In the recent years Walmart has been far our performing its top two competitors; Costco and Target. With a market cap of 212,195,024, Walmart had beaten its competitors who remain at 65,969,279 for Costco and 43,701,237 Target (NASDAQ, Competitors). This means that for Walmart, the total market of all of their goods and services far surpasses its top two market competitors. As investors, you may ask why Costco is second to Walmart’s regarding sales. Well when we take a closer look, we see that “Walmart’s treatment of its customers and employees has not always been then best.
Wal-Mart’s competition includes Target as well as Costco. While Target sells higher quality inventory in most cases than Wal-Mart with lower profit margin, Wal-Mart was able to sell regular quality items at a small profit with cheaper prices than Target but were able to generate more net profit than Target due to the quantity sold and minimal operating costs. As for Costco Whole sale, Wal-Mart was smart to introduce Sam’s Club to rival in the Whole sale Segment. While Sam’s Club is nowhere near Costco in terms of sales or profit, it did boost Wal-Mart’s share of the market and helped increase its profit to be altogether higher than Costco Whole sale. With the power that Wal-Mart has in the market and in selling products it was able to purchase
Currently Wal-Mart is one of the biggest stores in all of America. It currently hold various stores nationwide and worldwide. Our reason in including Wal-Mart as one of our greatest competitors is because of their vast amount of merchandise. Although, JCPenney and WalMart contain some minor similarities, WalMart is targets more the masses. While, JCPenney tries to find their customers by their marketing strategies.
This company uses good pricing strategies to keep consumers walking in their door and to keep profits increasing. The Wal-Mart has stayed true to its roots by continuing to offer everyday low prices. Fortunately for them, they have opened up multiple stores all over the world and are the world’s largest retail store. Wal-Mart Corporation will continue to be around for many years to come. They will continue serving the community in a positive way.
Hi Marielle! I like your SWOT analysis! I like how you stated their similarities that make them direct competitors. I do agree that Wal-Mart would be Target’s main competitor because of the similarity in target market such as low to mid income families. I would like to add that some of tWalmart’s strengths are brand recognition and convenience.
This would include identifying Walmart’s competitive advantage, itemizing their marketing strategy, listing their pricing and knowing their target audience. Creating a product or service which is unique to customers is another way our company could compete with Walmart. However, the merchandise should be marketed in such a manner that it makes the consumers feel the product is exclusive to our store. Larger businesses ultimately have an array of advantages over their smaller competitors. For instance Walmart has a more recognizable brand and they can easily outspend smaller businesses like ours, on marketing and advertising in order to secure that advantage.
Walmart and Target are rivals in the retail business. Both Target and Walmart have their own in-store brands, with Target’s being Up and Up and Walmart’s Great Value. Both stores also have a reputation in different aspects of their business that set them apart from each other. In addition to being one of the largest retailers in the world, Walmart is the largest supermarket around. Most people need to find reasonably affordable goods and that’s what Walmart has to offer.
In recent years, a large amount of the things you buy and need to live can all be found in your nearest Walmart: Need diapers? Walmart. Need shampoo? Walmart. Need dog food?
As can be seen in the 5 year stock chart below (Figure 5), Wal-Mart’s stock started off stronger than the Dow Jones if we compare it in 2012. Towards the rest of the year, one begins to see that percentage wise, Wal-Mart begins to flirt with the rest of the market as it enters a slight downward trend. In the beginning of 2013, the markets take off, bypassing Wal-Mart and never looking back. Comparing Wal-Mart to it’s competitors like Target and Costco in 2012, one may see that all three stocks were relatively competitive. Once they entered 2013, Costco begins to pull away from the rest of the companies because of great PR and strong numbers in inventory sales and membership registrations (The Montley Fool).
Take Wal-Mart for an example. They are a major employer in our economic system. Likewise, our economic system, companies do not survive unless they can offer the mix of price and quality that their customers want. A company will die if its competitors can, for example, give the same quality of goods and services at a lower price.
The one company I would definitely like to work for some day would be Walmart. There are many reasons why I would like at Walmart. One reason is because I could make a lot of innovations to this company. One reason would be because you can make a lot of money with what you do. From some reviews that I read from people that worked in the corporate office people enjoyed the use of a lot of new technology, good pay, and the benefits they received.
• Wal-Mart prices are less than the other competitors. But, in some cases they need to improve the quality of its products because customers prefer low price with minimum reliable quality. • Wal-Mart helps the community, because they hiring people who need jobs for example, in 2014 Wal-Mart Company hired 2.3millon people all over the world. Wal-Mart accepts people without any experience or qualifications and gives them the minimum training to
Being one of the largest and leading retail corporations brings a lot of responsibility. Walmart can face many challenges at home and abroad in its attempt to maintain industry dominance. “The company expresses they are always trying to make their social, environmental and economic outcomes better”(Walmart, 2017). As economy changes, it becomes more important for business to be aware and focus on implementing changes as they face challenges. Walmart serves it customers by store and online.
Amazon is number one in competing Walmart especially in online retailer and now opining fiscal stores starting with Amazon Campus store in 2015, available at several college campuses in US the Amazon Campus stores serve as a central hub where student retrieve deliveries from lockers and drop off returns, all free of charge. Over the past three years, while Walmart’s sales grew by 8.6 %, revenue at Amazon has nearly doubled. Then, Costco is also major competitor to Walmart, particularly to Sam’s because of its low price.
Investors in Wal-Mart were aware of the obstacles that the giant retailer would face due to the changing consumer preferences and behaviors. However, the financial reports showcased that its online strategy was successful. At the end of the second quarter in 2017, Wal-Mart reported revenue of $123.4 billion, which was an increment of about 2.1% over the previous year quarter. There was also an increase in comparable sales by 1.8% year over year. Wal-Mart has significantly focused on structuring its online sales, while using its already well-established brick and mortar stores and excellent supply chain and logistics to its big advantage.
