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- Strategic Global
- Marketing
M.B.A
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- Sadek
- Professor: Heba

Ahmed Abd El Gawad Basuoni Ebrahim

20125388

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Dr: Heba Sadek
MBA 22
 Contents

1.0 Abstract………………………………………………………………3
2.0 Literature Review ……………………………………………………………4
2.1 About …………………………………………………………….4
2.2 Stores types…………………………………………………...4
3.0 Consumer Behavior ……………………………………………………5
3.1 Misunderstand………………………………………………..........5
3.2 Buyer’s journey……………………………………………………6
4.0 Walmart Internationally……………………………………………….7
5.0 Walmart Failure……………………………………………………. 7
5.1 Case Study………………………………………………….8
5.2 Cultural problem……………………………………………….8
6.0 Lack of Consumer Research……………………………………….........9
6.1 Consumer misunderstand…………………………………………….9
6.2 Cross Culture psychology………………………………………….10
6.3 Retailing style ………………………………………………….10
6.4 German Habits……………………………………………….11
7.0 Management Area……………………………………………………12
7.1 Law and Regulations.……………………………………………12
7.2 Competition & economy…………………………………………12
7.3 Employees….………………………………………………….13
8.0 Lessons Learned……………………………………………………….13
9.0 Conclusion……………………………………………………………14
10.0 Recommendations …………………………………………….14
11.0 References……………………………………………………….15

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Dr: Heba Sadek
MBA 22
 1.0 Abstract

In this research a critical analysis of the failure of Walmart retailer in their

first European invasion Germany will be discussed under the context of
organizational behaviour, despite Walmart`s fame all over the world by
being one of the biggest mega retailers in the states but the European
presence was not as planned for due to short vision in critical points any
organization should search and dig for before penetration new market
specially internationally moreover consumer behaviour influencers and key
points that pull Walmart from competing will be mention in this research
and the German’s habits that affect their acceptance with the giant
American retailer, lastly drawing a concrete conclusion highlighting the
mainstream failure issues and adaptable improving steps based on the
above conducted analysis, so to cut it short bad management different
cultures and of inappropriate leadership trends are the factors identified for
this gigantic failure.

2.0 Literature Review

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Dr: Heba Sadek
MBA 22
 2.1 About Gillette

Gillette is the premier producer of safety razors for along with is one of the
world's top products for personal care for both genders. The history of
Gillette is a tale rich with dedication, long lasting legacy and persistence
more over above all the innovation which lead to the company`s success till
today (Boss, 2020). The company headquartered in Boston,
Massachusetts. The brand was owned by Gillette until 2005 Procter and
Gamble made one of the largest acquisitions at that time with fifty-seven
billion dollars for Gillette company and its shaving, copper top batteries
that would form the world`s largest consumer products company after
the deal was approved by the Federal Trade Commission (cbs, 2005). In
1895 a dull King Camp Gillette razor blade led to the thought of a
simple, replaceable razor and from here our story begin as King worked
on this idea for many years, eventually producing the first Gillette razor
Gillette was founded in 1901 by King C. Gillette. The brand has become so
successful and popular over the years that in many countries around the
world, the word Gillette is used Instead of a razor blade in some nations
(Gillette, 2022).
The main products of this brand are shaving and skin care products. As
Procter and Gamble is now the mother brand it covers other brands such
as Oral-B, Pampers, Tide, Head & Shoulders and many other reputable
brands of health products.
One of the top capabilities for Gillette is quality of production and innovation
among years since its first launch in 1900 with their first prototype till now
the electric and heated razor so they are the world`s first mover advantage
in the field Gillette hired top scientists from across the world and invested
heavily in blades designs, each and every new product launch was a
remarkable improvement than the one before and in our case we will
discuss their innovation to launch the fragrance new line in the Egyptian
market.

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Dr: Heba Sadek
MBA 22
 2.2 internal environment

Egypt is considering the sixteenth most populous country in the world and
Africa region with a population of 78.8 million people According to data
from Egypt’s Central Agency for Public Mobilization and Statistics, Egypt’s
population currently stands at 102,986,146 million with over 60% under the
age of 30 (CAPMAS, 2022).

Major religion is Islam as statistically 90 percent of the population is Sunni

Muslim on the other flip 10 percent is Christian (estimates range from 5 to
15 percent) (FREEDOM, 2021). Egypt imports focus mainly on chemicals,
minerals as it presents 25 percent of total imports more over agricultural
products, livestock and foodstuff represents 24 percent mainly wheat,
maize and meat while electrical equipment and machinery represents 15
percent (tradingeconomics, 2021). The Egyptian pound in the currency of
Egypt also known as gineih divided into 100 piastres and often abbreviated
to LE (oanda, 2022).

The country is located Africa and consider one of the most attractive
destinations in Mena and Middle east, is divided into four geographic
regions. These regions are the Nile Valley and the Delta, the Western
Desert, the Eastern Desert, and the Sinai Peninsula , Egypt borders Israel,
Libya, and Sudan by land and Cyprus, Greece, Jordan, Saudi Arabia, and
Turkey by sea.

2.2 political and economical

The president Abdelfattah EL Sisi `s regime will remain for next 8 years
according to the new Constitutional changes have extended his current
period according to controversial constitutional amendments, the
presidential term in the country increases from four to six years, while
keeping it limited to two terms, while allowing Sisi alone for a third term,
allowing him to remain president until 2030 (Britannica, 2019). Egyptian
government is priorities maintaining cordial ties with the United States and
European countries to improve economy and trade.

Egyptian economy proves to the world that it’s one of the strongest in Africa
and Mena region as by its steadfast and strong stability after the pandemic
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MBA 22
crise from 2019 to 2022 to the testimony of major international institutions
the state was able to support and support the affected sectors and maintain
positive growth rates, Data from the Ministry of Finance showed a decrease
in the overall deficit as a percentage of GDP in 2020 to 2021 to 7.4 percent,
compared to 8.7 percent in 2009 to 2010. It continued to achieve a primary
surplus instead of a primary deficit as a percentage of GDP in 2020 to 2021
to 1.45 percent instead of -2.1 percent in 2009 to 2010 (Egypttoday, 2021).
More over data also showed decline in the inflation rate to 4.5% in 2020 to
2021, down from 11.7% in 2009 to 2010, according to the Central Bank of
Egypt (bloomberg, 2020).

In 2019 Egypt was the number 39 economy in the world in terms of GDP
(current US$), the number 59 in total exports, the number 42 in total
imports, the number N/A economy in terms of GDP per capita (current
US$) and the number 73 most complex economy according to the
Economic Complexity Index (OEC, 2019).

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Dr: Heba Sadek
MBA 22