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The largest private employer in the world and the thirdlargest utility or commercial employer. The largest grocery retailer in the United States, with an estimated 20% of the retail grocery and consumables business.
Type of Organization: Public Company Foundation: Rogers, Arkansas, United States of America Founder: Sam Walton, March 29, 1918 - April 5, 1992 Current Headquarters: Bentonville, Arkansas, United States of America Sector/ Type of Industry: Retailing, Discount stores, Super markets or shoppes and neighborhood shops Current Revenue: 404.16 Billion US Dollars Net income: 13.59 Billion US Dollars Total Employees: 21,00,000
History of Wal-Mart
o Sam Walton opened the first store in 1962 . o Within 5 years there were 25 Walmart stores earning a total revenue of $12.6 million in sales. o In 1972 Wal-mart was listed in the NYSE. o In 2005 Wal-mart incorporated sustainability in its business under their CEO H Lee Scott Jr. o In August 2007, Wal-Mart and Bharti Enterprises announced an agreement to establish Bharti Wal-Mart Private Limited. o Mike Duke succeeded Lee Scott as president and chief executive officer onFebruary 1, 2009. o Presently 7,800 stores and club locations in 14 markets employ more than 2 million associates, serving more than 176 million customers a year
Important People
Co-founders, Sam and James Bud Walton started 1st Wal-Mart . David Glass was named president 1984, in 1988 he became chief executive officer S. Robson Walton named chairman of the board in 1992
Type of ownership
CORPORATE CHAIN
Classification On the basis Of Merchandise
Retail Strategy
Merchandise Assortment
Communication Mix
Pricing
Customer Service
Location
Communication Mix
Products offered
Family apparel Automotive products Health and beauty aids Home furnishings Electronics Hardware Toys Sporting goods Lawn and garden items Pet supplies Jewelry House wares, etc.
Services offered
Vision centers Health clinics Fast food restaurants Hair salons Portrait studios one-hour photo centers Pharmacies, etc.
Divisions of WAL-MART
McLanes Neighborhood Markets International Sams Club Supercenters Distribution Centers
McLanes
Nations largest distributor of food and merchandise to convenience stores. In 2003 was sold to Berkshire Hathaway, Inc. so Wal-Mart could focus on core retail business.
Supercenters
Developed in 1988 to meet growing demand for one stop family shopping. There are more than 2300 nationwide & open 24 hrs a day This features Bakery food, Deli food, Frozen food, Meat, Dairy & Fresh products.
Neighborhood Markets
Began in 1998 Located in market with Wal-Mart Supercenters Offers customer groceries, pharmaceuticals & general merchandise. Provides 28,000 items to customers.
International
Wal-Mart expanded so that customers everywhere would associate its name with low cost, best value, greatest selection of quality merchandise and highest standards of customer service. Wal-Mart focused on Global Positioning.
saMs club
Membership-only, cash-and-carry operations. Financial service credit card program (Discover Card) available at all clubs. Annual membership fee is $35; the Elite Membership is $100. Elite membership has additional benefits like automotive service contracts, roadside assistance, home improvement, auto brokering and pharmacy discounts. Bulk displays and name brand merchandise.
Worldly Stores
Country
Argentina Brazil Canada China Germany Korea Mexico Puerto Rico United Kingdom International Totals DISCOUNT STORES 0 0 213 0 0 0 472 9 248 942 SUPERCENT ERS 11 12 0 20 94 15 75 1 10 238 SAM'S CLUBS 0 8 0 4 0 0 50 9 0 71 NEIGHBORHOOD MARKETS 0 2 0 2 0 0 0 33 0 37
Free-standing Stores
WALMART LOCATION
COUNTRY Mexico Canada Brazil Argentina RETAIL UNITS 2,088 333 512 88 ENTRY Entered November 1991 Entered November 1994 Entered May 1995 Entered August 1995
China***
United Kingdom Japan Costa Rica El Salvador
370
541 419 200 79
WALMART LOCATION
COUNTRY Guatemala Honduras Nicaragua RETAIL UNITS 200 70 73 ENTRY Entered September 2005 Entered September 2005 Entered September 2005
Chile
India Africa**** Walmart International Wal-Mart Stores, Inc.
316
15 347 5,651 10,130
Pricing Strategy
Customer Service
Store Design and Display
Merchandise Assortment
Communication Mix
Low, EDLP
EDLP
Pricing
Communication Mix
The Wal-Mart store is committed in ensuring that information regarding its products is effectively disseminated to the public. 1. T.V In this respect, the retail store makes use of TV advertisement and newspaper insert ads. TV is an effective media to transmit Information ,regarding products, prices and discounts is often provided on TV during the evening hours when people are expected to be at home. This ensures that a significant number of potential customers can see the advertisement hence maximize the efficiency of the advert 2. VOUCHER The use of vouchers is also a common method of advertising of the stores products.
Communication Mix
3. NEWSPAPER Newspaper advertisements by the enterprise are mostly placed in the classifieds corner. People are more likely to visit the classifieds pages when they are looking for places to shop. This therefore provides a convenient place to place an advertisement. Occasionally, the retail store may secure a big space on the newspaper to advertise an oncoming sale or to sensitize customers on discounts available at the store. the sales. 4. BANNER Banners and posters placed in conspicuous places around Winnipeg also help to popularize the store with an objective of increasing
Communication Mix
5.Selecting Media Wal-Mart develops communication channels primarily through television, direct mail, radio, and internet. These forms of media are used to express the value that consumers will have by shopping in their stores. The product proposed is another form of media that can be used to develop communications with consumers, in much the same way as employees are meant to express the value to consumers who enter the store 6.Niche media is another communication channel that can be effectively utilized by companies. Communication channels considered niche media are described as "channels through which messages are sent to audiences with a distinct commonality source of niche communications is magazines
Communication Mix
7. Internet Currently Wal-Mart primarily focuses marketing communications as addressable media through internet and direct mailings in the form of weekly advertisements. 8.Interactive media can be the most productive of the forms of media because it allows companies and consumers to share information
Customer Service
Location
Merchandise Assortments
Basket Trolley
Selected Products
Payment Counter
Payment Slip
Purchased products
Counter staff
cashier
Cashier
Staff Trainers
Security Department
Pricing
Communication Mix
Customer Service
Wal-Mart says it trains employees to ask customers if they need assistance or tutorials on how a particular product functions. Wal-Mart customer strategies is having greeters at the door of every store. Wal-Mart management feel that if customers are greeted by a friendly face, this enhances their shopping experience. Wal-mart trains its employees on excellent customer skills. Wal-Mart believes that if customers gets what they want at a good price, this will keep them coming back to the store Wal-Mart gives to children's hospitals, has created educational scholarships and educates communities on environmental issues such as recycling.
Customer Service
High responsiveness Timely Accurate in speed and quality in fast time, every time and last time Make customer happy The main policy :Wal-Mart would always provide a wide variety of high quality, branded and unbranded products at the lowest possible price, offering better value for the customer's money. Their belief: Because you work hard for every dollar, you deserve the lowest price we can offer every time you make a purchase.
Threats: Economic environment Many discount businesses Competition from other discounters Cable home shopping
conclusion