Walmart 2007 Case Study (Attempt 1)

RUNNING HEAD : Wal-Mart 07

Wal-Mart 07 Name of Student

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Introduction

Wal-Mart Stores probably is the most successful and largest retail chain operating in the whole world with operation spanning the countries of United Kingdom , Canada , Japan , Mexico , Brazil and China (Datamonitor 2007 . Its operation of retail stores takes different formats including being in supercenters , discount stores and nearby markets . Though it has many branches scattered all over the globe , its main operation is still based in United States . Its headquarter is located

in Bentoville Arkansas . As of the present it employs an estimated two million people under its payroll

As an overview , the company of Wal-Mart has recorded an earnings and revenue of 348 ,650 million in the fiscal year of 2007 . This earnings is an increase of approximately 11 .7 over what it had earned during the fiscal year of 2006 (Datamonitor , 2007 . In the fiscal year of 2007 , the profit by which the company operates is pegged at 20 ,497 million , while the net profit has reached 11 ,284 million , which is an upsurge of 0 .5 compared with previous fiscal year (Datamonitor , 2007 . This success of Wal-Mart as a company and what can be termed as its firm-specific advantage can be attributed to its business philosophy and strategy of reduction of operational costs so that it can generate it always low prices ' formula for its merchandise (Rugman , 2005

Even though Wal-Mart with its status and capability of earning a revenue can be considered the world 's biggest company , what with a record sales of 285 billion in the previous fiscal year of 2001 , the retail firm is can still be categorized as a home region multinational (Rugman , 2005 . While it is true that it has expanded in several regions around the world to spread its tentacles of proven business strategy , it still faired low in terms of sales in these countries like Japan and other countries . It is tagged as a home region multinational company since huge chunk of its sales and earnings , about 80 -- if based in its annual sales for the year 2004 to 2005 - still come from United States , its homebase (Rugman , 2005

Company Pro

Given that Wal-Mart as the largest retailer in the whole world , its business operations falls under three business segments : Wal-Mart Stores , Sam 's Club and the international segment . It operates more than a thousand discount stores in 47 states in United States wherein it offers a various value-priced general merchandise that ranges from family apparel , automotive products , health and beauty aids , home furnishings , electronics , hardware , toys , sporting goods ' and other similar items . At the same time the company retailer employs an estimated 225 associates

Wal-Mart Stores has more than 2 ,200 supercenters . In addition to the general merchandise that it offers the public , it also provide bakery goods , deli and frozen foods , and fresh produce . Looking at the overall ownerships and operation of the Wal-Mart Stores segment , it has 40 general merchandise distribution...