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In the bustling landscape of retail, few names carry as much weight as Walmart.
Founded in 1962 by Sam Walton, Walmart has grown from a single discount
store in Rogers, Arkansas,to a global retail behemoth with a presence in nearly
every Origins and Founding Principles:
In 1962, Sam Walton, a visionary entrepreneur with a passion for retail, opened
the doors to the first Walmart store in Rogers, Arkansas. With a simple yet
revolutionary concept of offering everyday low prices to customers, Walton laid
the cornerstone of what would evolve into the world's largest retail corporation.
In 1962, Sam Walton, a visionary entrepreneur with a passion for retail, opened
the doors to the first Walmart store in Rogers, Arkansas. With a simple yet
revolutionary concept of offering everyday low prices to customers, Walton laid
the cornerstone of what would evolve into the world's largest retail corporation.
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The introduction of the Walmart Supercenter concept in the late 1980s marked a
significant milestone, integrating groceries with general merchandise under one
roof. This innovation not only catered to the diverse needs of consumers but
also solidified Walmart's position as a one-stop shopping destination.
As the 20th century drew to a close, Walmart set its sights beyond U.S. borders,
venturing into international markets with strategic acquisitions and partnerships.
Today, Walmart operates in multiple countries, serving diverse communities
with tailored offerings while staying true to its core values.
Walmart aims to sustain a low-priced strategy to serve busy families and save
money for them while being presented anytime and anywhere across the US and
leveraging knowledgeable employees to help customers. Among other long-
term goals are enhancing economic opportunities, expanding sustainability
measures, and strengthening local communities (Walmart, 2018). The Walmart
Great Value product line long-term strategy should also be built on general
long-term objectives.
The company’s short-term goals are the adjustment of market strategy due to
COVID-19, the development of the plan for the Great Value product line,
stretching the supply chain, and emphasizing e-commerce channels (Souza,
2020). To survive the competition and increasing pressure from online retailers,
Walmart aims to support its employees’ well-being during a challenging time in
the US and ensure that prices of its products are affordable and of good quality.
Thus, the company should have a flexible strategy to connect short- and long-
term goals.
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The 5 S Model of Walmart
To address the company’s objectives and compete against other companies,
Walmart should have a clear marketing plan for its product lines and services.
The 5 S model helps to identify five main areas the organization to focus on
creating a value chain for customers. The first area is “sell” which reflects
companies’ objectives to grow market share and sales. Here, Walmart aims to
sell almost everything near customers and achieve affordable prices in the
future. The short-term aim is to reduce the Great Value product prices of
products by 5% while retaining the existing profit margins during COVID-19.
The second main area is “serve” which aims to add value through customer
service. Walmart is focused on the customer and provides buy-online-pickup-in-
store and delivery services, training employees to help clients choose goods and
sustainability value that contributes to customer experience (Petro, 2020). The
third area is “sizzle,” which implies that a company should have a wow factor to
amaze clients. Walmart continues to expand its online service, e-commerce
shop, and express delivery options with the combination of low prices have a
wow effect on customers. Moreover, the diversified portfolio of services,
including grocery shopping, gas stations, online retail stores, and a loyalty
program that provides discounts, boost customer amazement (Walton, 2020).
The fourth main area is the “speak” aim that implies the necessity to get closer
to customers through frequent communication and the spread of news. Walmart
continuously implements different advertising and communication campaigns
for new and existing customers with emails, offline banners at stores, co-
branding activities, and other activities (“About Us,” n.d.). The fifth goal is to
“save” aimed to make time and cost savings. Walmart improves its supply chain
management, which is one of the core management areas of the company. The
organization revises its operating costs and negotiates with suppliers the price of
goods to relocate financial resources and achieve marginal activities (Hyde,
2019).
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The Strategy of the Company
The strategy helps Walmart identify how to get from the current situation to the
long and short‐term objectives. Here the areas of segmentation, targeting, and
positioning (STP), online value proposition (OVP), sequence (credibility before
visibility), integrations, and tools should be reviewed. The segmentation of
Walmart is primarily based on customer income lever as the organization aims
to sell everything anytime and compress various products in a single location.
Thus, the segmentation includes four types of stores: discount stores, Walmart
Supercenters, Sam’s Club warehouses (selling bulk items), and neighborhood
markets (Hyde, 2019).
For example, a company that provides wellness coaching may promote the
benefits of adopting a healthier lifestyle, the promise that they can help their
customers achieve their fitness goals and the idea that incorporating an effective
wellness routine is easier with the help of a certified coach.
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Walmart is a multinational giant corporation that operates retail stores in the
form of hypermarkets. It was founded in 1962 by Sam Walton. Today the
company has more than 10,000 stores and clubs in 24 countries. The Walton
family controls the company. The billionaires of the Walton family include Jim
Walton, Alice Walton, S. Robson Walton, Lukas Walton, Ann Walton Kroenke,
Nancy Walton Laurie and Christy Walton.
McKinsey 7S Model
groceries
entertainment
health and wellness – including pharmacy
hardlines – including stationery, auto spares, and accessories
hardware
apparel
home furnishings
household appliances
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Despite the low prices, Walmart attempts to position its products as quality and
this message is integrated into company’s marketing strategy. For example, in
China Walmart utilizes “Worry Free Fresh” program to provide a money-back
guarantee if its produce and meats don’t meetcustomer expectations.
Wallmart.com offers about 8 million items in the US and it is duly considered to
be one of the largest online stores in the world.
Place. With more than 11,000 stores, websites and mobile apps, customers can
access Walmart via multiple channels.During the fiscal year of 2016, Walmart is
planned to expand by approximately 15 to 16 million total net retail square feet,
representing between 240 and 270 units. Walmart stores are operated in the
following four formats:
Walmart has launched its dedicated e-commerce websites in 11 countries and the
proportion of online sales compared to the traditional offline sales has been
consistently increasing for the past 10 years.
“We’re committed to providing low prices every day, on everything. So if you find
a lower price from an online retailer on an identical, in-stock product, or the item
purchased from Walmart.com is now listed at a lower price, tell us and we’ll
match it”
Price determines how successful and long-lasting a product will be in the future.
It tells how much money will be made from the sale and how competitive the
product will be on the market. If you charge a high price, the sales volume will
decrease. On the other hand, if you charge a very low price, the volume will
increase. All companies strive to achieve the correct mix between the price and
volume. Walmart has perfected its pricing strategy via the following methods:-
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Instead of charging too much for the products, Walmart maximises its income
by making prices customer-friendly and focusing on bulk sales.
Diversification makes sure that if one product doesn't get enough attention, other
products that go well with it can help boost sales of other products.
Universal barcoding and stock-keeping unit (SKU) systems make the supply
chain run more smoothly, letting prices go down.
Walmart allows the financing of big-ticket items like appliances and furniture.
This keeps the initial outlay of the consumer law.
Product Marketing
There are a lot of things for sale at Walmart stores. They give the market what
the people want. It is easier to sell and promote a product that people want than
to bring something new to the market. Walmart chooses what products to sell by
using the following methods:
•They have a huge number of items in almost every category. Some of these are
food, tools, furniture, appliances, health and wellness products, and fun things to
do.
•They buy bulk to save money and take advantage of economies of scale.
Promotions
The methods an organization uses to get people interested in or learn about its
product are known as promotions.
The store uses phrases like "Save money, live better," "lowest price store,"
"worry-free fresh," and "everyday low pricing" to get the consumer excited.
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Walmart uses many different ways to advertise, such as commercials on TV,
billboards, social media, and eCommerce websites.
They offer safe shipping options that give online customers the best quality of
service.
Walmart backs up most of their products with reliable warranties and replacement
policies, which gives customers peace of mind.
Store Location
Location is important for every business. Customers care a lot about where a
business is and how easy it is to get to. Walmart uses several strategies to make
sure that all aspects of location, which is part of the marketing mix, are effective
and efficient:
A powerful E-Commerce platform lets people buy things without going to a real
store.
The company can keep track of whether they are on the way or in stock.
Walmart stores, mostly in the U.S., are strategically placed in places that are good
for business.
A fleet of delivery trucks makes it easy to get things from door to door.
Getting people to buy something is all about setting prices right. Businesses must
know where to put their items and how much to charge for them based on who
they want to sell to.
When intermediaries are taken out of the supply chain, merchants can save money
and pass it on to their customers.
New age businesses need to connect with the consumers with the help of their
customer service. Promotions form an important part of putting out the message.
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For example, Walmart allows the return of its products, which induces consumer
confidence.
A digital presence is now nearly as crucial, if not more important, than a physical
presence.
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the possibility to control performance speed. Various Walmart leverage
technologies require workflow that could be changed anytime, which is
Kanban’s priority. Although Kanban attracts attention by its commitment and
continuous observations, Scrum makes it possible to learn what customers
presume to get from this partnership and divide team responsibilities.
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On the other hand, there are enough reasons to continue comparing Waterfall
and Agile, and the Walmart IP project is ambiguous. For example, the company
has one specific goal to establish commercialization relationships with Adobe
(Walmart to offer technologies and capabilities, 2021). Thus, it is necessary to
gather information about a new partner, evaluate the situation, and deploy the
process, and it is a part of a perfect Waterfall plan. At the same time, a variety of
services offered by Walmart cannot permit the selection of one project manager
for all processes, which plays an essential role in a linear approach. The Agile
idea to neglect the choice of a dedicated manager is more attractive to Walmart
in its current IT project. Both methodologies are grounded on strong principles,
and Walmart may succeed with both options.
However, the company should not ignore drawbacks before sharing final
decision-making.
Tools
Gantt Chart
In addition to a properly chosen project management methodology,
Walmart’s business project developers must understand what tools to use
and manage all working processes effectively. This choice determines the
quality of information about the project clearly and comprehensively, and
many project managers prefer charts. A Gantt chart is one of the most
prominent charts in today’s business management. Its creator, Henry Gantt,
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used the form of a bar chart where the vertical axis identifies the tasks, and
the horizontal axis represents the time span (Mall, 2018). In this chart,
shaded parts show the length of time for each task, and unshaded parts
indicate the lax (flexible) time (Mall, 2018). Walmart managers are able to
observe the completion of each process and relate all tasks.
Gantt charts make it possible to review project tasks and understand when
final results should be achieved. In the Walmart IT project, there are many
areas for improvement, including the integration of Walmart’s Marketplace,
the implementation of the Adobe Commerce platform, and the combination
of available technologies (Walmart to offer technologies and capabilities,
2021). A Gantt chart is a unique overview of all tasks to manage resources,
track changes, balance employees’ responsibilities, and set realistic
deadlines.
PERT Chart
The project evaluation and review technique, or a PERT chart, is one more
popular project management tool for scheduling and monitoring tasks. Walmart
enhances the shopping experience for customers by using various technologies
and resources (Walmart to offer technologies and capabilities, 2021). As there
are no specific deadlines for this goal, the duration of activities does not matter.
PERT charts are activity networks with boxes and arrows to guide the team and
prove each task’s dependency (Mall, 2018). Sometimes, project managers are
confused about parallel activities to be taken simultaneously, but problems
disappear as soon as some experience is obtained.
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SERICES PROVIDED BY WALMART
-Payment methods
-Money services
-Product warranties
-Home services
-Gifts and registries
-Auto services
-Health and pharmacy services
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PHARMACY
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CUSTOM CAKES
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UPLOAD PHOTO
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About Walmart Management
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7. International Expansion: Examination of Walmart's international operations
reveals mixed results in different markets. While Walmart has achieved success
in some countries by adapting its business model to local preferences and
market conditions, it has faced challenges in others due to regulatory issues,
cultural differences, and competition from local retailers.
8. Employee Relations: Research on Walmart's labor practices highlights
ongoing debates surrounding wages, benefits, and working conditions for its
employees. While Walmart has implemented various initiatives to enhance
workforce development and career advancement opportunities, critics argue that
more can be done to address concerns related to job security and employee
well-being.
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Overview Of Walmart's Personalized Product Recommendations
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Data collection and analysis
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CONCLUSIONS
A Retail Legacy Defined by Innovation
In the annals of retail history, Walmart's legacy shines brightly as a testament to
innovation, resilience, and customer-centricity. From its modest beginnings in a
small Arkansas town to its global prominence, Walmart has consistently pushed
the boundaries of what's possible in retail. By embracing technology, pioneering
new business models, and prioritizing the needs of its customers, Walmart has
not only transformed the retail landscape but also redefined the expectations of
consumers worldwide. As we look to the future, Walmart's legacy of innovation
serves as an inspiration for businesses across industries, demonstrating that with
vision, determination, and a relentless focus on the customer, even the loftiest of
goals can be achieved.
A Global Force for Good
Beyond its role as a retail juggernaut, Walmart has emerged as a global force
for good, leveraging its resources and influence to drive positive change in
communities around the world. Through philanthropic initiatives, sustainability
efforts, and community engagement programs, Walmart has demonstrated a
steadfast commitment to corporate citizenship and social responsibility.
Whether supporting disaster relief efforts, championing environmental
conservation, or empowering underserved communities, Walmart's impact
extends far beyond the aisles of its stores. As we reflect on Walmart's journey,
we are reminded that business success and social responsibility are not mutually
exclusive; rather, they are intrinsically linked, with each reinforcing the other to
create a brighter, more sustainable future for all.
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In conclusion, Wal-Mart is the number one retailer in the United States and is
at the top of the Fortune 500 listing. Wal-Mart operates in many countries
world-wide and is moving into new countries every year. Wal-Mart is also
expanding as a retailer. They have expanded into many other sectors of the
marketplace, including groceries, gas stations, electronics, and auto
maintenance. Each year, Wal-Mart finds new ways to grow and offer more
services to their customers.
Each year, the number of people who have a stake in Wal-Mart also grows.
Each year, more claims are made against Wal-Mart by the unions and other
businesses that have been forced out of business. Wal-Mart is often able to
uncut many other local industries and more and more local businesses are
shutting down when Wal-Mart moves into town. The unions are filing more
court claims against Wal-Mart because they encourage their workers not to join
unions. As a result of Wal-Mart's ever growing size and variety of services they
offer, their public affairs department is going to become more and more
important. As Wal-Mart att ectors of the marketplace, there is going to be more
regulation against them and their public affairs department is going to have to
work harder to make it possible for Wal-Mart to continue to grow. And as the
animosity against Wal-Mart becomes more widespread, here and in foreign
countries, Wal-Mart is going to have to work harder to maintain their good
reputation. Wal-Mart's foundation will become increasingly more important for
giving things back to the community. In order for Wal-Mart to stay at the top of
their game and follow the company strategy and achieve their key policy goals,
they are going to have deal better with their stakeholders and make sure they
guard their reputation well.
BIBLIOGRAPHY
https://www.scribd.com/document/184816442/wallmart-project-report
https://www.almabetter.com/bytes/articles/introduction-to-walmarts-
personalized-product-recommendations
https://www.totalassignmenthelp.com/free-sample/operations-management-
assignment-case-analysis-of-walmart-and-project-management
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