Business 499 Essay

1557 Words 7 Pages
Running head: DIVERSIFICATION STRATEGIES

Week 4 Assignment 2
Dr Hassan Yemer Contemporary Business/BUS 508
Strayer University
January 24, 2011

1) Compare and contrast the two businesses—core business, their size, financials, global presence, use of e-business (marketing, sales, etc.). A diversified company is one that has multiple, unrelated businesses. Unrelated businesses are those, which (1) require unique management expertise, (2) have different end customers and (3) produce different products or provide different services. One of the benefits of being a diversified company is that it buffers a company from dramatic fluctuations in any one-industry sector. However, this model is also less likely to enable
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Today, there are 670 stores offering a pleasant and convenient shopping experience across the United States. The size of an average store is 108,000 square feet. Each store employs about 225 associates. Their stores feature wide, clean, brightly lit aisles and shelves stocked with a variety of quality, value-priced general merchandise. Wal-Mart Supercenters were developed in 1988 to meet the growing demand for convenient, one-stop family shopping featuring our famous Every Day Low Prices. Their save you time and money by combining a full grocery line (meats, produce, dairy products, seafood and specialty deli) and their general merchandise under one roof. There are 2,967 Supercenters nationwide, and most are open 24 hours. Supercenters average 185,000 square feet and employ about 350 or more associates. There are also Specialty Shops such as the Vision Center, Tire & Lube Express, hair salons, fast food (Mc Donald’s, banks and pharmacies.” (www.walmart.com) Kmart; on the other hand is now a wholly owned subsidiary of Sears Holdings Corporation after emerging from Chapter 11 Bankruptcy in 2003. The Company achieved several important objectives during its fast-track reorganization. The Company's accomplishments included strengthening its balance sheet and significantly reducing debt; securing $2 billion in exit financing; focusing its store

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