WAL-MART
WAL-MART
WHAT ABOUT WAL-MART?
. Wal-Mart is a large retail chain that operates huge discount department stores and warehouse stores throughout the world.
The company was founded in1962 by Sam Walton
Wal-Mart Supercenter stores alleviate taking up time for customers that have a large array of things to get on their list besides groceries.
WAL-MART THE COMPANY
Wal-Mart's headquarters is located in Bentonville, AR.
Currently ,Wal-Mart has a reportedly 2.2 million employees across the world.
Many of the Wal-Mart supercenter locations are opened 24 hours a day for the convenience of the customer’s needs and demands
WAL-MART'S GOODS AND SERVICES
Wal-Mart Supercenter include full- service supermarkets, garden center, pet shop, pharmacies, and one-hour photo processing lab, portrait studio and much more.
Many Wal-Mart Locations include a great deal of alcove shops, such as cellular phone stores, hair and nail salons, video rental stores, local bank branches and fast food outlets.
WAL-MART'S SUBSIDIARIES
Wal-Mart Discount Stores
Wal-Mart Supercenters
Supermarkets
Small Format Stores PictureMe! Portrait Studios
Wal-Mart Realty
Wal-Mart Money Center
WAL-MARTCorporate Structure
ORGANIZATIONAL STRUCTURE
MANAGEMENT PHILOSOPHY
The management philosophy at Wal-Mart is to choose good people and giving them maximum authority and responsibility.
Wal-Mart provides formal programs to teach their managers different leadership skills.
Managers help in the process of development of other managers. This helps leaders to collaborate better with other leaders around the world.
These trainings provided will lead to high performance, as well as global success.
MISSION STATEMENT
“We save money so people can live better”, this slogan was created by Sam Walton, the founder of Wal-Mart.
The company still stands by this quote to this day.
The company still finds ways to reduce costs, while the quality of the product remain high.
VISION STATEMENT
To promote ownership of Wal-Mart’s ethical culture to all stakeholders globally.
Since the founding of Wal-Mart Stores, Inc., it has always been a values based, ethically directed company.
VALUES STATEMENT
The 3 Basic Beliefs are known as the values that guide the decisions made by leaders.
These beliefs are:
-Respect for the individual
-Service to the customers
-Striving for excellence
MARKETING STRATEGY
Mariana Garcia
MARKETING PHILOSOPHY
Does Walmart really have to invest in marketing strategies?
Yes, and no.
-Already strong name brand
-current philosophy
INNOVATIVE ADVERTISING CAMPAIGNS
“See for yourself” Campaign Shows savings comparison
Very competitive
Stirring controversy with competition
TARGET MARKETS
Strong prominent brand in United States
Third biggest retailer in the world
Current target markets include:
International markets (like Brazil, China, etc.)
“Neighborhood Market” store concept
More localized Walmart's
Expanding to college campuses
FUTURE MARKETING CONSIDERATIONS
Expansion in both international and local markets
Own-label products
Online shopping
Lightening existing negative publicity
WAL-MART FACTS
Wal-mart ranked # 1 in the fortune 500 in 2012
Sales increased 5.9% in fiscal year 2012
Wal-mart employs 2.2 million associates around
the world
1.3 million in the U.S. alone
Wal-mart
Target
Sears Holdings
$469,162
$73,301
$39,854
Industry competitorsREVENUE IN MILLIONS
Wal-mart operates more than 11,000 retail units in 27 countries
Owned Leased Total
U.S. Properties
Wal-mart U.S. retail units 3,480 525 4,005
Sam’s Club retail units 511 109 620
Total U.S. retail units 3,991 634 4,625
PROPERTIES
International Properties Owned Leased Total
Africa 37 340 377
Argentina 57 37 94
Brazil 208 350 558
Canada 131 248 379
Central America 180 462 642
Chile 196 133 329
China 2 391 393
India 2 18 20
Japan 60 378 438
Mexico 724 1,629 2,353
United Kingdom 398 167 565
Total International retail Units 1,995 4,153 6,148
ASSETS
Current Assets 59,940
Property and Equipment 113,929
Capital Leases 2,752
Goodwill 20,497
Other Assets 5,987
TOTAL ASSETS 203,105
LIABILITIES
Current Liabilities 71,818
Long-term debt 38,394
Long-term debt under capital leases 3,023
Deferred Income Taxes 7,613
Other liabilities 519
TOTAL LIABILITIES 121,367
WMT’S STOCK PRICE
ROI
2012
18.6%
2013
18.2%
PROS OF INVESTING
Large, very profitable company
History of stability
Expanding world-wide
CONS OF INVESTING
Future growth rate may be slowing and profits may not be as large as aniticipated
Legal issues eat into company profits and reputation
ETHICAL ISSUES
Low wages and employee benefits (i.e health insurance)
discrimination against women
Legal violations of Clean Water Acts in several states
Destroys small towns
INVEST OR NOT?
Short term return
Vs
Long term return
Vs
Ethically investing
INVEST OR NOT?