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Walmart Trying to Recapture Mr Sams Winning Formula - Article Example

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The author of the paper "Walmart Trying to Recapture Mr. Sam’s Winning Formula" states that as evidenced by its incredible success, Walmart has several competitive advantages over its competitors. For instance, Wal-Mart offers a wide variety of merchandise at very competitive prices.
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Walmart Trying to Recapture Mr Sams Winning Formula
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Walmart has an incredible team of executives who form its leadership. This has equipped Wal-Mart with a management of high caliber. Finally, the Company spends its resources carefully with the aim of maximizing its margins while reducing costs.

  1. How sustainable are those advantages?

            The company focuses on strategies such as everyday low prices that helped it stay ahead of its competitors. More so, the company’s retailer opened new small stores, which helped it overcome its competitors such as Amazon.com and dollar stores. It faced tough competition from these companies but it managed to make profits.

  1. How transferable are those advantages as Wal-Mart moves into new formats and especially into new international locations?

            The company has been replacing its discount stores with supercentres. In these supercentres, Walmart added grocery products and other new services to its existing traditional merchandise offerings. The company tried to expand internationally by offering the everyday low prices strategy. More so, it opened more formats and ventured into e-commerce opportunities.

  1. How should Wal-Mart respond to dollar stores and Amazon.com’s superior performance in recent years?

            The company should reshuffle its top management in the United States to head the U.S. stores. In addition, the company needs to replace urban stores with Wal-Mart express stores, which will resemble convenience stores. The company had to rely on e-commerce by expanding its online business such as moving into digital books, appliances, music, and groceries. This made it compete with Amazon.com since it took advantage of its physical presence by providing daily pickup for digital or online orders.

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