Question

To do our analysis, let's look at one of the giants

Please read these online resources.

Walmart. Read and explore these online resources pertaining to Walmart's history and Information System usage.

• The History of Walmart from their website
• 45 Years of Wal-Mart History: A Technology Time Line
• Information System Processes in the Wal-Mart Company Report (Assessment)

write an informal paragraph or two on why you think Walmart has become so successful. Using chapter 7, "DOES IT MATTER," read, think about what technology gave Walmart a competitive advantage. Do you think they needed to manage any of Porter's Five Forces? Provide your own insight.

Answer 1

-------------------------------- Please Upvote!!! Thank You ..;) ---------------------------------

Q.why you think Walmart has become so successful.

It would be tough for any competitor to operate on the volume that Walmart efficiently does with a low-cost operating infrastructure. This infrastructure took almost two decades for Walmart to build.

All of Walmart’s activities like Supply-Chain Management, Integrated Network, Information System, Customer Friendliness, etc., fit and reinforce each other, forming a formidable integrated design. Given the sheer volume and size of Walmart’s operations, it would be impractical, if not impossible for any competitor to imitate it; and imitating only part of it would not make much business sense.The Walmart team, rather than just forcing the vendor to cut down the cost, worked with him to reduce the price of the product. Walmart encourages suppliers to utilize the retailer’s capabilities wherever possible.

Following its guiding principle of keeping prices low, Walmart had been successful in pushing suppliers to cut prices. With the help of the Walmart team, many suppliers reduced the price of the product by half.

In the Walmart Effect, author Charles Fishman discusses how Walmart pushed GE to reduce the price of a four-pack of GE light bulbs from $2.19 to 88 cents for 5 years. Lakewood Engineering & Manufacturing Company, a fan manufacturer, sold fans through Walmart stores. In the 1990s, the fan was priced at around $20. Walmart was not happy with the price and kept pushing Lakewood Engineering to cut down the price without compromising quality. Lakewood automated production with the help of the Walmart team, which helped to bring down the number of people to assemble a product by two-thirds. Walmart’s suppliers’ team also helped the company to source some of the components at a lower price. They also used their contact to help Lakewood set up a factory in China, thus, lowering the costs further. By 2003, the price of a fan in Walmart had dropped to $10.

Q.what technology gave Walmart a competitive advantage.

1. Mobile upgrades

Walmart made waves — and not in the good way — when it launched and then quickly abandoned a mobile order and pay initiative called Scan & Go.

2. Lists

Roughly 80% of shoppers make paper lists before heading to the store, according to Matthews, and attempts to translate this to digital tools haven't been widely embraced by shoppers.

3. Returns

Walmart is integrating shopper purchase data into the app so that both items bought online and in stores can be accessed by the customer, who can scan a paper receipt to utilize the feature for non-digital transactions. Shoppers will be able to initiate a return within the app, selecting an item from this digital history and creating a barcode on the mobile device.

4. Robots

Restocking shelves, finding and returning misplaced products, and tracking inventory levels are among the most time-consuming tasks at any retail store. Walmart is now using robots to facilitate the process.

A competitive advantage may include access to natural resources, such as high-grade ores or a low-cost power source, highly skilled labor, geographic location, high entry barriers, and access to new technology.Walmart boasts over 11,700 stores and serves about 270 million customers. Its business strategy is mainly based on “being competitive in terms of assortment, differentiating with the way people access, leading in terms of price, and delivering an incredible experience with the motto of EDLP (Every Day Low Prices).”

Each of our four values – Service to the Customer, Respect for the Individual, Strive for Excellence and Act with Integrity – has a set of three corresponding behaviors that, when practiced daily by every associate, can help us deliver business results and create a culture of inclusion.

Q.Do you think they needed to manage any of Porter's Five Forces?

Not so much, Because its a Great Buisiness.

1.Bargaining Power of Buyers :

The Pricing strategy of the Walmart decreases the buyer's bargaining power.Its not too high in the case of Walmart.

2.Bargaining Power Of SUppliers :

It is very inssubstantial in walmart's case because of scope and size of the business.Walmart tries to secure the least possible prices from the suppliers for sustaining its cost.

3.Threats of New Entrants :

Its Low on Walmart Again, As it exerts the medium level of pressure on the Walmart Due to its high rank.

4.Threats from the substitute Products

Target might be a threat to capture the consumers.However, Threat of substitute products is a weak force for the walmart and irrelevant because of the broad range of items sold by a retailer.

5.Rivalry of Existing players :

Its So Strong, like Target, Sears Costco are competing on the industry environment.However, Walmart is successful enough in making its position in the global market one of the leading retailers.

-------------------------------- Please Upvote!!! Thank You ..;) ---------------------------------