With great power comes great responsibility. As Walmart has become a powerhouse, it is no stranger to external issues, internal issues, and negative publicity including having a reputation of bullying mom and pop stores, mistreating its employees, and a plethora of other negative issues. Other complaints originate from the customers themselves in relation to negative shopping experiences.
The general environment is composed of trends in the broader society that influence an industry and the firms in it. (2012, Ireland, D.R., Hoskisson, R.E., Hitt, M.A.) There are 7 trends in a business’s general environment that should be considered when devising the company’s strategies. Those trends are demographic, economic, political/legal, sociocultural, …show more content…
The increase of traffic and spending are reflected in Walmart’s fiscal 4Q16 report. However, traffic and spending reported for Sam’s Club stores was lower and did not meet the 1% growth projected for Sam’s club. This provides an opportunity for the company to analyze the differences between Walmart and Sam’s Club and determine which of those differences contribute to Walmart being the more attractive option of the two. Since revenue has a tendency to rise during better economic conditions, it would be a prime time for the company to increase its advertising budget for Sam’s Club and create ads geared specifically to that demographic. Additionally, it would be beneficial for the company to conduct surveys to find out from millennial consumers, the reason they do not shop at Sam’s Club. Another method would be to conduct a shop-along type focus group where analysts shadow consumers in Sam’s Club and in Walmart and gauge their reactions to both …show more content…
Because customers who utilize both shopping methods tend to spend more annual on average, Walmart has incorporated a click-and-collect service which integrates the two.
CORRESPONDING STRENGTHS AND WEAKNESSES found based on each
The general environment is composed of trends in the broader society that influence an industry and the firms in it. (2012, Ireland, D.R., Hoskisson, R.E., Hitt, M.A.) There are 7 trends in a business’s general environment that should be considered when devising the company’s strategies. Those trends are demographic, economic, political/legal, sociocultural, …show more content…
The increase of traffic and spending are reflected in Walmart’s fiscal 4Q16 report. However, traffic and spending reported for Sam’s Club stores was lower and did not meet the 1% growth projected for Sam’s club. This provides an opportunity for the company to analyze the differences between Walmart and Sam’s Club and determine which of those differences contribute to Walmart being the more attractive option of the two. Since revenue has a tendency to rise during better economic conditions, it would be a prime time for the company to increase its advertising budget for Sam’s Club and create ads geared specifically to that demographic. Additionally, it would be beneficial for the company to conduct surveys to find out from millennial consumers, the reason they do not shop at Sam’s Club. Another method would be to conduct a shop-along type focus group where analysts shadow consumers in Sam’s Club and in Walmart and gauge their reactions to both …show more content…
Because customers who utilize both shopping methods tend to spend more annual on average, Walmart has incorporated a click-and-collect service which integrates the two.
CORRESPONDING STRENGTHS AND WEAKNESSES found based on each