Recommendations of Wal-Marts Supply Chain Management Practices (B) Using It Internet To Manage The Supply Chain Case Analysis

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Recommendations of Wal-Marts Supply Chain Management Practices (B) Using It Internet To Manage The Supply Chain Case Study Help

RecommendationsOn the basis of above internal and external analysis of the business along with the evaluation of numerous options, the business is recommended to consider alternative 3. As alternative 3 would permit the company to expand in worldwide markets without any decrease in its local revenues and any wear and tear of its market position. The company might pursue alternative 1 which would allow the business to focus on potential worldwide markets rather than the regional markets however as the company is extremely dependent on the local markets with 90% of its shops in the United States, there fore pursuing option 1 would result in the considerable decrease in business's earnings.

Aletrnative-1: Expanding International Brick and Recommendations of Wal-Marts Supply Chain Management Practices (B) Using It Internet To Manage The Supply Chain Case Solution Stores

International SegmentsGrowth towards international markets through opening new shops in other Europe and Asian countries with closing domestic shops is although a good option for increasing the international presence of the business. However, the closing of domestic shops could highly impact the profits of the company as above 90% of its stores are located locally and closing those shops would ultimately reduce the earnings of the firm. The business has a long term market position in US which can not be produced quickly in the brand-new markets. The choice would help the business to broaden in worldwide markets together with the removal of concerns raised in its regional markets associated with its variety. The advantages and disadvantages for Alternative 1 are noted below;

Pros:

• Exploration of brand-new worldwide markets.
• Increase in earnings from global markets.
• Removal of concerns related to diversity.
• Profits diversity.
• Action towards being a strong worldwide brand name.

Cons:

• Loss of substantial earnings from the regional markets.
• Boost in competitors.
• Distinctions in cultures might led to a failure of the brand name particularly in Asian countries.
• Low earnings at initial levels.
• Increase in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Wal-Marts Supply Chain Management Practices (B) Using It Internet To Manage The Supply Chain Case Solution Stores

With the increased trends towards online shopping, the online shops like Amazon, Alibaba etc. could posture a serious hazard to the market share of company. In this circumstance the business might consider presenting Click and Recommendations of Wal-Marts Supply Chain Management Practices (B) Using It Internet To Manage The Supply Chain Case Help shops. These shops with a low requirement of funds to settle would make it possible for the business to reach global markets, without ending its domestic shops.

Pros:

• Low investment
• Lowering competition risk
• Access to the world markets
• Expanding consumer base
• Easy to manage
• Big Incomes
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the marketplace position
• Removal of brand Uniqueness
• Elimination of the excellent store experience.
• Threat of decline in elite sales.

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

Another alternative that the business could think about, is to expand towards the global markets without closing its domestic shops that contributes to the major part of incomes of the business. The benefits and drawbacks connected to Alternative 3 are given listed below;

Pros:

• Decreasing competitors danger
• Access to the world markets
• Increasing the size of customer base
• Big Revenues
• Exploration of new worldwide markets.
• Increase in revenue from global markets.
• Profits diversification.
• Step towards being a strong international brand.

Cons:

• Continuation of problems associated with variety.
• Differences in cultures might led to a failure of the brand name especially in Asian nations.
• Low revenues at preliminary levels.
• Boost in marketing expenses to acquire market share.



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