Wal-Mart Market Analysis
Wal-Mart Market Analysis Wal-Mart is the second largest company in the world. Its focus is on mass merchandising as opposed to specialty merchandising. The idea behind mass merchandising is to offer products and services in one convenient store to better manage a consumer’s time. An example of how Wal-Mart mass merchandisers is by offering a multitude of products and services within one convenient store. They sell sporting goods, electronics, housing needs, clothing, groceries, consumables, and toiletries all in one convenient location.
Similar to a mall, Wal-Mart meets all of its customers’ needs in one location. This is a very valuable ability because it allows the customer to have more control over his or her time. (Research and Markets, 2010) The company operates under three main operation segments. Its most common segment will be its Wal-Mart. The second common segment found in the United States is Sam’s Club. Sam’s club is similar to Wal-Mart except that it is larger in size and puts more emphasis on wholesale retail. They are more popular with businesses and large families. The company’s last segment consists of International stores.
Though Wal-Mart has few locations outside the United States its name is widely known. (Research and Markets, 2010) Within the United States, Wal-Mart has a variety of mass merchandising locations. Wal-Mart’s products and services within each location are based on demographics and surrounding stores. Superstores, discount stores, and neighborhood markets are the three types of stores Wal-Mart might open, given a certain demographic. If a community is large and consists of multiple school districts and many families, Wal-Mart will consider opening a Superstore or neighborhood market.
Order custom essay Wal-Mart Market Analysis with free plagiarism report
450+ experts on 30 subjects
Starting from 3 hours delivery
Within a neighborhood market, Wal-Mart offers lower pricing to compete with higher priced stores such as Targets, Kohls, ShopRites, ACMEs, and Super fresh. Even shopping malls competing with Wal-Mart. Discount stores are located in smaller communities, mostly consisting of elderly individuals or small families. (Research and Markets, 2010) Wal-Mart’s is a very powerful company due to its low pricing and high volume. It drives mom and pop shops and local small retail stores out of business due to the inability to compete with such a large chain.
Although this is disappointing, Wal-Mart is one of the largest employers, providing jobs for over a million employees. So it does its share to contribute to employment. (Market Research, 2010) Everyday Wal-Mart is increasing its market share. Years back Wal-Mart was just another retailer, but due to massive expansion and lower prices, Wal-Mart now competes in almost every type of retail business. Wal-Mart is now opening grocery stores, gas stations, and supercenters that sell everything imaginable in order to maximize its market share.
Everyday Wal-Mart is devising new ideas to keep a huge control over the market share. Ideas of incorporating a grocery store within a clothing store were farfetched 10 years ago, but now it is typical to buy dairy products and sporting goods all in one store. Now farfetched and even crazier ideas such as selling used cars, financial services, and home improvement needs can be realized within Wal-Mart’s ability to expand its products and services. (Market Research, 2010) Wal-Mart has the ability to continue growing to higher and even deeper depths.
The goal for Wal-Mart is to not let its goals of expanding interfere with its normal and everyday operations. Low prices and convenience are a must for Wal-Mart to continue operating. Today Wal-Mart is a common name in retail just as Ford is common to automobiles. ? References Market Research, Initials. (2010). The Age of wal-mart. Retrieved fromhttp://www. marketresearch. com/map/prod/805195. html Research and Markets, Initials. (2010). Analysis of wal-mart stores. Retrieved from http://www. researchandmarkets. com/reportinfo. asp? report_id=552122
Cite this Page
Wal-Mart Market Analysis. (2018, Feb 08). Retrieved from https://phdessay.com/wal-mart-market-analysis/
Run a free check or have your essay done for you
