Go to the Internet and look up 

www.walmart.com. How has this firm been able to combine

overall cost leadership and differentiation strategies?

Answer: The most common strategy of Walmart Inc. is cost management. The model described by
Michael Porter as a standard competitive approach focused on achieving lower costs. The company
uses a variety of methods to compete and keep costs low and prices low. For example, technological
automation, as well as the reduction of costs in human resources, in order to achieve lower
operating costs. Cost leadership involves the segregation of low-cost products. With the goal of
keeping costs low, Walmart is known for buying cheap goods from countries such as China. Walmart
Inc. uses strong strategies such as Ansoff Matrix to grow the business and reduce the effects of
competitive forces on the retail industry, including:

1. market entry
2. market development
3. product development, and,
4. diversity.