4.

1 Competitor (Walmart vs Amazon)

After Walmart has successfully partnered with Google to expand its services to

consumers, now Amazon.com Inc. also announced the completion of the acquisition action

against Whole Foods Market Inc. This situation is increasingly tightened competition

between Walmart and Amazon.com in the e-commerce sector in the United States. As is

known, Amazon.com finally managed to acquire Whole Foods Market Inc. worth US $ 13.7

billion after obtaining permission from US regulators.

The US Federal Trade Commission said it would not proceed with an investigation

into the Amazon acquisition. The reason they found no indication that the corporate action is

a form of unfair competition or reduce competition in the market. Amazon also claimed that

it has been on the right track when acquiring a retailer who sells organic food products.

Because they do not violate any rules in the process of acquisition. Moreover, the Whole

Foods shareholders have approved the action of the corporation. Meanwhile, buying Whole

Foods further strengthens Amazon's business in the US because it is equivalent to

automatically getting Whole Foods wholesale markets wholesale US $ 700 billion.

amazon revenue and profits

by segment, per Quarter I /
2017 (US $ Billion)
market movement of Amazon vs Walmart market (US$ billion)
 Walmart Efforts

However, what Amazon does in expanding its expansion across these sectors

is slowly followed by Walmart. In order to shake the dominance of Amazon in the

US, Walmart took Alphabet Inc. to develop a shopping app using sound to be

embedded in the Android operating system. Apikasi it will make the buyer live voice

to order the goods they want.

The application will be integrated in the Alphabet-made platform, Google

Asistant. The platform will be available in the Google Home app that exists on every

phone that uses the Android operating system. Later, the platform will automatically

connect to Walmart's booking server. "We want to expand the market while providing

a new shopping experience to our customers," said Walmart Ecommerce Business

Head Marc Lore.

Previously, a similar application has been developed by Amazon called

Amazon Alexa. The application in 2016 has made the company controlled 72% of the

US e-commerce market in 2016. As for Alphabet itself, cooperation with Walmart

will further encourage new cooperation again with other online retailers to join the

Google Home application. Meanwhile, for consumers, Google has lowered

membership fees to only US $ 10 per month. (Bloomberg / Reuters)

4.2 Walmart Global Strategies

 walmart used multidomestic strategy in Americas resulting in very successful

penetration

 its use of a global strategy with out developing economies of scale have

resulted in failure. e.g germany and korea

  walmart is trying to move toward a transnational strategy to effectively ultilize

and global competencies

 its transnational strategy in UK worked successfully but has found it difficult

to emulate in other country

Strategies for Customers

a. Understanding Customers.

Wal-Mart strives to provide goods to its customers at a cheap price according

to its tagline of “Save Money Live Better” which means saving money, family

can live better. Studies conducted by Goldman Sachs quoted in Fortune magazine,

Wal-Mart became a price leader in various product categories. Wal-Mart is known

for its cheap price and discount.

b. Merchandising Focus.

Walmart is more centered around offering items at low cost and making item

choice. Wal-Bazaar likewise centers around marked stock however with a low

value that is certainly sought after by customers

Reference :

1. http://mba.teipir.gr/files/3_Wal-Mart.pdf

2. http://www.businessinsider.com/walmart-amazon-grocery-competition-heating-up-

2018-3/?IR=T

3. http://www.marketing.co.id/tertinggal-dari-amazon-wal-mart-bangun-kekuatan-

online/

4. https://www.slideshare.net/pradeep_loganathan/globalization-strategy-walmart