Recommendations of Wal Mart Stores Everyday Low Prices In China Case Help

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Recommendations of Wal Mart Stores Everyday Low Prices In China Case Study Analysis

RecommendationsOn the basis of above internal and external analysis of the company together with the assessment of various alternatives, the company is advised to think about alternative 3. As alternative 3 would permit the company to broaden in international markets without any decrease in its regional earnings and any deterioration of its market position. By considering Alternative 3, the business might keep its store experience and brand name originality. It could likewise consider alternative 2 that could permit the business to access the markets without any potential financial investment. The business might pursue alternative 1 which would make it possible for the business to focus on prospective global markets rather than the local markets however as the company is extremely reliant on the regional markets with 90% of its shops in the United States, there fore pursuing alternative 1 would result in the substantial decrease in business's earnings. For that reason, the business is advised to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Wal Mart Stores Everyday Low Prices In China Case Analysis Stores

International SegmentsThe business has a long term market position in United States which can not be created soon in the brand-new markets. The alternative would assist the company to expand in global markets along with the elimination of concerns raised in its regional markets related to its diversity.

Pros:

• Expedition of new international markets.
• Increase in income from worldwide markets.
• Elimination of issues connected to diversity.
• Revenue diversity.
• Action towards being a strong worldwide brand.

Cons:

• Loss of extensive profits from the regional markets.
• Boost in competitors.
• Distinctions in cultures could led to a failure of the brand particularly in Asian nations.
• Low profits at initial levels.
• Increase in marketing expenditures to get market share.

Alternative-2: Introduction of Click and Recommendations of Wal Mart Stores Everyday Low Prices In China Case Analysis Stores

Alternative 2 consists of the introduction of online market places through generating a correct business's website. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might position an extreme threat to the market share of business. Furthermore, the competitors are moving towards click and Recommendations of Wal Mart Stores Everyday Low Prices In China Case Analysis stores with Space presenting Piperline. This shift towards online markets might lower the revenues for company. In this scenario the company might think about presenting Click and Recommendations of Wal Mart Stores Everyday Low Prices In China Case Solution stores. These stores with a low requirement of funds to settle would allow the company to reach international markets, without ending its domestic shops. The benefits and drawbacks of alternative 2 are offered as follows;

Pros:

• Low investment
• Reducing competitors risk
• Access to the world markets
• Expanding customer base
• Easy to manage
• Large Profits
• Low Operating Costs
• Easy brand-new market entrance

Cons:

• Danger to the market position
• Elimination of brand name Individuality
• Elimination of the excellent shop experience.
• Threat of decrease in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another alternative that the company could think about, is to expand towards the worldwide markets without closing its domestic stores that contributes to the major part of earnings of the business. The benefits and drawbacks related to Alternative 3 are given below;

Pros:

• Reducing competitors threat
• Access to the world markets
• Expanding consumer base
• Big Earnings
• Expedition of new international markets.
• Boost in income from international markets.
• Revenue diversity.
• Action towards being a strong global brand name.

Cons:

• Extension of issues associated with diversity.
• Differences in cultures might led to a failure of the brand name particularly in Asian countries.
• Low earnings at preliminary levels.
• Boost in marketing expenditures to get market share.



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