MGMT 561 Jeddah University Why Has Walmart Been Successful Discussion Questions

Question Description

Study Questions:

  1. Why has Walmart been successful? What is the single most important factor that has contributed to Wal- Mart’s phenomenal success?
  2. Why exactly are Wal-Mart’s costs lower than its competitors? Examine each element of the cost structure (e.g., COGS, labor, rent, advertising, distribution, technology, etc. as a percentage of total sales) and assess where Wal-Mart’s costs are lower than competitors—and why.
  3. Why can’t Wal-Mart’s competitors (e.g., Sears, K-Mart) imitate Wal-Mart and realize similarly high profits? If you were running Sears-Kmart what would you do differently? What, if anything, from Wal-Mart would you want to imitate?
  4. Why do you think Wal-Mart has had difficulty succeeding in foreign markets, especially in emerging markets like Brazil and South Korea?

Prof. Angela


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