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1.What is Strategy?
2.A definition of

Business Strategy
3.Types of Business
Strategy
4.Business Strategy
of Walmart Stores,
Inc
5.Conclusion
Nguyn Thnh Lun

4/21/16

What is Strategy?

A method or plan chosen to bring about a

desired future, such as achievement of a
goal or solution to a problem using available
resources.

Strategy bridges the gap between ends and

means

Examples of Strategy
Planning a
plane trip

Finding a job

Call a travel
agent
Use the website
of a specific
airline
Use a website
that compares
the rates of
different airlines

Using your
current skills to
find a new job
Becoming an
apprentice for a
trade
Going to college
for a new
career.

he Importance of Strategy
attaining and
maintaining
a position of
advantage
over
adversaries

STRATEG
Y

a
pattern in
a stream
of
decisions

is about shaping the

future" and is the
human attempt to
get to "desirable
ends with available
means"

2. A definition of Business
Strategy

A business strategy is a business plan that takes

place long-term in order to help achieve a specific
goal or objective.
Rapid Business Intelligence
Success

Significance
informati
onal

Motivatin
g
changestimulatin
g

STRATEGY

Significance
Monitoring
how well
business is
doing over
time

TOOL

Deciding the
next step to
take in business
in order to be
successful

Function
to increase the earning potential
and success of a particular
business
choosing the most profitable niche
for a market to promote a
business
to improve a business or make a
business better than its competitors

3. Types of Business
Strategy

Cost
leadership
strategies

Differentia
ted
products
and
services
strategies

Focus
strategie
s

Cost Strategies
pass along a lot of
the benefits to
customers in the
form of lower prices
a strategy available
to any business
Still be able to price
products and
services at a level
high enough

Differentiated products and

services strategies
Sell a very unusual product or service

Consumers happily pay the extra

amount because they get so much
more for their money
The key is being able to charge the
customers more for those special
features than the special features cost
firm

Focus Strategies
is really
a hybrid
of the
cost
and
differen
tiation
strategi
es

the firm
can,
through
this
focused
approac
h, serve
a
particula
r market
better
than
anybody

4. Business strategy of
Walmart

Wal-Mart Stores, Inc., branded as Walmart is an American

multinational retail corporation that runs chains of large
discount department stores and warehouse stores

Company Overview

The company was

founded by Sam Walton in

1962, incorporated on
October 31, 1969, and
publicly traded on the
New York Stock Exchange
in 1972
Walmart Stores operate
retail stores in various
formats across the world

Company Overview
Disc
ount
Stor
es

US retail
formats

Sup
ercen
tres

Ma
rke
tsi
de

Sa
m
s
clu
bs

Company Overview

Internationally, the company operates in

Argentina,Canada,China,Brazil,India,UKetc
Currently it employs 2.1 millionpeople in US
The company records revenue of $ 469.162 billion (FY
2013)

Business Description
Wal-Mart is the largest retail

company in the world.

It operates retail stores in
various formats worldwide.
Wal-Mart offers a wide
assortment of merchandise
at everyday low prices in its
retail stores.
E-commerce websites
services.

Business Description

Walmart
US

Sams
Club

Internation
al
Segment

Business Segments

Business Description
Mexico

Japan

The UK

India

Business Description
Walmart's investments outside North America
have had mixed results:

In the United Kingdom, South

America, and China are highly
successful
Whereas ventures in Germany an
South Korea were unsuccessful

Business Description
Dry and wet glocery
Beverages
Frozen food
Jewellery etc

Products

Services

Photo processing service

Cellunar service plan
Money order services

Brands

Walmart
Great value
Sams choice

Tesco
PLC

Metr
o AG

Amazo
n

Inc

CVS
Care
mark

COMPETITORS

Staple
s
Inc

SWOT Analysis

STRENGTHS
Powerful retail
brands, large scale of
operation worldwide
One Stop Retail
Strategic business
programs
Efficient working
capital management

OPPORTUNITY
Global food safety
initiative standard
Increasing demand of
online sales
Increasing
opportunity in
growing economy

WEAKNESS
Self Cannibalization
Involvement in
numerous legal
issues
Continuos product
recall
Community relations
problem

THREATS
Intense competition
Price matching
program by target
Foreign currency
fluctuation

Walmart business strategy

Mission to provide a widevariety of
high quality,branded and unbranded
products at the lowest possible
price
WALMART'S
AGGRESSIVE
PRICING
(Cost
leadership)

Efforts to procure products at the

lowest prices possible from
manufacturers
Walmart products are usually priced
20% lower than those of its
competitors

WALMART'S AGGRESSIVE PRICING

Surplu
s
Generating
more profits
due to
larger
volumes
soldProfits

Reinvested in
facilities
(equipment,
technology)

WALMART'S AGGRESSIVE PRICING

Wal-Mart
imposes a
strict control
on its
overhead
costs

Ensuring
that the
rent paid
wasminim
al

MARKETING STRATEGIES

Customers would
be provided what
Customer they want, when
s
they want it, all at
a value

Team
Spirit

Treating each other as

we would hope to be
treated acknowledging
our total dependency on
our associate- partners
to sustain our success

MARKETING STRATEGIES

They also tailor their merchandise assortment and

store experience to meet the specific needs of a
broader customer base
Currently, WalMart has created over 125,000 new
jobs and the operation of over 3,000 international
stores, buying products from 70 countries

Walmart Employees

MARKETING STRATEGIES

Customer
Data

Increasing in
segmentation in
order to better
serve the
customers

Radio
Improving
frequency ID
inventory
tags and Emanagement
check
and reduced cost
conversion

WALMART CUSTOMER SERVICE

Thinks like
customer
Give a good
value in
product for
customer

Ensures that
customer
enjoy
themselves in
process

Sell what
customer
wants to
buy

Exceeds
customer
expectation

WALMART CUSTOMER SERVICE

to havealmost
every aspect of
their business
centered on its
customer

handles their
customers
complaints in a
fast and friendly
manner

WALMART GROWTH STRATEGY

Maintain current net sales
growth of approximately 12
percent per year
Expand into international
markets that have large
population centers
Increasing the overall efficiency of
the organization by reducing
operating costs or cost of goods
sold

Dev
elop
men
t

of W
al m
ar t
logo

WALMART STORES, INC

5.Conclusion
The aim of a business strategy is to strengthen

a particular business so that its performance

increases and, in turn, the business becomes
more profitable. Without a business
strategy, a business has no guide to follow
and has an increased risk of not
succeeding.
Sam Walton - founder of Walmart - whose
business style is that customers and product
quality is paramount has an extremely effective
business strategy for Walmart. It has now
become a classic example for art of successful
business plan.

GROUP