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Justification Report - Essay Example

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The report has been prepared in reference to the request by your firm as a way to look into the firm’s growth and especially in the African market.
In the report, you are going to find some valuable insights into…
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Justification Report
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"Justification Report"

Download file to see previous pages It is my hope and faith that this report will be useful in your decision making and that it will lead to useful development.
Wal-Mart should invest in the African market and make an early entry. This will help the firm to establish itself in the market which will facilitate its future growth strategies. The African market is growing at a much higher rate than most developed economies around the world. It has also shown a thirst for retail outlets, as indicated by the massive growth of world class shopping malls. Africa is becoming the next hub of business in the global market. Although most of the countries in Africa are still underdeveloped, the rate of economic growth as well as the economic potential that these nations have are commendable (Westen, 2014). At the rate at which the African and the global economy are growing, Africa will be the next big market in the global economy (Larsen et al, 2010). The BRICS provide a good market and an opportunity for firms to grow and expand their business, unfortunately there is high competition there and they may not provide enough market for global development.
Looking at most African cities indicate that there is a boom in the retail sector. For instance, many Cities in the African nations such as Nairobi are seeing massive grown in the construction of retail centers such as shopping malls. Nairobi for instance has witnessed the construction of over ten new shopping malls in the last five years. Being a retail organization, this is a massive opportunity for Wal-Mart and it should take it in time not to lose to competitors.
African economies are growing at a commendable rate. Most African economies such as Kenya, Rwanda and Nigeria are growing at a rate that is much higher than most European nations. Soon, these nations will provide the best opportunity for multinationals like Wal-Mart. Getting in the market as early as possible will be a great advantage for the firm.
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