Group Members

Usman Anwar
Azeem Khalid
Sheharyar Ali
Tajammal Hussain
Zain ul Islam
Ahmed Zubair
An American public corporation that runs a chain
istory
of large discount department stores and a chain of
warehouse stores. In 2010 it was the world's
largest public corporation by revenue, according
to the Forbes Global 2000
Wal Mart - A HUGE SUCCESS
In 2002, it was listed as America's
EVERYTHING IN ONE STORE largest corporation on the Fortune
AT DISCOUNTED PRICES 500 list, with revenues of $219.8
EXPANDING GLOBALLY billion and profits of $6.7 billion. It
has remained there every year,
except for 2006.

UNIMAGINABLY LARGE CHAIN

OF STORES IN EVERY PART OF
USA…
Industry Retailing
Founded Rogers, Arkansas, U.S. (1962)

Founder(s) Sam Walton

Bentonville, Arkansas, U.S.

Headquarters

Area served Worldwide

Mike Duke (CEO)
H. Lee Scott (
Key people Chairman of the Executive Committee of the Board
)
S. Robson Walton (Chairman)
Discount Stores
Products Supercenters
Neighborhood Markets
Revenue ▲ US$408.21 billion (2009)
Operating income ▲ US$ 23.95 billion (2009)
Net income ▲ US$ 14.33 billion (2009)
Total assets ▼ US$ 170.70 billion (2010)
Total equity ▲ US$ 70.74 billion (2009)
Employees approx. 2,100,000 (2009)
MAJOR ITEMS FEATURED AT WALMART STORES

 APPAREL & JEWELLERY

 BABY GEAR , FURNITURE , BEDDING
 SHOES
 MUSIC , MOVIES , BOOKS
 ELECTRONICS , COMPUTERS , PRINTERS , LAPTOPS , MOBILE PHONES
 HOME APPLIANCES , BATH , HEATING & COOLING
 GROCERY , BEVERAGES , FROZEN FOODS
 FURNITURE
 HEALTH & BEAUTY , PHARMACY , MEDICINE
 PHOTOS , FRAMES , STILLS , ACCESSORIES
 SPORTS & FITNESS
 TOYS
 VIDEO GAMES
 AUTO CARE , TIRES
 PETS

ALMOST ANY THING YOU CAN THINK OF…IN ONE

STORE
This year also marked the completion of the company's satellite network, a $24
million investment linking all operating units of the company with its Bentonville
office via two-way voice and data transmission and one-way video
communication. At the time, it was the largest private satellite network, allowing
the corporate office to track inventory and sales and to instantly communicate
to stores.

On February 22, 2010, the company confirming it was acquiring video

streaming company Vudu, Inc. for an estimated $100 million
A CUT THROAT CORPORATE SHARK…
PROFICIENT AT DESTROYING
COMPETITION
 As Walmart grew rapidly into the world's largest
corporation, many critics worried about the effect of its
stores on local communities, particularly small towns

 In one study, Kenneth Stone, a Professor of Economics

at Iowa State University, found that some small towns
can lose almost half of their retail trade within ten years
of a Wal-Mart store opening.
EVEN THE GAY VAMPIRE IS A FAN…..
CORPORATE OFFICE
THEN……
NOW…..
New slogan reflects the three main groups into which Wal-Mart categorizes its 200
million customers:

"brand aspirationals" (people with low incomes who are obsessed with names like
KitchenAid)

"price-sensitive affluents" (wealthier shoppers who love deals)

"value-price shoppers" (people who like low prices and cannot afford much more).
 ESSENCE OF WALMART….

LOWEST PRICES MORE SAVINGS

Walmart's price level reduction resulted in savings for

consumers of $287 billion in 2006, which equated to $957
per person or $2,500 per household (up 7.3% from the
2004 savings estimate of $2,329)

CUSTOMER CARE
Greet Every Customer with a Smile
Founder SAM WALTON
HAILED AS A VISIONARY
DYNAMIC PERSONALITY
INFECTIOUS HUMOR
INNOVATIVE IDEAS TO RUN BUISNESS
 COMMITT TO YOUR
BUISNESS…BELIEVE IN IT
MORE THAN ANYBODY
ELSE…
29 March 1918- 5 April 1992

When he died in 1992, he was the world’s second richest man, behind Bill Gates.
If alive today, his fortune would far exceed that of Bill Gates.
Fortune Magazine named Sam Walton as the third greatest CEO of all time. Time
Magazine also named him as one of the 100 most influential people of the 20th
Century.
Sam Walton was a recipient of Presidential Medal of Freedom from President
George Bush in 1992 for categories including entrepreneurship, business
statesman, and business leader.
Sam’s secret

GIVE YOUR CUSTOMERS WHAT THEY WANT ! !

 A wide assortment of quality merchandise

 The lowest possible prices
 Guaranteed satisfaction
 Friendly, knowledgeable service
 Convenient hours

“A pleasant shopping experience “

 ISTORY

TIME LINE

1962 Company incorporated as Wal-Mart Stores

1987 At 25th anniversary , there were 1198 stores with $ 15.9 billion
sales and 200,000 associates.
1988 The first Wal-Mart super centre opened in Washington.
1995 Entered in South America with stores in Argentina & Brazil
1999 Bought ASDA of UK for $ 10 billions.

2002 It was listed for the first time as America's largest corporation
on the Fortune 500 list, with revenues of $219.8 billion and profits
of $6.7 billion.

2005 Walmart had $312.4 billion in sales, more than 6,200 facilities around the
World,including 3,800 stores in the United States and 2,800 elsewhere,
employing more than 1.6 million "associates" worldwide. Its U.S.
presence grew so rapidly that only small pockets of the country
remained further than 60 miles (100 km) from the nearest Wal-Mart

2007 Walmart introduced new advertising with the slogan,

"Save Money Live Better,“

2009 Wal-Mart announced plans to develop a worldwide sustainable product

index.
1/3 OF US POPULATION…………….EVERY WEEK
Wal-Mart International
Wal-Mart's international operations currently comprise 4,081 stores and
664,000 workers in 14 countries outside the United States
Wal-Mart operates under its own name in the United States, including the 50 states. It
also operates under its own name in Puerto Rico. Wal-Mart operates in Mexico as
Walmex, in the United Kingdom as Asda ("Asda Wal-Mart" in some branches), in Japan
as Seiyu, and in India as Best Price.

It has wholly-owned operations in Argentina, Brazil, and Canada.

Wal-Mart's investments outside North America have had mixed results: its operations in
the United Kingdom, South America and China are highly successful, while it was forced
to pull out of Germany and South Korea when ventures there were unsuccessful.
 Core Values of Wal Mart
Respect
for the customer, associates, and suppliers

Open Door
open communication is critical to understanding and meeting
associates’ and customers’ needs.

Sundown Rule
answer requests by the close of business on the day they are received.
Grass Root Process

Sam’s philosophy lives on today in Walmart’s Grass Roots Process,

their formal way of capturing associates’ ideas, suggestions and
concerns .

Teamwork
Sam Walton, believed in the power of teamwork. As Walmart
stores grow and the pace of modern life quickens, that philosophy
of teamwork has only become more important over the years.
10 Foot Rule
"I promise that whenever
I come within 10 feet of a customer, I will look him in the eye,
greet him, and ask if I can help him."
 Divisions of Wal Mart
Wal-Mart's operations are organized into three divisions: Wal-Mart Stores U.S.,
Sam's Club, and Wal-Mart International.

The company does business in nine different retail formats: supercenters, food
and drugs, general merchandise stores, bodegas (small markets), cash and carry
stores, membership warehouse clubs, apparel stores, soft discount stores and
restaurants.
 Wal-Mart

Wal-Mart Wal-Mart
Stores. Super Sam’s Club Mc Lane’s Wal-Mart Walmart.com
LARGEST Centers company International
DIVISION
SWOT Analysis
Strengths

Wal-Mart is a powerful retail brand. It has a reputation for value for money,
convenience and a wide range of products all in one store.

Wal-Mart has grown substantially over recent years, and has experienced
global expansion (for example its purchase of the United Kingdom based
retailer ASDA).

The company has a core competence involving its use of information

technology to support its international logistics system. For example, it can
see how individual
products are performing country-wide, store-by-store at a glance.

A focused strategy is in place for human resource management and

development. People are key to Wal-Mart's business and it invests time and
money in training people, and retaining a developing them.
Weaknesses

Wal-Mart is the World's largest grocery retailer and control of its empire,
despite its IT advantages, could leave it weak in some areas due to the
huge span of control.

Since Wal-Mart sell products across many sectors (such as clothing,

food, or
stationary, it may not have the flexibility of some of its more focused
competitors.

The company is global, but has has a presence in relatively few countries
Worldwide.
Opportunities

To take over, merge with, or form strategic alliances with other global retailers,
focusing on specific markets such as Europe or the Greater China Region.

The stores are currently only trade in a relatively small number of countries.
Therefore there are tremendous opportunities for future business in expanding
consumer markets.

New locations and store types offer Wal-Mart opportunities to exploit market
development. They can diversifY from large super centres, to local and mall-based
sites.

Opportunities exist for Wal-Mart to continue with its current strategy of large,
super centres.
Threats

Being number one means that you are the target of competition, locally and
globally.

Being a global retailer means that you are exposed to political problems in the
countries that you operate in.

The cost of producing many consumer products tends to have fallen because of
lower manufacturing costs. Manufacturing cost have fallen due to outsourcing to
low-cost regions of the World. This has lead to price competition, resulting in
price deflation in some ranges. Intense price competition is a threat.
 Working for a Better Environment

Wal Mart has set its goal to work for 100% renewabale energy and 0%
waste.

Experts hope that due to huge size of Wal Mart it will have the same
positive effect on environment as it had on reducing on the prices.
In October 2005, Wal-Mart announced it would
implement several environmental measures to
increase energy efficiency. The primary goals
included spending $500 million a year to
increase fuel efficiency in Wal-Mart’s truck fleet
by 25% over three years and double it within ten,
reduce greenhouse gas emissions by 20% in
seven years, reduce energy use at stores by 30%,
and cut solid waste from U.S. stores and Sam’s
Clubs by 25% in three years.
 In 2000, H. Lee Scott became
President and CEO, and Walmart's
sales increased to $165 billion. In
2002, it was listed for the first time
as America's largest corporation on
the Fortune 500 list, with revenues
of $219.8 billion and profits of $6.7
billion. It has remained there every
year, except for 2006.
CEO

LEE Scott
President and Chief Executive Officer of Wal-Mart Stores Inc. from January 2000

25-year veteran of Wal-Mart and held roles in its Logistics operations

Instrumental in improving Wal-Mart's distribution network

Focusing on environmental well being

 COMPANY GOALS

CEO Lee Scott said that Wal-Mart's goal was to be :

"good steward for the environment" and ultimately use

only renewable energy sources and produce zero waste.”

The company also designed three new experimental stores in McKinney, Texas,
Aurora, Colorado, and Las Vegas, Nevada with wind turbines, photovoltaic solar
panels, biofuel-capable boilers, water-cooled refrigerators, and xeriscape gardens
ENVIRONMENTAL ALLEGATIONS ON WALMART

 DESTROYING NATURAL HABITATS AND AERABLE LANDS BY

CONSTRUCTING NEW STORES AT ALMOST EVERY SITE IN USA.

 RELEASE OF TOXIC GASES AND CHEMICALS FROM

STORES,WAREHOUSES AND PACKAGING WASTES.

 UNNECESSARY ENERGY CONSUMPTION & LOSS IN SUPPLY CHAIN OF

GIGANTIC SUMS OF CONSUMER PRODUCTS.

 BIODEGRADABLE WASTE FROM STORES.

SOME FINDINGS ON ENVIRONMENTAL IMPACT BY WALMART

By eliminating excess packaging on their toy line Kid Connection, they could not only
save $2.4 million a year in shipping costs but also 3,800 trees and a million barrels of oil

Walmart has also recently created its own electric company in Texas, Texas Retail
Energy, and plans to supply its stores with cheap power purchased at wholesale prices.
Through this new venture, the company expects to save $15 million annually
An Interview with H Lee Scott

Wal Marts Environment Strategies

Q Six months ago you outlined long-term goals to make Wal-Mart a company
supplied by 100 percent renewable energy, creating zero waste, Tell us what
motivated you to set those goals ?

CEO I had embraced this idea that the world's climate is changing and that man
played a part in that, and that Wal-Mart can play a part in reducing man's
impact. We recognized that Wal-Mart had such a footprint in this world,
and that we had a corresponding part to play in sustainability.
 Q Were there bottom-line motives as well?

CEO
It is clearly good for our business. We are taking costs out and finding we are
doing things we just do not need to do, whether it be in packaging, or energy
usage, or the kind of equipment we buy for refrigeration in our stores, that there
are a number of decisions we can make that are great for sustainability and great
for bottom-line profit.
 Q And these Profits, in turn, translate to lower costs for your
customers?

CEO Yes. Wal-Mart has always prided itself on being the low-cost supplier

to our customers,
 Q What are the specific targets you've set for improving your environmental
performance?

CEO We will be investing approximately $500 million annually in

technologies and innovation to do the following:
 Reducing greenhouse gases at our existing store base around
world by 20 percent over the next seven years.
 Designing and opening a viable store prototype that is 30 percent
more efficient and will produce up to 30 percent fewer greenhouse-gas
emissions within the next four years.
 Reducing solid waste from U.S. stores by 25 percent in the next three
years.
 Increasing our truck fleet efficiency by 25 percent over the next three
years, and doubling it within 10 years. If implemented across our entire
fleet by 2015, this would amount to savings of more than $310 million a year.
 Q Do you have a time frame for the 100 percent renewable energy
target?

CEO What I wanted to lay out were not just incremental goals but
aspirational goals. The technology does not exist today to allow Wal- Mart or any
company to achieve such goals in total. But we want people to understand that
this is the direction this company is going.
 Q
Wal-Mart caused many a jaw to drop last week when it joined energy leaders in a public request
for climate-change
regulations. What made you decide to take this stand?

CEO
Global warming is real, now, and it must be addressed. I have been out
making trips to learn about carbon sequestration, I have been in
discussions about carbon trading and carbon caps, and I understand the
importance of a properly structured market-based system. I have advisors
on all these matters. But at this point I would tell you that I still have
much more to learn than what I currently know.
THANKS FOR YOUR PATIENCE
Q & A ????