Sect

In: Novels

Submitted By yash807140
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Pages 11
Wal-Mart Online
Wal-Mart is one of the largest companies in America. It is definitely the largest retailer, both in terms of the number of stores (8,970 worldwide in 2011) and the level of sales ($419 billion from the 2011 Annual Report). By pushing suppliers to continually reduce costs, Wal-Mart is known for pursuing low prices and the stores often attract customers solely in-terested in lower prices. With Wal-Mart’s expansion into groceries, the company has be-come the largest retail grocer in America. Even by 2002, over 100 million Americans visit a Wal-Mart store in a given week (Press Action 2002). Yet, Wal-Mart has struggled in the online world. The company has tried several approaches to selling physical and digital products online. From electronics to books, music, and movie rentals, the company has an-nounced many different online stores. Wal-Mart has struggled with most of its attempts, while Amazon continues to grow and expand in e-commerce sales. Although Amazon has a fraction of the total sales of Wal-Mart, Amazon is substantially larger in online sales. Which raises the ultimate question of what Wal-Mart is doing wrong, or what it needs to do to get a larger share of online sales.
Background
Many articles and business cases have been written about Wal-Mart. Most customers are probably familiar with the store and the overall concepts, but a considerable amount of work takes place to manage the large inventory, suppliers, pricing, customers, and employ-ees. Wal-Mart has been a leader in using information technology to reduce costs. A huge part of succeeding in retailing is to provide the right products in the stores at the right price, when customers want to buy them. To succeed, Wal-Mart needs to forecast demand for every product in every store. Each product can have multiple variations—such as size or color. Individual items are commonly identified…...

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