Question

• Develop an Internal Factor Evaluation (IFE) on Wlamart When developing your internal factors (both strengths and weaknesses) make sure the factors meet the Actionable-Quantitative-Comparative-Divisional (AQCD) Test. Provide a thorough analysis of your IFE.

Answer 1

Internal factor evaluation s a strategic management tool for auditing or evaluating major strengths and weaknesses in functional areas of business. it also provides a basiss for identifying and evaluating relationship among thosee areas.

internal factor evaluation of walmart:

- strenghts:

- miliion of customers visiting walmartt every day, it is the most recognised retail brand in the world. there are over 60 million items available at the walmart online store.

- walmart has recently purchased ASDA, the UK based retailer and Indian e commerce giant flipkart. it has created a jointt venture with India;s biggest retail store Bharti.

- walmartt opened 47 new sttores in America, 15 in Chile ,11 in UK and 4 in China.

- Walmart is based on economies of scale agenda that's why it can offer low prices. It has fixed costs for thousands of products.

- The distribution and logistics systems are the core competencies of Walmart.

- Employees are the key assets of walmart. It hugely invess its time and money in developing and managing its employee.

- Its large organizational size and global reach have made walmart capable enough to exercise market power over suppliers and competitors.

Weaknesses-

- Low wages, inaequate healthcare, and poor working conditions are few of the issues that have been publically criticized.

- Its highly extended size and massive span of contral could leave walmart weak in some areas.

- Walmart focuses on a cost leadership strategy. It results in thin profit margins for the company.

- Female employee are discriminated in regards to promotions and pay scale as per this lawsuit.

- Walmart's business model can be easily copied, The company doesn't own any specific competitive edge over its rivals except its huge business size.