This website uses cookies to ensure you have the best experience. Learn more

Wal Mart Deriving Business Value From Sustainability Strategy

3022 words - 13 pages


The decisions that businesses make to adjust “pricing, output, expansion, advertising, marginal revenue, and profit conditions of every other firm in the market”. (Thomas, Maurice 2010, p. 561). An oligopoly is described in the book as a “few relatively large firms, each with a substantial share of the market and all recognize their interdependence.” (Thomas, Maurice 2010, p. 512). Meaning, direct competitors understand their internal decisions will affect not only their profits and placement in the market, but also greatly their competitors. Price cutting or expensive advertisement plans will affect the firm’s profit margins, but also with strategically place the competing ...view middle of the document...

(Thomas, Maurice 2010, p. 513). The majority of the competition is between Microsoft and Apple, with Microsoft, as the dominant company with a staggering 85.17% and Mac with 13.64%. (State Owl, 2012)

Although, the competition is legendary between these two companies, they have rivaled one another within retail stores, creative advertisement, and price and cutting edge technology. (MacManus, 2013) Where one has gained the other one may have “loss”, but they continue to fight for their captive audiences, as technology becomes more of a necessity rather than a luxury item for current and future generations. An example would be when Microsoft found itself at a “loss” between the IPad by Mac and the Chrome book. (Kanjhan, 2013) No matter how hard they tried to penetrate the market with innovative tablet technology, they were not as successful with their product. Although, Apple appears to dominate the market with gadgets such as phones and tablets, one can make that determination by a quick glimpse of financial numbers with annual revenues, market value and quarterly dividends. (Kanjhan, 2013) Microsoft is on a declining slope to maintain their market share of their users vs Apple’s ability to take market share through innovative technology and creative marketing. Ironically, the consumer is willing to pay more for as Apple goods than Microsoft. However, Microsoft has taken action within their market by utilizing strong competing products against Apple, the company has tremendously deep pockets for R & D and also can recruit some of the smartest people in the market. (Kanjhan, 2013) Probably, the most competitive and innovative concept used by Apple is they have targeted the youth. Before, computers when even in schools, Apple sprung into action by putting computers into schools, which Microsoft was putting them into the work place offices. The new demographics seems to be trending more to the leading edge technology that they grew up with in their school systems. Both products are equally good in their own preference, but these companies are competing for market share of a necessity of technology and not of a luxury.

Although, there are many oligopoly type industries from aircraft builders to oil refineries, another industry that competes within its same market is Lowes and Home Depot. Home Depot has become the world’s largest home improvement retailer, which they cater to “do-it-yourself” and professional contractors. (Tolunay, Wang, Ma, Zhang) Similar to Home Depot, Lowes also has a “do-it-yourself” gimmick and operates with fewer stores and state locations. The concepts that have made these companies an oligopoly are several factors, “one stop shop”, low prices, do-it-yourself, buy-it-yourself, convenient locations, and excellent customer service. (Tolunay, Wang, Ma, Zhang) A few of their strategic moves for success for Home Depot is their expansive distribution channels and their e-commerce strategy to bring in new areas of...

Other Papers Like Wal-Mart - Deriving Business Value from Sustainability Strategy

Marketing Unit 5 Ip Essay

1678 words - 7 pages THE GLOBAL COMPANY OF WALMART WESLEY LEATHERWOOD MARKETING 205 AIU ONLINE SEPTEMBER 29, 2013 ABSTRACT The main line of business of Wal-Mart is allowing customers to shop anywhere anytime online, on mobile devices, and in stores. The vision is to create opportunities and bring value to customers and communities around the world. The marketing mix strategy changes in the different locations of business and it is important to know how to

Environmental Factors Paper

1649 words - 7 pages able to offer these low prices to their customers if it were not for China. China supplies the majority of Wal-Marts products at a low-cost for the company. China benefits from this business relationship as well because of the high-demands for the products it has opened many jobs in that country. Wal-mart increases the efficiency of the business and lowers it cost by using trade. Wal-Mart does have to be cautious about the barriers with trade

Segmentation and Target Market

1156 words - 5 pages . Household annual income of shoppers of Wal-Mart stores are at its highest with household incomes between 50,000 and 74, 000 a year which is a 22.3% of shoppers. Wal-Mart is not as prominent as the other contenders in the West or Northeast but stronger in the South. Regionally, 40.4 % of Wal-Mart shoppers are from southern areas (Carmichael, 2012). The psychographic aspect of Wal-Mart is as a store to get products at a value and now that its

Internal and External Factors Wal-Mart

2270 words - 10 pages Wal-Mart’s Expansion. Retrieved from: Neff, J. (2011) Walmart seeks boost from tech with labs. Advertising Age [serial online]. September 12, 2011; 82(32):6. Available from: Business Source Complete, Ipswich, MA. Accessed October 30, 2011. Wal-Mart 2009 Sustainability Report - Examples of Industry-Leading Technologies Used in Wal-Mart Stores Around the World. (n.d.) Retrieved

Swot Wal Mart

1355 words - 6 pages option to take their business to one of Wal-Mart's competitors and that is their only real power. Unfortunately Wal-Mart's competition cannot compete on price. Threat of substitutes. There are not many substitutes that offer convenience and low pricing. The possible competition may come from manufactures globally who reach consumers directly via the Internet and bypass Wal-Mart. These manufacturers will have no overhead and may be able to

Organizational Change

1210 words - 5 pages shopper with the convenience of buying various items without having to go from one store to another looking for some product (David & Garcés, 2009). Wal-Mart has also established itself as a large business with many locations within the United States as well as across the globe. On the other hand, Wal-Mart has been considered as a stable company that is well established (Waters, 2006). Wal-Mart has a radiation structure that is made up of

Walmart, Corporate Social Responsibility

880 words - 4 pages -Mart Good for the American Working Class? Retrieved from Taylor, D. (2009, Jan 15). Why Social Responsibility is Important to Your Business Good Things Do Happen to Good People! Retrieved from Wal-Mart Corporate Fact Sheet (2011). Retrieved from Wal-Mart Corporate. (2012) Retrieved from

Capstone Walmart

3879 words - 16 pages stores in 27 different countries and they are operating globally around the world (Wal-Mart Corporations, n.d.). Vision, Mission and Stakeholder Influences Overall Success Sam Walton, the founder, envisioned a changed that would provide an opportunity for people to live better. He vision building a line of discount stores that would provide even more value to customers than their competitors. He started with an idea that a successful business

Evironmental Scan

1542 words - 7 pages non-value activities, and decreasing inventory. As a result the process has strengthened associates productivity scores. According to Wal-Mart its sustainability as the largest retailer has unparalleled opportunities in reducing environmental affect, protect natural resources, and sell more environmental friendly products by driving product innovation. Wal-Mart social and ethical responsibility is ensuring that products from suppliers are safe

Wal-Mart Stores

1342 words - 6 pages EXECUTIVE SUMMARY As the largest supermarket, Wal*Mart is facing the new challenges: it is the target for all of its competitors. Its competitors will study its business model. The management of Wal*Mart needs to find suitable solutions to sustain a stable growth rate. At the end of 1993, Wal*Mart had a market value of $57.5 billion, and its sales per square foot were nearly $300, compared with the industry average of $210. The supercenter

Wal-Mart Analysis

674 words - 3 pages to adjust for that increase by increasing their prices while supplying Wal-Mart. Wal-Mart did not want to agree to the price increase and pulled Rubbermaid’s products of their shelves. This in the long run hurt the Rubbermaid business. Fedoruk 2 How do Wal-Mart’ actions relate to what you studied in Chapters 3 and 4? Make reference to specific concepts from the chapter. Wal-Mart recognizes that strategic competitiveness and above-average

Related Essays

Wal Mart Strategy Essay

3721 words - 15 pages product; - It has to offer a better value, on the same or similar products than any of its competitors.Wal-Mart?s economic strategy is every EDLP ? Every Day Lower Prices?. The process of keeping cost low, improving productivity through self- improvement, and contributory ideas make it possible to lower or ?roll-back? its prices regularly.D) TECHNOLOGY Technology used at Wal-Mart is an important part of its success. The company uses the bar-code

Wal Mart Strategy Essay

297 words - 2 pages differences and local threats, the core business strategies Walmart chose to build its business on in America would prove a great success in other countries as well.   According to the website of the Walmart Corporation, Walmart saw life originally purchased by Sam Walton as the 1950’s Walton’s 5 & 10 in Bentonville, AR.   He built his company on the foundation of the “Lowest Prices Anytime, Anywhere”.   By the 1960’s Walton had decided to expand and opened the first Walmart in Rogers, AR.   The strategy of lower...

Is The Corporate Social Responsibility Conflicting With Wal Mart’s Cost Leadership Strategy? Is Wal Mart Good For America?

747 words - 3 pages business.  However, this changes depending on how you analyze what business Wal-Mart is in.  Wal-Mart is in the business of selling everything customers need in their everyday lives.  This includes the consumer goods listed above as well as food-service items.  Wal-Mart definitely has the business strategy of Low Cost Leadership. They do nothing to really differentiate themselves from competitors and provide no-frills self-service stores that

Look At The Indian Organised Retail Industry. Would Collaboration With Global Retailers Such As Wal Mart And Tesco Be A Better Growth Strategy, Or Would It Be In Understanding Who Their Major...

652 words - 3 pages Look at the Indian organised retail industry. Would collaboration with global retailers such as Wal-Mart and Tesco be a better growth strategy, or would it be in understanding who their major competitors are and matching their capabilities and out competing them? The recent wave of reforms by the Government to incentivize Foreign Direct Investment (FDI) in various sectors is bringing a new zeal to the investment climate in India. One of the