so on.
  • VUDU movie streaming services: This is a subscription-based OTT platform for buying and renting movies, watching TV shows on demand.
  • Clinical Services include primary health care, Physical and Wellness checks, Clinical lab tests.
  • Health Insurance services

walmart case study questions

Walmart’s Marketing Strategy

Walmart's Business Strategy Analysis is one of the most important parts of any business whether it is small or large. It is very important to make an effective marketing plan to survive in the market . Walmart uses the principle of business marketing penetration method which is used to capture the market by offering lower prices and competitive prices to the consumers.

The company follows cost leadership which makes a huge profit for the company. The company provide low prices to the consumer and treated all the customers as king of the market to maintain the relationship between Walmart and the customer.

According to Walmart, there are four factors that drive the customer’s choice of retailer:

  • Assortment.

One more reason for the success of Walmart is purchasing products from local manufacturers in a bulk in one go and selling in small quantities. Buying from local manufacturers is the benefit for both. Buying more products from local manufacturers means they are creating more jobs and they reduce the unemployment rate. They should provide good quality products at a lower price to maintain a good relationship with customers and continue to get profits in business.

walmart case study questions

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walmart case study questions

Walmart’s - Flipkart Acquisition

Walmart Acquired Flipkart

Flipkart is one of the leading Indian e-commerce brands. In 2018, Walmart takes 77% stakes in India’s largest e-commerce company Flipkart and makes the world’s biggest purchase of an e-commerce company.

After this acquisition the future of eCommerce industry in India has become more competitive than ever.

The three main reasons for the acquisition of Flipkart are Flipkart’s leadership in some lucrative sections, its payment platform and the company’s talent pool.

Walmart’s world’s largest company is to continue to expand its business by improving its strategies day-by-day. The main reason for the success of Walmart is the EDLP system i.e., Everyday Low Price. They are working aggressively to maintain profits, market shares, and provide low prices to consumers. There are many business ideas to gain profit from a market. All depends on how you play the cards for a profitable business.

Walmart has made acquisitions of 28 organizations and has 16 sub-organization.

Feel free to reach us and share your understanding and views on the case study of Walmart. We would love to hear from you.

What is the business model of Walmart?

The business model of Walmart is based on eliminating the middleman from the distribution channels. The advantage of removing the middleman is to provide benefit to the consumer by providing products at lower costs.

What is the motive behind Walmart's Business Strategy?

The main motive of the Walmart business strategy company is to enter every segment of the market and dominate the market by providing products at a lower price.

What is Walmart's Market Strategy?

How does walmart generate revenue.

The earning model of Walmart deals with the principle of buying in bulk in one go. In this system, they got a huge discount from the manufacturers. Walmart’s generate its revenue by removing the middleman and selling their product directly to the customers and services to business.

What are the main sources of revenue for Walmart?

The two main sources of revenue are:

  • Product revenue
  • Service revenue

Is Walmart owned by China?

The Walmart branch in China is majority Chinese-owned. But predominantly it is owned by Sam Walton's many children.

Why is Walmart so cheap?

They sell in small quantities at low prices. By reducing the price they have high sales volume through which they have high earning.  Hence, by selling in high volume they can sell it at a cheap price and still gain profit.

What are the sub-organisations under Walmart?

There are 16 sub-organisations of Walmart. Some of them are:

  • Walmart Labs
  • Seiyu Group
  • Walmart Canada

What are the top acquisitions of Walmart?

Walmart has acquired 28 companies. Some top acquisitions are:

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Walmart: Supply Chain Management – Case Solution

The Walmart: Supply Chain Management case study discusses the cost-saving strategy of the company and its supply chain management strategy. It focuses on how the company manages its supply chain in comparison with its competitors.

​P. Fraser Johnson and Ken Mark Harvard Business Review ( W19317-PDF-ENG ) July 08, 2019

Case questions answered:

  • Analyze the Walmart supply chain. Do you think their capabilities are a competitive advantage for Walmart? Why yes or why not?
  • How is Walmart managing its supply chain? Compared it with its competitors?
  • What are the most important business challenges Walmart faces and what implications do they have have for its supply chain?
  • If you were Doug McMillon, president, and CEO of Walmart, what would be your strategic plan to improve Walmart’s supply chain and why?
  • Where are the greatest opportunities to improve efficiency?
  • How do you think this plan would help Walmart to compete against Amazon?

Not the questions you were looking for? Submit your own questions & get answers .

Walmart: Supply Chain Management Case Answers

1. analyze the walmart supply chain. do you think their capabilities are a competitive advantage for walmart why yes or why not.

According to Barnes (2001), capabilities can be understood as a certain set of business developments that are being understood strategically. Every firm delivers value to its customers through these business developments. Stalk et al. (2015) dispute that a firm’s business processes can be used to achieve a competitive advantage, provided that they are being seen as strategic capabilities. As such, Walmart’s supply chain practices assist in attaining multiple competitive advantages, such as cost-saving strategies and better client service and solutions delivery procedures.

Walmart implemented an ¨everyday low-price¨ (EDLP) strategy as its business model to reduce the costs and investments related to its operations.

Thus, Walmart’s supply chain plays a major role in maintaining this “good-deal” strategy. This strategy consists of the following key practices:

The primary and fundamental reason behind Walmart’s successful competitive advantage relates to the intensive involvement of customers, partners, suppliers, and management.

For instance, Walmart has an excellent and long-term affiliation with its suppliers due to two reasons. Walmart offers suppliers large orders and commits to them for a relatively long time. by using Electronic Data Interchange with its suppliers (EDI).

EDI is a standard format used for exchanging firm documents and making up communication and translation (8th and Walton, 2013). Thanks to this, Walmart creates coordination between suppliers tightly in product delivery schedules, thus minimizing potential risks involved.

Walmart’s second strategy involves utilizing global merchandising centers to acquire merchandise in bulk for lower prices. The company adopts the cross-docking strategy, in which the company avoids the storage of goods during the transportation process.

Instead, the company transfers the products between trucks. Right before the products reach these trucks, the packaging is changed. The tags are being attached to save on the inventory costs and the transportation itself and save on transportation time. This strategy allows Walmart to send unsold products (Black hauls) back to its suppliers, a cost-saving method (Lu, 2018).

Finally, Walmart is the first company to incorporate UPCs (Universal Product Codes) for their transactions to enhance the quality of inventory and supply chain.

The codes will be transferred into a collection of data connected to the global satellite system. Lu (2018) believes that this data collection provides multiple benefits in forecasting the demand and telling the real-time sales from the registers in the stores.

Moreover, thanks to the invention of the RFID (Radio Frequency Identification) tags in shelves, docks, recycled areas, and docks, Walmart managed to save $500 million a year on average. This inventory reduction has made the communication process easier at the same time.

Applying and managing the inventory with the newest technology in distribution methods, for example, the implementation of ¨shelf-scanning¨ robots, etc., will result in a highly efficient supply chain process and a low rate of the ¨bullwhip effect¨.

This occurs when a lack of communication between the supply links causes the inventory to pile up as a reaction to demand ¨spikes¨.

Clayton M. Christensen (2001) provides some insights regarding Walmart’s Supply Chain in his book, ¨The Past and Future of Competitive Advantage¨. He states that ¨competitive advantage is a concept that often inspires in strategists a form of idol worship – a desire to imitate the strategies that make the most successful companies successful¨.

The fact that Walmart was one of the first companies to (successfully) implement data-based decisions regarding their operations processes led to a ¨copycat¨ trigger in other comparable companies, according to Ken Mark (2019). The latter confirms that the capabilities of Walmart are indeed a competitive advantage for the company.

2. How is Walmart managing its supply chain? And compared with their competitors?

Walmart believes in selling merchandise to customers at discounted prices or below standard to gain profit, using developed structure and advanced supply chain management strategies as a competitive strategy. Thus, Walmart has become one of the market leaders and has maintained its status for a long period.

The company applies…

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Wal-Mart Case Study Questions

To what extent is Wal-Mart’s performance attributable to industry attractiveness and to what extent to competitive advantage? Wal-Mart is a company which operates in the service sector, more specifically in the “Discount, Variety Stores/Retail” industry. The company’s superior performance is demonstrated through the fact that it was America’s largest company in 2002, and the reputation of the company is reflected in the opinion of “Fortune” who have identified Wal-Mart as one of the world’s most admired companies. In 2004 Wal-Mart had been hiring 1.4 million employees – making it the largest corporation in the world. Wal-Mart’s share prices have also been stable at time of stock market volatility. There are several reasons behind Wal-Mart’s breathtaking results, most of them coming from the fact that Wal-Mart had been able to combine industry attractiveness with its competitive advantages.

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Wal-Mart managed to implement correct strategies to utilize its resources to the maximum and thus be able to create superior value for its customers.The competitive advantages of Wal-Mart are demonstrated through:

  • Their customized superior Distribution model -Diversity of retail stores
  • Unique approach to retailing and a unique corporate culture – minimizing costs and maximizing customer satisfaction is what Wal-Mart’s philosophy is all about
  • Their capacity for continuous improvement and innovation Most productive work force

The industry Wal-Mart is a part of is a fast-paced, turbulent, highly competitive environment and there is no guarantee of continued success. The industry had been developing and growing and so had Wal-Mart with it. 2. In which of Wal-Mart’s principal functions and activities do WM’s main competitive advantages lie? Identify the distinctive resources and capabilities in each of these functions/activities.

walmart case study questions

However as Wal-Mart is expanding, the corporation is facing, new, unknown challenges for which they are yet to develop strategies for gaining competitive advantages. Time will tell if Wal-Mart is able to cope with the growing outside pressure. 5. Looking ahead, what measures does WM need to take to sustain its recent performance and defend against competitive threats? Wal-Mart faces two challenges in the future, regarding performance sustainability and these are:

  • Maintaining the existing corporate culture in the expanding company
  • Managing change, and being able to adapt and alter its policies when expanding internationally
  • Maintaining the strive for the most state of the art technology and methods for operating stores, and further cutting costs while offering customers more
  • Being able to open new formats of stores which are more competitive in specialized areas, where Wal-Mart is currently losing against firms that cover specialized onsumer needs
  • Develop Wal-Mart. com further, and take the business online.

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9.40 wal-mart stores, inc., walmart's supply chain management, current threats, points to note, sources and further reading.

1. Walmart Stores, Inc. . Funding Universe . Solid business article with extensive references. 2. Wal-mart's supply chain management practices by P. Mohan Chandran. Mohanchandran . 2002. 3. Wal-mart's supply chain management practices. CaseStudyInc . January 2008. 4. Wal-mart's supply chain management practices. Thinking Made Easy . June 2009. 5. Wal-mart's supply chain management success by 'freightforwarder'. Laowee . September 2010. 6. A Case Study of Wal-mart's 'Green' Supply Chain Management by Adam Heying and Whitney Sanzaro. Apicsterragrande . May 2009. 7. Supply Chain . ASA Research . 2010. 8. Criticism of Walmart. Wikipedia . Company's often poor but legal labor etc. relations: a detailed treatment. 9. Wal-mart Financial Results . MSN . Financial reports 2007-2011. 10. The Wal-mart Revolution: How Big-Box Stores Benefit Consumers, Workers, and the Economy by Richard Vedder and Wendell Cox. Aei Press. December 2006. 11. Walmart has first US sales rise in two years by Alan Rappeport. FT . October 2011. 12. The end of the Wal-mart era. MSN Money . August 2007. Reprinted from the Wall Street Journal. 13. Walmart . Walmart corporate site . 14. Vast Mexico Bribery Case Hushed Up by Wal-Mart After Top-Level Struggle by David Barstow. N.Y.T. April 2012. 15. Walmart Stores . Daily Finance . August 2012. 16. Wal-Mart Customers Complain Bare Shelves Are Widespread by Renee Dudley. Bloomberg . April 2013.

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Walmart: Supply Chain Management

By: P. Fraser Johnson, Ken Mark

This case focuses on the supply chain strategy of Walmart. Set in 2019, it provides a detailed description of the company's supply chain network and capabilities. Data in the case allows students to…

  • Length: 16 page(s)
  • Publication Date: Jul 8, 2019
  • Discipline: Operations Management
  • Product #: W19317-PDF-ENG

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This case focuses on the supply chain strategy of Walmart. Set in 2019, it provides a detailed description of the company's supply chain network and capabilities. Data in the case allows students to compare Walmart's source of competitiveness with those of other retailers-both online including Amazon.com and traditional brick-and-mortar retailers, such as Target-to develop insights into the management of a large, complex, global supply chain network. As competition between Walmart and its online and offline competitors heated up, a key challenge for the company's president and chief executive officer was deciding what changes made to Walmart's expanding supply chain would best support its strategic objectives. What supply chain capabilities would Walmart need as its business model continued to evolve?

Learning Objectives

This case can be used in an undergraduate or MBA course in supply chain management, operations management, business strategy, international business, logistics, purchasing, or marketing. It can provide an introduction to supply chain management using a company with which most students are familiar. In doing so, it allows students to learn how Walmart has built up its supply chain capabilities over the past five decades, and how the company leveraged these capabilities to become the world's largest retailer. Combining the Walmart case with the "Amazon.com: Supply Chain Management" case (W18451) in back-to-back classes provides a powerful illustration of the differences between two leading companies and demonstrates the importance of alignment of supply chain competencies with organizational strategy. After completion of this case, students will be able to: Assess Walmart's supply chain and identify its key competitive advantages. Quantify Walmart's ability to generate value from its supply chain. Identify potential opportunities and challenges for Walmart to improve its supply chain. Analyze the effects of the opportunities and challenges facing Walmart on its growth and evolution.

Jul 8, 2019 (Revised: Sep 9, 2019)

Discipline:

Operations Management

Geographies:

United States

Industries:

Retail trade

Ivey Publishing

W19317-PDF-ENG

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How to Prepare for Walmart Product Management Case Interviews

If you're looking to land a product management role at Walmart, you'll likely need to ace the case interview.

Posted May 16, 2023

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Featuring Nataraj S.

Ask Me Anything: Product Management Recruiting

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Table of Contents

If you're pursuing a career in product management at Walmart, you'll likely be required to go through a rigorous interview process. This process will not only test your knowledge of the company, but also your ability to think critically, your problem-solving skills, and your decision-making abilities. To make sure that you're well-equipped to handle the interview process, you need to prepare meticulously. In this article, we'll be discussing the step-by-step process that you can follow to ace your Walmart Product Management Case Interviews.

Understanding the Walmart Product Management Interview Process

Before diving deep into preparation, it's important to understand the interview process for a product management role at Walmart. Typically, the process consists of several rounds of interviews spread over a few weeks. The first round is usually a phone interview, followed by one or two rounds of case interviews, and a final-round interview with Walmart executives. The case interview is the most important part of the process. In this type of interview, you'll be given a hypothetical situation that you'll need to analyze and provide a solution for. You'll be judged on your ability to think critically, your decision-making skills, your communication skills, and your ability to work under pressure.

It's important to note that Walmart values diversity and inclusion in their hiring process. They are committed to creating a diverse workforce and ensuring that all candidates are given equal opportunities. As such, they may ask questions related to your experiences with diversity and inclusion, and how you would handle situations related to these topics in the workplace.

Additionally, Walmart is a company that values innovation and staying ahead of the curve. As a product manager, you'll need to demonstrate your ability to think creatively and come up with new ideas. During the interview process, you may be asked to share examples of how you've implemented innovative solutions in your previous roles, or how you would approach a specific challenge at Walmart.

Researching Walmart's History and Products

To prepare for your Walmart product management case interviews, it's crucial that you research the history of the company and its product portfolio. You need to understand the company's values, mission, and vision. You'll also need to know about the products that Walmart sells, the trends in the retail industry, and the target audience that the company caters to. This information will help you better understand the case questions you'll be asked during the interview process.

One important aspect to consider when researching Walmart's history and products is the company's sustainability efforts. Walmart has made significant strides in reducing its environmental impact and promoting sustainable practices throughout its supply chain. This includes initiatives such as reducing waste, increasing energy efficiency, and sourcing products from sustainable sources. Understanding Walmart's sustainability efforts can provide valuable insights into the company's values and priorities, and may be relevant to case questions related to product development and supply chain management.

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Analyzing Walmart's Current Market Position

As a product manager, you'll need to have a clear understanding of Walmart's current market position. This means knowing the competition, the current trends in the industry, and the areas where Walmart is excelling and where it needs improvement. Analyzing this information will help you to identify areas where you can make a positive impact and develop new ideas to improve the company's performance.

One area where Walmart has been excelling in recent years is in its e-commerce business. With the rise of online shopping, Walmart has invested heavily in its online platform and has seen significant growth in its online sales. In addition, Walmart has been expanding its grocery delivery and pickup services, which has become increasingly popular among customers. However, there is still room for improvement in areas such as sustainability and employee satisfaction, which are becoming increasingly important to consumers.

Identifying and Prioritizing Customer Needs for Walmart Products

One of the most critical skills that a product manager needs to possess is the ability to identify customer needs. You need to know what the customer wants, what they value, and what is important to them. You'll need to have a thorough understanding of the customer's buying behavior, spending habits, and their expectations of Walmart products. Once you've identified these needs, you'll need to prioritize them to ensure that you're providing the best possible product for the customer.

One effective way to identify customer needs is to conduct market research. This can involve surveys, focus groups, and analyzing customer feedback. By gathering data on customer preferences and pain points, you can gain valuable insights into what they need and want from Walmart products. Additionally, you can use this information to identify trends and anticipate future customer needs.

Once you've identified customer needs, it's important to prioritize them based on their level of importance and feasibility. Some needs may be critical to the customer's satisfaction, while others may be nice-to-have features. You'll also need to consider factors such as cost, time, and resources required to implement these changes. By prioritizing customer needs, you can ensure that you're focusing on the most important areas and delivering the best possible product for the customer.

Developing Effective Product Strategies for Walmart

The effective product strategy is essential for any product manager, and Walmart is no exception. During the interview process, you'll be asked to develop new product ideas and strategies to improve the current product portfolio. To do this, you'll need to be creative, innovative, and have a deep understanding of the market and the customer.

One important aspect to consider when developing product strategies for Walmart is the company's commitment to sustainability. Walmart has set ambitious goals to reduce its environmental impact and promote sustainable practices throughout its supply chain. As a product manager, you'll need to think about how your products can align with these goals and contribute to Walmart's overall sustainability efforts. This could involve sourcing materials from sustainable suppliers, reducing packaging waste, or designing products that are more energy-efficient. By incorporating sustainability into your product strategies, you'll not only help Walmart achieve its environmental goals but also appeal to customers who are increasingly concerned about sustainability and environmental issues.

Creating a Structured Approach to Solving Case Interview Questions

To be successful in your Walmart product management case interviews, you need to have a structured approach to analyze and solve business cases. This means breaking down the case into smaller parts, gathering relevant information, identifying the problem, and coming up with a solution that addresses the issue. Having a robust framework will help you stay organized and avoid getting overwhelmed by complex case scenarios.

Practicing Case Interview Questions with Mock Interviews

Practice makes perfect, and this also applies to Walmart product management case interviews. To improve your chances of success, it's essential to practice case interview questions with a mock interview. You can use online resources, join a case interview group, or work with a mentor or consultant. The goal is to gain a better understanding of how to approach case interviews and improve your skills with every practice session.

Tips for Navigating Behavioral Questions in Walmart Product Management Interviews

Behavioral questions provide insight into how you'll perform on the job, and they're an essential part of the Walmart product management interview process. During the interview, you'll be asked about how you handle difficult situations, how you work in a team, and how you deal with stress and deadlines. Preparing responses and examples of past experiences is key to acing these types of questions.

Preparing for the Final Round of Interviews with Walmart Executives

If you make it through the case interviews, you'll be required to attend a final interview with Walmart executives. This will be a more traditional interview, where you'll discuss your background, experience, and qualifications. You'll need to be prepared to answer questions about your motivation for applying for the job, the challenges you've faced as a product manager, and how you can help Walmart succeed in the future.

Common Mistakes to Avoid During the Walmart Product Management Interview Process

Several common mistakes can hurt your chances of success during the Walmart product management interview process. These include failing to prepare, using vague or unclear language, not listening to the interviewer, and not asking questions. To avoid these mistakes, it's essential to do your research, practice case interviews, and be clear and concise in your responses.

Resources and Tools for Acing Your Walmart Product Management Case Interviews

There are several resources and tools available that can help you prepare for your Walmart product management case interviews. These include online case interview courses, case interview books, case interview groups, and online forums. Additionally, practicing with mock interviews and working with a mentor or consultant can also be highly beneficial.

Conclusion: How to Stand Out in the Walmart Product Management Job Search

To stand out in the Walmart product management job search, you need to be well-prepared for the interview process. Researching the company's history, understanding the market, and identifying customer needs are essential to succeed as a product manager at Walmart. Additionally, developing a structured approach to solving case interview questions, practicing with mock interviews, and avoiding common mistakes can significantly improve your chances of success. By following these steps and utilizing available resources, you can successfully navigate the Walmart product management interview process and land your dream job.

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Walmart Interview Questions (12 Questions + Answers)

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Are you preparing for a Walmart job interview? If you are, then these Walmart interview questions and answers will give you helpful insights into what to expect and how to respond.

1) Why do you want to work for Walmart?

Walmart Interview Questions

Before your interview, it’s a good idea to research and highlight how Walmart's mission and values align with your personal or career goals.

Walmart emphasizes community , customer service, and innovation. Acknowledge Walmart's role as a global retail leader and its impact on communities and the retail industry.

Sample answer:

"I am enthusiastic about joining Walmart because I admire its commitment to not only being a retail leader but also to positively impacting communities. I resonate deeply with Walmart's mission of helping people save money and live better. Having seen Walmart's dedication to customer service and community support firsthand, I am excited to contribute to a team that prioritizes these values. Also, the opportunities for professional growth at Walmart align perfectly with my career goals. I look forward to being part of a company that encourages continuous learning and offers diverse pathways for advancement."

The answer is effective because it shows an understanding of Walmart's mission and values. It also includes a personal connection or observation about Walmart's impact.

2) Tell me about a time when you displayed excellent customer service skills

Briefly describe the context or background of the situation, then explain your responsibility or what was required of you in that situation. Describe the specific actions you took to address the situation, then conclude with the positive outcome or learning experience from the situation.

"At my previous job in retail, a customer was upset because they couldn’t find a specific product in their size. Recognizing their frustration, I calmly and empathetically listened to their concerns. I explained that we could check our inventory and if necessary, order the product for them. After finding that the item was out of stock in our store, I quickly placed an online order for them and arranged for in-store pickup. The customer was relieved and expressed gratitude for the extra effort. This experience reinforced the importance of active listening and proactive problem-solving in customer service."

This is a great response because it shows empathy, problem-solving, and effective communication. It also focuses on understanding and meeting the customer’s needs.

3) What would you do if a customer asks you where to find something while you're busy stocking shelves?

Show your willingness to help the customer, either by directing them to the item or offering to show them where it is. Demonstrate how you would balance helping the customer with continuing your assigned tasks.

"If a customer approached me for help while I was stocking shelves, I would first acknowledge them with a smile and ask them what they are looking for. Depending on the item, I would either provide clear directions to its location or, if it's nearby, quickly guide them to it. In case I'm handling a task that I can't pause, such as handling fragile items, I would politely explain this and immediately call a colleague over the radio for assistance. This way, the customer is helped promptly, and my task is also handled responsibly."

This is a great response because it shows an understanding of managing both customer needs and work responsibilities. It also highlights effective and polite communication.

4) What would you do if a product rings up at the wrong price?

For this question, mention following Walmart's pricing and customer service policies in resolving the issue. Emphasize clear and polite communication with the customer throughout the process.

"If a product rang up at the wrong price, I would first apologize to the customer for the inconvenience. Then, I would verify the price discrepancy by checking the store's pricing system or consulting the relevant department. If the customer's claim is correct, I would adjust the price to the correct amount, adhering to Walmart's pricing policies. Throughout the process, I would keep the customer informed and ensure they feel heard and respected. If needed, I would involve a supervisor to assist in resolving the situation. My priority would be to handle the issue swiftly and professionally, ensuring the customer's satisfaction while upholding Walmart's standards."

This is a great response because it reflects understanding and adherence to store policies. It also focuses on maintaining clear communication and ensuring customer satisfaction.

5) What would you do if you spotted a damaged product on the shelf?

The most important thing to say is that you should remove the damaged product from the shelf to prevent it from being purchased by a customer. Mention following Walmart's procedures for reporting or documenting damaged goods.

"If I spotted a damaged product on the shelf, my first step would be to immediately remove it to prevent any customer from purchasing it. I would check the area for any safety hazards, especially if the product could spill or cause injury, and clean up if necessary. Following Walmart's protocol, I would report the damaged item to my supervisor or log it in the store's inventory system, as appropriate. Then, I would replace the damaged product with a new one from the stockroom, ensuring the shelf is well-maintained and presentable for customers. My goal would be to handle the situation efficiently, keeping the store's standards for quality and safety in mind."

This answer is excellent because it indicates knowledge of and commitment to following store policies. It also reflects an understanding of the importance of keeping shelves well-stocked and presentable.

6) Do you prefer working at the cash register or on the sales floor?

When responding to this question, be honest about your preferences while also showing flexibility and a willingness to adapt to different roles.

If you have a preference, explain why, linking it to your skills and experiences. If you're open to both, highlight your adaptability and eagerness to learn.

"While I enjoy interacting with customers on the sales floor, I have a slight preference for working at the cash register. My past experience in customer service has honed my ability to handle transactions efficiently and accurately, and I find the fast-paced environment of the checkout area energizing. I'm particularly skilled at ensuring a positive final interaction for customers, which I believe is crucial for their overall shopping experience. However, I am flexible and happy to work on the sales floor as well. I understand the importance of both roles in contributing to a successful retail operation and am eager to apply my skills where they are most needed to support the team and provide excellent service to Walmart's customers."

This answer articulates a preference for the cash register and explains why, based on past experiences and skills. But, it shows a willingness to work in both areas, indicating adaptability.

7) How do you feel about asking customers to sign up for Walmart credit cards?

It’s important to express a positive attitude towards promoting the credit card, while also emphasizing your respect for the customer's choice and your commitment to ethical sales practices.

"I understand the importance of offering Walmart credit cards to customers and the benefits they can bring, such as savings and rewards on purchases. I feel positive about informing customers of these advantages, as it can enhance their shopping experience and provide them with valuable offers. However, I also believe in the importance of a respectful and customer-centric approach. My goal would be to present the information clearly and concisely, helping customers understand how the credit card might suit their needs, without applying undue pressure. I believe in ethical sales practices that prioritize the customer's comfort and decision-making process. Ultimately, my approach would be to inform and assist, leaving the final decision in the hands of the customer."

This answer is effective because it puts the customer's needs and comfort first. It also focuses on informing customers, not pressuring them.

8) How do you stay motivated when a task gets repetitive?

Talk about maintaining a positive attitude towards work. A smart thing to do is to mention how you use repetitive tasks as an opportunity for improving efficiency or developing skills.

"When faced with repetitive tasks, I stay motivated by keeping a positive mindset and focusing on the overall goal of my work. I remind myself that even routine tasks contribute significantly to the smooth operation of the store and customer satisfaction. To keep things interesting, I challenge myself to find more efficient ways to complete these tasks or set small, achievable goals for each shift. Also, I make sure to take short breaks to refresh my mind. This approach not only helps me stay engaged but also allows me to continually improve my performance. I believe that every task, no matter how repetitive, is an opportunity to demonstrate reliability and dedication."

This answer is excellent because it shows a proactive approach to personal development and efficiency. It mentions realistic methods like setting small goals and taking breaks.

9) How would you handle an angry customer?

You’ll need to convey two things: First, emphasize the importance of remaining calm and showing empathy towards the customer. Second, Highlight your ability to listen carefully to understand the customer's concerns fully.

Discuss how you would address the customer's issue or find a satisfactory solution.

"In handling an angry customer, my first step would be to remain calm and listen attentively to their concerns, showing empathy and understanding. I believe it's crucial to acknowledge their feelings and assure them that their issue is being taken seriously. I would then work to identify the root of the problem and offer practical solutions within the framework of Walmart's policies. If the issue is complex or if the customer remains dissatisfied, I would not hesitate to involve a supervisor or manager for further assistance. My goal would be to resolve the situation in a way that leaves the customer feeling heard and satisfied with the outcome, maintaining the integrity and reputation of Walmart."

This is a great response because it shows a commitment to understanding the issue and finding a solution. It indicates your knowledge of and adherence to company policies.

10) What would you do if you saw a coworker stealing cash from the register?

When answering this question, it's crucial to emphasize your commitment to integrity, honesty, and company policy. Your response should reflect a clear understanding of the seriousness of the situation and the appropriate steps to address it.

"If I witnessed a coworker stealing cash from the register, I would promptly report the incident to my supervisor or manager. I understand the importance of integrity in the workplace and the need to adhere strictly to Walmart's policies regarding theft and misconduct. While it would be an uncomfortable situation, I recognize that failing to report such actions compromises the trust and safety of the workplace. My approach would be to handle the matter discreetly and professionally, ensuring that it is addressed appropriately by those in a position to investigate and take action. I believe in maintaining a work environment where honesty and ethical behavior are upheld."

With this response, you’re demonstrating a strong commitment to honesty and ethical conduct. This shows understanding and respect for company policies.

11) Where do you see yourself in five years?

Talk about your desire for professional development and advancement within the company. Relate your career goals to specific roles or paths available at Walmart.

"In five years, I see myself having grown significantly within Walmart, taking on roles with increasing responsibility. I am particularly interested in advancing to a management position, where I can contribute more substantially to team leadership and store operations. I plan to utilize Walmart’s training and development opportunities to enhance my skills in leadership, customer service, and operations management. My goal is to not only advance my career but also to contribute meaningfully to Walmart’s success, helping to maintain its reputation as a leader in the retail industry. I am eager to embrace new challenges and opportunities for growth that come my way."

This is an excellent response because it shows ambition while being realistic about career progression. It also connects personal goals with Walmart's opportunities for advancement.

12) Can you work evenings, weekends, and holidays?

Your availability is one of the most important things Walmart considers.

It's important to be honest about your availability while also showing your willingness to be flexible and accommodating to the needs of the store.

"I understand that retail positions at Walmart require flexibility, and I am prepared to work evenings, weekends, and holidays. I recognize these times are often busy and crucial for the store, and I am committed to contributing positively to the team during these periods. While I have some commitments during weekday mornings, I am available and willing to work the required shifts outside of those times. I believe in maintaining a high level of performance and a positive attitude, no matter the time or day, and I am enthusiastic about the opportunity to help Walmart meet its customer service goals during these peak hours."

With this answer, you directly address the question with clear information about availability.

This shows a willingness to work a variety of shifts, demonstrating flexibility and commitment.

What to wear to a Walmart job interview

You don’t need to wear something over the top for a Walmart interview, but dressing professionally is a crucial component for getting the job.

Men can opt for formal clothing like a well-fitted shirt and a trouser, and women can choose to wear neutral-colored slacks, skirts, or trousers paired with a blouse.

What you wear will leave a positive impression in the interviewers' minds, so be sure your clothes are neat and ironed. Look enthusiastic and well-groomed in the outfit that you choose.

What to expect from a Walmart job interview

Every Walmart interview will be different depending on who’s doing the interview, but there’s no reason for you to worry. Expect basic questions about your potential as a worker and to receive information on what to anticipate, including how the department operates.

According to my friend who recently got hired at Walmart, his "interview" lasted about 15 minutes and involved walking the floor with one of the team leads.

Interestingly, the team lead wasn't from the department he was joining but seemed to have some knowledge of the job requirements. Since the role was for overnight shifts, the team lead asked if my friend was prepared for that.

My friend responded by discussing his previous experiences with overnight work. During the walk, the team lead casually pointed out different areas, explaining the working conditions.

Part of this seemed to be a fitness assessment (it's a physically demanding job), as the interviewer made remarks about my friend’s walking speed.

Pro advice: go into the interview with a positive mindset and confidence in your ability to perform the job. Discuss your past responsibilities and express your eagerness to learn.

Try to think of a few questions to ask your interviewer. This may make it seem like you’re excited and want to get engaged. At the end of the day, be relaxed, be yourself, and be confident.

Understand the interviewer’s point of view

To prepare for a Walmart interview, it’s a good idea to understand what the interviewer is looking for. Here are the things that hiring managers consider when deciding who to hire:

Someone with great customer service skills: To succeed at a Walmart job, you’re going to need some level of customer service skills. This includes things like being able to communicate effectively with customers, providing a great customer experience, and working quickly yet with care.

Someone with enthusiasm and a positive attitude: Since you’re going to deal with customers, it’s important to maintain a positive outlook in customer interactions. You should also show genuine interest in the products and services offered at Walmart.

Someone with reasonable availability. Assuming you’re willing to work full time, tell them that you're available to work in the evenings and on weekends. Also, emphasize your ability to work during school holidays, a time when it often gets very busy.

All of the questions they ask are to test these main points, so you’re bound to get the job if you give them a good impression. Your personality is one of the most important things.

Keep these things in mind, and you’ll be able to answer any question the way they want you to.

Related posts:

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  • Boots Interview Questions (17 Questions + Answers)
  • Primark Interview Questions (16 Questions + Answers)
  • Cashier Interview Questions (15 Questions + Answers)
  • Tesco Interview Questions (14 Questions + Answers)

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Walmart Case Analysis and Case Solution

Posted by Peter Williams on Aug-09-2018

Introduction of Walmart Case Solution

The Walmart case study is a Harvard Business Review case study, which presents a simulated practical experience to the reader allowing them to learn about real life problems in the business world. The Walmart case consisted of a central issue to the organization, which had to be identified, analysed and creative solutions had to be drawn to tackle the issue. This paper presents the solved Walmart case analysis and case solution. The method through which the analysis is done is mentioned, followed by the relevant tools used in finding the solution.

The case solution first identifies the central issue to the Walmart case study, and the relevant stakeholders affected by this issue. This is known as the problem identification stage. After this, the relevant tools and models are used, which help in the case study analysis and case study solution. The tools used in identifying the solution consist of the SWOT Analysis, Porter Five Forces Analysis, PESTEL Analysis, VRIO analysis, Value Chain Analysis, BCG Matrix analysis, Ansoff Matrix analysis, and the Marketing Mix analysis. The solution consists of recommended strategies to overcome this central issue. It is a good idea to also propose alternative case study solutions, because if the main solution is not found feasible, then the alternative solutions could be implemented. Lastly, a good case study solution also includes an implementation plan for the recommendation strategies. This shows how through a step-by-step procedure as to how the central issue can be resolved.

Problem Identification of Walmart Case Solution

Harvard Business Review cases involve a central problem that is being faced by the organization and these problems affect a number of stakeholders. In the problem identification stage, the problem faced by Walmart is identified through reading of the case. This could be mentioned at the start of the reading, the middle or the end. At times in a case analysis, the problem may be clearly evident in the reading of the HBR case. At other times, finding the issue is the job of the person analysing the case. It is also important to understand what stakeholders are affected by the problem and how. The goals of the stakeholders and are the organization are also identified to ensure that the case study analysis are consistent with these.

Analysis of the Walmart HBR Case Study

The objective of the case should be focused on. This is doing the Walmart Case Solution. This analysis can be proceeded in a step-by-step procedure to ensure that effective solutions are found.

  • In the first step, a growth path of the company can be formulated that lays down its vision, mission and strategic aims. These can usually be developed using the company history is provided in the case. Company history is helpful in a Business Case study as it helps one understand what the scope of the solutions will be for the case study.
  • The next step is of understanding the company; its people, their priorities and the overall culture. This can be done by using company history. It can also be done by looking at anecdotal instances of managers or employees that are usually included in an HBR case study description to give the reader a real feel of the situation.
  • Lastly, a timeline of the issues and events in the case needs to be made. Arranging events in a timeline allows one to predict the next few events that are likely to take place. It also helps one in developing the case study solutions. The timeline also helps in understanding the continuous challenges that are being faced by the organisation.

SWOT analysis of Walmart

An important tool that helps in addressing the central issue of the case and coming up with Walmart HBR case solution is the SWOT analysis.

  • The SWOT analysis is a strategic management tool that lists down in the form of a matrix, an organisation's internal strengths and weaknesses, and external opportunities and threats. It helps in the strategic analysis of Walmart.
  • Once this listing has been done, a clearer picture can be developed in regards to how strategies will be formed to address the main problem. For example, strengths will be used as an advantage in solving the issue.

Therefore, the SWOT analysis is a helpful tool in coming up with the Walmart Case Study answers. One does not need to remain restricted to using the traditional SWOT analysis, but the advanced TOWS matrix or weighted average SWOT analysis can also be used.

Porter Five Forces Analysis for Walmart

Another helpful tool in finding the case solutions is of Porter's Five Forces analysis. This is also a strategic tool that is used to analyse the competitive environment of the industry in which Walmart operates in. Analysis of the industry is important as businesses do not work in isolation in real life, but are affected by the business environment of the industry that they operate in. Harvard Business case studies represent real-life situations, and therefore, an analysis of the industry's competitive environment needs to be carried out to come up with more holistic case study solutions. In Porter's Five Forces analysis, the industry is analysed along 5 dimensions.

  • These are the threats that the industry faces due to new entrants.
  • It includes the threat of substitute products.
  • It includes the bargaining power of buyers in the industry.
  • It includes the bargaining power of suppliers in an industry.
  • Lastly, the overall rivalry or competition within the industry is analysed.

This tool helps one understand the relative powers of the major players in the industry and its overall competitive dynamics. Actionable and practical solutions can then be developed by keeping these factors into perspective.

PESTEL Analysis of Walmart

Another helpful tool that should be used in finding the case study solutions is the PESTEL analysis. This also looks at the external business environment of the organisation helps in finding case study Analysis to real-life business issues as in HBR cases.

  • The PESTEL analysis particularly looks at the macro environmental factors that affect the industry. These are the political, environmental, social, technological, environmental and legal (regulatory) factors affecting the industry.
  • Factors within each of these 6 should be listed down, and analysis should be made as to how these affect the organisation under question.
  • These factors are also responsible for the future growth and challenges within the industry. Hence, they should be taken into consideration when coming up with the Walmart case solution.

VRIO Analysis of Walmart

This is an analysis carried out to know about the internal strengths and capabilities of Walmart. Under the VRIO analysis, the following steps are carried out:

  • The internal resources of Walmart are listed down.
  • Each of these resources are assessed in terms of the value it brings to the organization.
  • Each resource is assessed in terms of how rare it is. A rare resource is one that is not commonly used by competitors.
  • Each resource is assessed whether it could be imitated by competition easily or not.
  • Lastly, each resource is assessed in terms of whether the organization can use it to an advantage or not.

The analysis done on the 4 dimensions; Value, Rareness, Imitability, and Organization. If a resource is high on all of these 4, then it brings long-term competitive advantage. If a resource is high on Value, Rareness, and Imitability, then it brings an unused competitive advantage. If a resource is high on Value and Rareness, then it only brings temporary competitive advantage. If a resource is only valuable, then it’s a competitive parity. If it’s none, then it can be regarded as a competitive disadvantage.

Value Chain Analysis of Walmart

The Value chain analysis of Walmart helps in identifying the activities of an organization, and how these add value in terms of cost reduction and differentiation. This tool is used in the case study analysis as follows:

  • The firm’s primary and support activities are listed down.
  • Identifying the importance of these activities in the cost of the product and the differentiation they produce.
  • Lastly, differentiation or cost reduction strategies are to be used for each of these activities to increase the overall value provided by these activities.

Recognizing value creating activities and enhancing the value that they create allow Walmart to increase its competitive advantage.

BCG Matrix of Walmart

The BCG Matrix is an important tool in deciding whether an organization should invest or divest in its strategic business units. The matrix involves placing the strategic business units of a business in one of four categories; question marks, stars, dogs and cash cows. The placement in these categories depends on the relative market share of the organization and the market growth of these strategic business units. The steps to be followed in this analysis is as follows:

  • Identify the relative market share of each strategic business unit.
  • Identify the market growth of each strategic business unit.
  • Place these strategic business units in one of four categories. Question Marks are those strategic business units with high market share and low market growth rate. Stars are those strategic business units with high market share and high market growth rate. Cash Cows are those strategic business units with high market share and low market growth rate. Dogs are those strategic business units with low market share and low growth rate.
  • Relevant strategies should be implemented for each strategic business unit depending on its position in the matrix.

The strategies identified from the Walmart BCG matrix and included in the case pdf. These are either to further develop the product, penetrate the market, develop the market, diversification, investing or divesting.

Ansoff Matrix of Walmart

Ansoff Matrix is an important strategic tool to come up with future strategies for Walmart in the case solution. It helps decide whether an organization should pursue future expansion in new markets and products or should it focus on existing markets and products.

  • The organization can penetrate into existing markets with its existing products. This is known as market penetration strategy.
  • The organization can develop new products for the existing market. This is known as product development strategy.
  • The organization can enter new markets with its existing products. This is known as market development strategy.
  • The organization can enter into new markets with new products. This is known as a diversification strategy.

The choice of strategy depends on the analysis of the previous tools used and the level of risk the organization is willing to take.

Marketing Mix of Walmart

Walmart needs to bring out certain responses from the market that it targets. To do so, it will need to use the marketing mix, which serves as a tool in helping bring out responses from the market. The 4 elements of the marketing mix are Product, Price, Place and Promotions. The following steps are required to carry out a marketing mix analysis and include this in the case study analysis.

  • Analyse the company’s products and devise strategies to improve the product offering of the company.
  • Analyse the company’s price points and devise strategies that could be based on competition, value or cost.
  • Analyse the company’s promotion mix. This includes the advertisement, public relations, personal selling, sales promotion, and direct marketing. Strategies will be devised which makes use of a few or all of these elements.
  • Analyse the company’s distribution and reach. Strategies can be devised to improve the availability of the company’s products.

Walmart Blue Ocean Strategy

The strategies devised and included in the Walmart case memo should have a blue ocean strategy. A blue ocean strategy is a strategy that involves firms seeking uncontested market spaces, which makes the competition of the company irrelevant. It involves coming up with new and unique products or ideas through innovation. This gives the organization a competitive advantage over other firms, unlike a red ocean strategy.

Competitors analysis of Walmart

The PESTEL analysis discussed previously looked at the macro environmental factors affecting business, but not the microenvironmental factors. One of the microenvironmental factors are competitors, which are addressed by a competitor analysis. The Competitors analysis of Walmart looks at the direct and indirect competitors within the industry that it operates in.

  • This involves a detailed analysis of their actions and how these would affect the future strategies of Walmart.
  • It involves looking at the current market share of the company and its competitors.
  • It should compare the marketing mix elements of competitors, their supply chain, human resources, financial strength etc.
  • It also should look at the potential opportunities and threats that these competitors pose on the company.

Organisation of the Analysis into Walmart Case Study Solution

Once various tools have been used to analyse the case, the findings of this analysis need to be incorporated into practical and actionable solutions. These solutions will also be the Walmart case answers. These are usually in the form of strategies that the organisation can adopt. The following step-by-step procedure can be used to organise the Harvard Business case solution and recommendations:

  • The first step of the solution is to come up with a corporate level strategy for the organisation. This part consists of solutions that address issues faced by the organisation on a strategic level. This could include suggestions, changes or recommendations to the company's vision, mission and its strategic objectives. It can include recommendations on how the organisation can work towards achieving these strategic objectives. Furthermore, it needs to be explained how the stated recommendations will help in solving the main issue mentioned in the case and where the company will stand in the future as a result of these.
  • The second step of the solution is to come up with a business level strategy. The HBR case studies may present issues faced by a part of the organisation. For example, the issues may be stated for marketing and the role of a marketing manager needs to be assumed. So, recommendations and suggestions need to address the strategy of the marketing department in this case. Therefore, the strategic objectives of this business unit (Marketing) will be laid down in the solutions and recommendations will be made as to how to achieve these objectives. Similar would be the case for any other business unit or department such as human resources, finance, IT etc. The important thing to note here is that the business level strategy needs to be aligned with the overall corporate strategy of the organisation. For example, if one suggests the organisation to focus on differentiation for competitive advantage as a corporate level strategy, then it can't be recommended for the Walmart Case Study Solution that the business unit should focus on costs.
  • The third step is not compulsory but depends from case to case. In some HBR case studies, one may be required to analyse an issue at a department. This issue may be analysed for a manager or employee as well. In these cases, recommendations need to be made for these people. The solution may state that objectives that these people need to achieve and how these objectives would be achieved.

The case study analysis and solution, and Walmart case answers should be written down in the Walmart case memo, clearly identifying which part shows what. The Walmart case should be in a professional format, presenting points clearly that are well understood by the reader.

Alternate solution to the Walmart HBR case study

It is important to have more than one solution to the case study. This is the alternate solution that would be implemented if the original proposed solution is found infeasible or impossible due to a change in circumstances. The alternate solution for Walmart is presented in the same way as the original solution, where it consists of a corporate level strategy, business level strategy and other recommendations.

Implementation of Walmart Case Solution

The case study does not end at just providing recommendations to the issues at hand. One is also required to provide how these recommendations would be implemented. This is shown through a proper implementation framework. A detailed implementation framework helps in distinguishing between an average and an above average case study answer. A good implementation framework shows the proposed plan and how the organisations' resources would be used to achieve the objectives. It also lays down the changes needed to be made as well as the assumptions in the process.

  • A proper implementation framework shows that one has clearly understood the case study and the main issue within it.
  • It shows that one has been clarified with the HBR fundamentals on the topic.
  • It shows that the details provided in the case have been properly analysed.
  • It shows that one has developed an ability to prioritise recommendations and how these could be successfully implemented.
  • The implementation framework also helps by removing out any recommendations that are not practical or actionable as these could not be implemented. Therefore, the implementation framework ensures that the solution to the Walmart Harvard case is complete and properly answered.

Recommendations and Action Plan for Walmart case analysis

For Walmart, based on the SWOT Analysis, Porter Five Forces Analysis, PESTEL Analysis, VRIO analysis, Value Chain Analysis, BCG Matrix analysis, Ansoff Matrix analysis, and the Marketing Mix analysis, the recommendations and action plan are as follows:

  • Walmart should focus on making use of its strengths identified from the VRIO analysis to make the most of the opportunities identified from the PESTEL.
  • Walmart should enhance the value creating activities within its value chain.
  • Walmart should invest in its stars and cash cows, while getting rid of the dogs identified from the BCG Matrix analysis.
  • To achieve its overall corporate and business level objectives, it should make use of the marketing mix tools to obtain desired results from its target market.

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Porter, M.E. (1979, March). Harvard Business Review: Strategic Planning, How Competitive Forces Shape Strategy. Retrieved July 7, 2016, from https://hbr.org/1979/03/how-competitive-forces-shape-strategy

Rastogi, N., & Trivedi, M. K. (2016). PESTLE Technique–a Tool to Identify External Risks in Construction Projects. International Research Journal of Engineering and Technology (IRJET), 3(1), 384-388.

Rauch, P. (2007). SWOT analyses and SWOT strategy formulation for forest owner cooperations in Austria. European Journal of Forest Research, 126(3), 413-420.

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A popular YouTuber's negative video of Humane's AI Pin raises questions about critical reviews in the age of innovation

  • This post originally appeared in the Insider Today newsletter.
  • You can sign up for Business Insider's daily newsletter here .

Insider Today

Hello there! If you're struggling to decide the foods worth buying organic, best-selling author Michael Pollan has some suggestions for the ones worth splurging on to avoid harmful chemicals .  

In today's big story, we're looking at a critical tech review that caused a bit of a stir on social media .

What's on deck:

Markets: Goldman Sachs quiets the haters with a monster earnings report .

Tech: Leaked docs show one of Prime Video's biggest issues, forcing customers to abandon shows .

Business: The best bet in business these days? Targeting young men who like to gamble .

But first, the review is in!

If this was forwarded to you, sign up here.

The big story

Up for review.

"The Worst Product I've Ever Reviewed… For Now"

Marques Brownlee, the YouTuber better known as MKBHD, didn't mince words with the title of his review of Humane's AI Pin .

In a 25-minute video , Brownlee details all the issues he encountered using the AI device. (Spoiler alert: There were a lot.)

Brownlee's review aligns with other criticisms of the device . But not all of those came from someone with as much sway. His YouTube channel has more than 18 million subscribers.

One user on X pointed that out , calling the review "almost unethical" for "potentially killing someone else's nascent project" in a post reposted over 2,000 times. 

Most of the internet disagreed, and a Humane exec even thanked Brownlee on X for the "fair and valid critiques." 

But it highlights the power of Brownlee's reviews. Earlier this year, a negative video of Fisker's Ocean SUV by Brownlee also made waves on social media . 

Critical reviews in the age of innovation raise some interesting questions.

To be clear, there was nothing wrong with Brownlee's review. Humane's AI Pin costs $700. Watering down his review to ease the blow would be a disservice to the millions of fans relying on his perspective before making such a significant purchase.

Too often, companies view potential customers as an extension of their research and development. They are happy to sell a product that is still a work in progress on the promise they'll fix it on the fly. ("Updates are coming!")

But in a world of instant gratification, it can be hard to appreciate that innovation takes time. 

Even Apple can run into this conundrum. Take the Apple Vision Pro. Reviewers are impressed with the technology behind the much-anticipated gadget — but are still struggling to figure out what they can do with it . Maybe, over time, that will get sorted out. It's also worth remembering how cool tech can be, as Business Insider's Peter Kafka wrote following a bunch of trips in Waymo's software-powered taxis in San Francisco . Sure, robotaxis have their issues, Peter said, but they also elicit that "golly-gee-can-you-believe-it" sense.

As for Humane, America loves a comeback story. Just look at "Cyberpunk 2077." The highly anticipated video game had a disastrous launch in 2020 , but redeemed itself three years later, ultimately winning a major award .

Still, Humane shouldn't get a pass for releasing a product that didn't seem ready for primetime, according to the reviews. 

And its issue could be bigger than glitchy tech. Humane's broader thesis about reducing screen time might not be as applicable. As BI's Katie Notopolous put it: " I love staring at my iPhone ."

3 things in markets

1. Goldman finally strikes gold. After a rough stretch, the vaunted investment bank crushed earnings expectations , sending its stock soaring. A big tailwind, according to CEO David Solomon, is AI spawning " enormous opportunities " for the bank. 

2. Buy the dip, Wedbush says. Last week's drop among tech stocks shouldn't scare away investors , according to Wedbush. A strong earnings report, buoyed by the ongoing AI craze, should keep them soaring, strategists said. But JPMorgan doesn't see it that way, saying prices are already stretched .   

3. China's economy beat analysts' expectations. The country's GDP grew 5.3% in the first quarter of 2024, according to data published by the National Bureau of Statistics on Tuesday. It's a welcome return to form for the world's second-largest economy, although below-par new home and retail sales remain a cause for concern .

3 things in tech

1. Amazon Prime Video viewers are giving up on its shows. Leaked documents show viewers are fed up with the streamer's error-ridden catalog system , which often has incomplete titles and missing episodes. In 2021, 60% of all content-related complaints were about Prime Video's catalog.

2. Eric Newcomer is bringing his Cerebral Valley AI Summit to New York. The conference, originally held in San Francisco, is famous for producing one of the largest generative AI acquisitions ever. Now, it's coming to New York in June .

3. OpenAI is plotting an expansion to NYC. Two people familiar with the plans told BI that the ChatGPT developer is looking to open a New York office next year. That would be the company's fifth office, alongside its current headquarters in San Francisco, a just-opened site in Tokyo, and spots in London and Dublin.

3 things in business

1. America's young men are spending their money like never before. From sports betting to meme coins, young men are more willing than ever to blow money in the hopes of making a fortune .

2. Investors are getting into women's sports. With women like Caitlin Clark dominating March Madness headlines, investors see a big opportunity. BI compiled a list of 13 investors and fund managers pouring money into the next big thing in sports.

3. Bad news for Live Nation. The Wall Street Journal reports that the Justice Department could hit the concert giant with an antitrust lawsuit as soon as next month. Live Nation, which owns Ticketmaster, has long faced criticism over its high fees.

In other news

Blackstone hires Walmart AI whiz to supercharge its portfolio companies .

Taylor Swift, Rihanna, Blackpink's Lisa: Celebrities spotted at Coachella 2024 . 

NYC's rat czar says stop feeding the pigeons if you want the vermin gone .

A major Tesla executive left after 18 years at the company amid mass layoffs .

Some Tesla factory workers realized they were laid off when security scanned their badges and sent them back on shuttles, sources say .

New York is in, San Francisco is very much out for tech workers relocating .

AI could split workers into 2: The ones whose jobs get better and the ones who lose them completely .

Oh look at that! Now Google is using AI to answer search queries .

A longtime banker gives a rare inside look at how he is thinking about his next career move, from compensation to WFH .

Clarence Thomas didn't show up for work today .

What's happening today

Today's earnings: United Airlines, Bank of America, Morgan Stanley, and others are reporting . 

It's Free Cone Day at participating Ben & Jerry's stores. 

The Insider Today team: Dan DeFrancesco , deputy editor and anchor, in New York. Jordan Parker Erb , editor, in New York. Hallam Bullock , senior editor, in London. George Glover , reporter, in London.

Watch: Nearly 50,000 tech workers have been laid off — but there's a hack to avoid layoffs

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  1. WALMART's SUPPLY CHAIN CASE STUDY

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COMMENTS

  1. Case Study: Business Strategy Analysis of Wal-Mart

    Walton was a man of simple tastes and took a keen interest in people. He believed in three guiding principles: 1. Customer value and service; 2. Partnership with its associates; 3. Community involvement. The Customer — The word "always" can be seen in virtually all of Wal-Mart's literature.

  2. Walmart's Operations Management: 10 Strategic Decisions & Productivity

    The 10 Strategic Decision Areas of Operations Management at Walmart. 1. Design of Goods and Services. This decision area of operations management involves the strategic characterization of the retail company's products. In this case, the decision area covers Walmart's goods and services. As a retailer, the company offers retail services.

  3. Walmart Case Study

    Walmart is one of the largest retail companies in the world. It was founded in 1962 by Sam Walton. The headquarter of this company is situated in the United States. The main aim of the company is to provide consistent discounts, loyal customer service, and fast friendly service. Walmart's targets to expand its business in large cities as well ...

  4. Walmart: Supply Chain Management

    The Walmart: Supply Chain Management case study discusses the cost-saving strategy of the company and its supply chain management strategy. It focuses on how the company manages its supply chain in comparison with its competitors. P. Fraser Johnson and Ken Mark Harvard Business Review (W19317-PDF-ENG) July 08, 2019. Case questions answered:

  5. Case study- walmart

    WAL-MART: The Main Street Merchant of Doom CASE ANALYSIS Following each case are discussion questions that should be answered as part of any complete case analysis. The heart of the case analysis is the recommendation made based upon a solid logical foundation.

  6. Wal-Mart Case Study Questions

    Wal-Mart Case Study Questions. 1. To what extent is Wal-Mart's performance attributable to industry attractiveness and to what extent to competitive advantage? Wal-Mart is a company which operates in the service sector, more specifically in the "Discount, Variety Stores/Retail" industry.

  7. Factors Influencing Organization Success: A Case Study of Walmart

    A longitudinal case study of Amazon's financial situation during the 2016-2020 period, and time-series analysis, ratio analysis, and DuPont analysis, are employed as a quantitative methodology ...

  8. Wal-mart Stores Case Study Analysis

    A Case Study of Wal-mart's 'Green' Supply Chain Management by Adam Heying and Whitney Sanzaro. Apicsterragrande. May 2009. 7. Supply Chain. ASA Research. 2010. 8. Criticism of Walmart. Wikipedia. Company's often poor but legal labor etc. relations: a detailed treatment. 9. Wal-mart Financial Results. MSN. Financial reports 2007-2011. 10.

  9. Walmart: Supply Chain Management

    This case focuses on the supply chain strategy of Walmart. Set in 2019, it provides a detailed description of the company's supply chain network and capabilities. Data in the case allows students to compare Walmart's source of competitiveness with those of other retailers-both online including Amazon.com and traditional brick-and-mortar retailers, such as Target-to develop insights into the ...

  10. Walmart Update, 2019

    In 2019 Walmart was still the world's largest company, with over $500 billion in annual revenue and operations around the world. Although it had mostly vanquished its rival discount retailers in the U.S., it was struggling to find the right growth strategy. Facing a mature U.S. market, it had looked to ecommerce and international sales as an ...

  11. Case Study on Walmart

    This case study delves into the Walmart phenomenon, examining its growth, business strategies, impact on the retail industry, and lessons for businesses worldwide. Introduction to Walmart: From ...

  12. Business and Society Case #1 Walmart

    Wal-Mart Case Study Problem and Issue Identification. ... In this case Wal-Mart was accused for bringing in products from overseas and taking away American Jobs, giving them to overseas manufactures. Walmart reacted to this as Sam implemented the "Buy American" plan. ... Business and Society Exam questions. 100% (21) 6. Business and Society ...

  13. Wal-Mart case

    One independent academic study attributed at least 50% of the decline in the number of small stores to the rise of Wal-Mart. 28 When Wal-Mart opened a new store, it created 100 new jobs. But as small rivals, unable to compete with the discounter, were forced to shut their businesses, 70% of the initial increase in local jobs was eventually lost ...

  14. How to Prepare for Walmart Product Management Case Interviews

    To prepare for your Walmart product management case interviews, it's crucial that you research the history of the company and its product portfolio. You need to understand the company's values, mission, and vision. You'll also need to know about the products that Walmart sells, the trends in the retail industry, and the target audience that the ...

  15. Walmart Product Manager (PM) Interview Guide

    Focus on product prep: go in with a solid understanding of Walmart's innovations (read their Global Tech blog for inspiration) and a game plan for product design and strategy questions catered to Walmart's mission. Get to know your interviewers and ask lots of questions. Walmart's case study and product questions are both intentionally vague.

  16. Walmart Interview Questions (12 Questions + Answers)

    1) Why do you want to work for Walmart? Before your interview, it's a good idea to research and highlight how Walmart's mission and values align with your personal or career goals. Walmart emphasizes community, customer service, and innovation. Acknowledge Walmart's role as a global retail leader and its impact on communities and the retail ...

  17. Walmart Case Study (docx)

    2 Walmart Case Study Walmart's History Walmart Inc. is a renowned leading global retailer that provides low prices on a vast range of products for consumers seeking convenience at a one-stop shop. The company operates different store formats, including supercenters, discount stores, neighborhood markets, Sam's Club, and e-commerce (Rothaermel & King, 2017).

  18. Walmart Case Analysis and Case Solution

    The case solution first identifies the central issue to the Walmart case study, and the relevant stakeholders affected by this issue. This is known as the problem identification stage. After this, the relevant tools and models are used, which help in the case study analysis and case study solution. The tools used in identifying the solution ...

  19. Walmart Case Questions.docx

    View Walmart Case Questions.docx from MANAGEMENT 285 at Illinois College. Walmart Case Study Questions The case can be found on Connect in the "8 Most Popular Cases" e-book. 1. Consider the history

  20. Amazon vs Walmart Case Study (pdf)

    Walmart also has a global presence, with stores in Mexico, Canada, China, and the UK. It has had issues in some international markets as seen in the revenue dip between 2016 and 2021. Amazon's online sales in the US market are likely to be great, due its dominance in the e-commerce space and the major portion of its revenue that comes from the ...

  21. (PDF) A Case Study of Wal-Mart.

    A Case Study of Wal-Mart. ... According to one study, Wal-Mart earned $135 billion in sales in 2013 from its international stores, which will be grow more faster after opening more stores (Jurevicius, 2013). 3.2.2. Weaknesses 1. Labor related lawsuits. Wal-Mart s orporate good ill has ee rui ed due to its failure to provide better workplace for ...

  22. Walmart case study questions.docx

    View Walmart case study questions.docx from MG 420 at Athens State University. LaTazia Townsend MG 420 Business Policy Athens State University Walmart Case Study 6/28/22 1. Discuss more than 1

  23. Solved CASE STUDY [30 Marks] Walmart Case Study

    This report emphasizes gender equality and a diverse workforce. Walmart has also committed itself to achieving three goals in its Sustainability Report: using 100% renewable energy, creating zero waste, and selling products that sustain people and the environment. Read the case study above and answer ALL the questions below.

  24. MKBHD Review of Humane AI Is a Case Study of Criticism of Innovation

    Critical reviews in the age of innovation raise some interesting questions. To be clear, there was nothing wrong with Brownlee's review. Humane's AI Pin costs $700.