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BUS ADM 600
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</span> </p> <p><span class="s1"></span> </p> <p><span class="s1">1. Walmart’s company strategies and supporting activities</span></p> <p><span class="s1">Walmart is a major multinational American retail chain and supermarket which, at the time of the case, was planning a rapid phase of expansion by creating strategies to expand domestically and internationally, consisting of new store formats, new store franchises and new product ranges.<span class="Apple-converted-space"></span></span></p> <p><span class="s1">Walmart’s company strategy is to dominate the retail market, expand domestically in North America and into international markets, create positive brand recognition, and to expand into new sectors of retail. Supporting activities at the corporate level include ensuring that overall pricing and expansion approaches are aligned with the company strategy, and lobbying with Super Political Action Committees (SuperPACs) in Congress. Supporting activities at the business level consist of a revamped public affairs strategy in the domestic and international marketplace, as well as the strategic expansion into new retail sectors such as automotive repair, pharmacies and groceries. Supporting activities at the functional level include rolling out new products and store formats which are culturally tailored to the preferences and tastes of their local consumers. These include the use of open-air raw meat and fresh seafood sections and traditional Chinese medicine sections in Walmart China, the addition of different types of wheat tortillas in Mexico, and the use of festive Diwali promotions in South Asia.<span class="Apple-converted-space"></span></span></p> <p>Walmart’s corporate level actions are connected to its business level actions because the corporate XXXXX actions create an environment XXX business level actions XX succeed. XXXX XXX XX demonstrated in the following ways. For example, Walmart’s push XXX XXXXXXX XXXXXXXXXXXXXXXXXXXX gives XXXXXX level XXXXXXXX managers XXX XXXXXXX to pursue culture XXXXXXXX XXXXXXXX, XXX allows XXXXXXX to pursue XXXXXXX mergers and XXXXXXXXXXXX XX XXXXXX effectively. XXXXXXX’s XXXXXXXX XXX XXX XX XXXXXXXXX XX the corporate XXXXX, XX create a XXXX XXXXXXXX friendly XXXXXXXXXX XXXXXXXXXXX, also creates XX environment XXX Walmart’s business operations XX thrive.<br></p> <p><span XXXXX="XX"></span> </p> <p><span class="s1">X. XXXXXXXXXXX XXXXXX of XXX XXXX: XXXXXX XXX application</span></p> <p><span class="s1"></span> </p> <p><span class="s1">The XXXXXXXXXXX theory of XXX firm proposes XXXX a XXXX’s main XXXX XXX XX its XXXXXXXX and external XXXXXXXXXXXX, XXXX XX its employees, XXXXXXXX, outsourced personnel, government, shareholders, XXXXXXXXX, XXXXXXX, suppliers and XXXXXXXXX. XXXX theory stands in stark XXXXXXXX to the shareholder theory of the XXXX, XXXXX suggests that a company’s XXXXX duty is owed to XXX shareholders (ie. the investors who purchased XXXXXX of the XXXXXXX), XXX XXXX XXX chief aim should be to maximise XXXXXXXXXXX returns and shareholder wealth.</span></p> <p><span XXXXX="XX">A ready-XX-XXX breakfast cereal XXXX’s XXXX XXXXXXXX stakeholders are XXXXXXXXXXXX XXXX exist XXXXXX XXX organisational structure of the firm. XXXXX XXXXXXX XXX XXXXXXXXX cereal firm’s employees, XXXXXXXX and outsourced personnel. XXX breakfast XXXXXX firm’s XXXXXXXX stakeholders comprise stakeholders XXXX XXXXX XXXXXXX XX XXX XXXXXXXXXXXXXX XXXXXXXXX of XXX firm. These XXXXXXX the XXXXXXXXXX, shareholders, XXXXXXXXX, XXXXXXX, suppliers, debtors and XXXXXXXXX. XX XXX XXXXXXXXX XXXXXX firm’s XXXX, these XXXXX include XXX Department of Health and XXXXX Services (which monitors XXX nutritional XXXXXXX of its cereal XXXXXXXX), families with XXXXX children (who XXXXXXXXXX consume such products), and wheat XXXXXXXXX.</span></p> <p><span class="s1">As the CEO of a XXXXX-to-eat XXXXXXXXX cereal company such XX XXXXXXX XXXXX, I would decide whether to XXXXXXXX with the XXXX XXXXXXXXXX sweetener or seek XXXXXXXXXXX costly XXXXXXXXXXXX by XXXXXXXXXX the XXXXXX XXX response XX my stakeholders to XXXXXXXXXX to XXX XXXX sweetener. XXX response XX XXXX of XXX XXXXX stakeholders XX as XXXXXXX: internal XXXXXXXXXXXX XXXXX likely XX concerned chiefly with XXX financial XXXXXXXXXXX, XXXXXXXXXX XXX corporate XXXXXXX XX XXX XXXXXXX, XXXXX XXX XX XXXXXXXXXX XXXXXXXX XX the continued XXX XX XXX sweetener. In terms XX XXXXXXXX stakeholders, the government XXXXX XXXXXX XXX use XX XXXXXXXXXXXX in order to safeguard public health, XXXXX the customers would certainly XXXXXX a switch to a XXXXXXXXX XXXXXX. Shareholders, XXXXXXX XXX XXXXXXXXX would also XXXXXXXX be concerned about the XXXXXXXXXXXX backlash XXXX XXX continued XXX of XXX sweetener. XXXXX, it XXXXX be XXXX, given the impact XX XXXXXXXXXXXX, to seek alternative XXX more XXXXXX XXXXXXXXXXXX.<span XXXXX="XXXXX-converted-XXXXX"></span></span></p> <p><span class="XX"></span> </p> <p><span XXXXX="s1"><strong>XXXXXXX XXXX Forces Model</strong></span></p> <p><span XXXXX="XX">Porter’s XXXX Forces Model XXXXXX businesses to XXXXXXX the XXXXXXXXXXX landscape of an industry based XX XXX power of XXXXXXXXX, the XXXXX of buyers, XXXXXXXXXXX, XXXXXXXX XX entry, and price rivalry. Porter’s Five XXXXXX model XXX XXXX applied XX a XXXXXXX XX XXXXXXXXXX to analyse the XXXXXXXXXXX level of an XXXXXXXX, and determine whether an XXXXXXXXX XX XXXXXX an XXXXXXXXXXXXX XXXXX of competition, or XXXXXXX a XXX entrant XXX a chance to succeed amid XXX competitive XXXXXXXXXXX of XXX XXXXXXXX.</span></p> <p><span XXXXX="s1">XXX XXXXXXX evaluation for XXX XXXXXXXX XX XXXX XX XXXXXX’s Five Forces is as XXXXXXX. XXXXX XX XXXXXXXXX is XXX, XXXXX XX XXXXXX is XXXXXXXX, substitutes XXX high, XXXXXXXX to entry is XXXX, and XXXXX rivalry XX XXXX. XX the XXXXX, XXXX XXXXXXXX that the soda XXXXXX dominated XX Coca Cola XXX XXXXX XX a highly competitive market XXXXXXXX for entry XX new entrants.</span></p> <p><span XXXXX="s1">XXX XXXX-Cola and Pepsi, XXX power of XXXXXXXXX XX XXXXXXXXXX weak XX XXX XXX XXXXXXXXX can easily outsource XXXXX production XX XXXXXXX supplier in XXX global South, such XX Vietnam or XXXXX, if its primary XXXXXXXXXX XXXX in XXX XXXXX Americas XXXXX. Furthermore, XXXXX XXXX Coca-XXXX XXX Pepsi XXXX strong XXXXXX supply chains, the failure of XXX supplier to deliver goods XXX XX easily XXXXXXXXXXX XXXX another XXXXXXXX elsewhere. XXX power of buyers in this industry is XXXX XXX XXXXXX, given XXXX XXXX-XXXX XXX Pepsi have a XXXXXXX monopoly (or duopoly) on XXX XXXX-drinks XXXXXX, and are XXXXXXXX rivals in XXXX segment. XXXXXXX, XXXXXXXXX XXX XXXXXX price XXXXXXXXX and will XXXXXX out their XXXXX options if XXXXXX XXXXXX rise too high. XX XXXXX XX XXXXXXXXXXX, the soft-XXXXXX XXXXXX XX XXXXXXXXX with substitutes, XX the XXXX-XXXX and XXXXX XXXXXX are XXX XXXX easily replicable XX white label brands, XXX XXXX face competition XXXX XXXXX types of energy drinks and independently produced sweetened XXXXXX. XXXXXXXX to entry for Coca XXXX and Pepsi XXX high, given that XXXXXX sophisticated XXXXXX XXXXXX XXX XXXXXXXX XX XXXXXXXX XXX economy XX scale XXXXXX XX profit XXX XXXX XXX XXXXXX XXXXXX XXXXX. XXXXXXX, price XXXXXXX in this industry is high, given that XXXX and XXXXX are XXXXXXXXX rivalrous XXX XXXXX XXXXXX in XXXXX XXXX by XXXXXXX their prices very XXX. XXXX XX also a low XXXXXX XXXX XXXX high XXXXXXXXXXXXXXXX, so price XXXXXXX is XXXX driven up.<span class="XXXXX-converted-XXXXX"></span></span></p> <p><span class="s1"><strong>Internal Analysis: please list XXXX resources XXX XXXXXXXXXXXX qualify as XXXX XXX the XXXX XX XXX-mart2005?(XX XXXXXX)</XXXXXX></span></p> <p><span XXXXX="s1"><strong>Please XXXXX describe the question XX value, XXXXXX, XXXXXXXXXXX, XXX XXXXXXXXXXXX.</strong></span></p> <p><span class="XX"><strong>XXXXXX list the resources and XXXXXXXXXXXX XXXX you XXXXXXXX XXXX Wal-XXXX XXXXX each XX XXX XXXXXXXX XX XXXX XXXXX.</strong></span></p> <p><span XXXXX="XX">The XXXX XXXXXXXX is a toolkit XXX XXXXXXXXXX XXX XXXXX XX a XXXXXXX’s XXXXXXXXX, XXXXX on how value XXX expensive a resource XX, how XXXX or XXXXXXX it XXXXX XX be, how challenging it XX XX imitate XXX XXXXXXXX, and whether XXX resource is XXXXXXXXX and adequately XXXX XX the organization. This XXXXX XXXX XXXXXXXX XXXXXXX’s reputation, XXXXX XXXXXXXXXXX , direct-XX-XXXXXXXXXXXX deals, sophisticated XXXXXX supply XXXXX, XXXXXXX of XXXXXX, workforce, online website and XXXXXXX XX XXXXXXXX service.</span></p> <p><span XXXXX="s1">Foremost, Walmart’s reputation is XXXXXXXX, XXXX, inimitable XXX XXXXXXXXXXXXXXXX XXXXXXXXX. XXXXXXX’s reputation XXX XXXX XXXXXXX, XXXXX name products at the XXXXXX prices XX XXXXXXXXX XXXXXX the retail XXXXXXXX. XXXXXXX’s reputation XX difficult to replicate XXXXXXXXXXX, and took many XXXXX to build up in a way that XXXXXX be XXXXXX imitated by a new entrant.<span XXXXX="XXXXX-converted-XXXXX"></span></span></p> <p><span class="s1">XXXXXXXX, Walmart’s value XXXXXXXXXXX of high quality, XXXXX XXXX XXXXXXXX at the lowest price is XXXXXXXX, common, imitable XXX organisationally supported. While an XXXXXXXXX value proposition, we sense that XXXX value XXXXXXXXXXX is not XXXXXXXXXX unique.</span></p> <p><span class="XX">XXXX, XXXXXXX’s XXXXXX-to-manufacturer deals, online website, XXXXXXX XX customer XXXXXXX XXX sophisticated global XXXXXX chain XX valuable, rare, XXXXXXXXXX XXX XXXXXXXXXXXXXXXX supported in a way XXXX XXX XX their XXXXXXXXXXX, such XX Lidl, XXXX, Carrefour XXX Auchan XXX able to do.<span XXXXX="XXXXX-converted-XXXXX"></span></span></p> <p><span XXXXX="XX">XXXXXXX, Walmart’s stores XXX XXXXXXXXX XXX invaluable, XXXXXX, XXXXXXXX XXX organisationally supported. XXXXXXXXX, XXXXXXXXXXX XXXXXXX of production such as land and XXXXX XXX not as valuable as XXXXXXXXXX XXX supply XXXXX in the XXXXXX business. XXXX is because XXXXXXX’s XXXXX-and-XXXXXX stores XXX low-skilled workforce can XX easily outsourced.<span class="XXXXX-converted-space"></span></span></p> <p><span XXXXX="XX"></span> </p> <p><span class="XX"><strong>XXXXXXXX XXXXXXXX:XXXXXX provide a XXXXX-Chain XXXXXXXXXXX the XXXXXXX XXXXXX-Cola.</XXXXXX></span></p> <p><span XXXXX="s1">XXXX Cola’s XXXXX chain XXXXXXXX of its XXXXXXXX XXX XXXXXXXXXXX, commodity XXXXXXXXXXX, production, XXXXXXXXX, XXXXXXXXXXXX, XXXXXXXXX, sales, branding and XXXXXXXX XXXXXXXX. Coca Cola’s XXXXXXXX XXX XXXXXXXXXXX, marketing, and branding XXX conducted XXXXXXXXXX, as XXXX XXX higher value operations where XXXX of the value of XXX XXXXXX XXXXX is XXXXXXXX. Coca Cola’s commodity XXXXXXXXXXX (such XX XXX sourcing of XXX XXXXXXXXXXX XXX raw materials), production, packaging, distribution, XXXXX and resource recovery (such XX XXX recycling initiatives) XXX XXXXXXXXXX. The outsourcing occurs for a number XX reasons. Foremost, XXX XXXXXXXXXX XXXXXXXXXX can XX XXXX more XXXXXXXXXX XXXX XX XXXX Cola’s production facilities in the United States. XXXXXXXXXX processes XXX XXXX XXXXXX to XXXXXXX XXXX markets, XXXXX XXXXXXXXXXX XXXXXXXXXXXX.</span></p> <p><span XXXXX="XX"><strong>XXXXX XXXXXXXX:XXXXXXXXXXX Advantages - Value Chain and XXXXXXXX Value Creation(XX XXXXXX)</XXXXXX></span></p> <p><span class="XX">XXXXXXXX value creation , or economic value add, is a measure of XXX company’s fiscal performance based on deducting XXX cost XX capital XXXX its XXXXXXXXX or XXXXXXXX XXXXXX.</span></p> <p><span XXXXX="s1">Economic Value XXXXXXXX = Economic Value Add = XXXXX XX product - XXXXX = XXXXXXX price - raw material price - manufacturing cost - packaging cost - XXXXXXXXXXXX cost - XXXXX XXX marketing cost - XXXXXXXX allocation - production XXXXXXXX rent - employee XXX = 20 - 10 - X - 1 - X - X - 1 - X - 2 = X</span></p> <p><span XXXXX="s1">XXXXXXXXXX</span></p> <p><span XXXXX="s1">XXXXXX, XXXXX B., XXX Barbara XXXX.<a href="http://hbr.org/product/Wal-Mart--2005/an/XXXXXX-XXX-ENG"><span class="s2">"XXX-XXXX, 2005."</span></a>Harvard Business School Case XXX-460, January 2005. (XXXXXXX XXXXX XXXX.)</span></p>">
