The company has grown a lot since its inception and it has become the world’s top retailer. The enterprise is also the world’s largest employer with over 2 million employees serving the company. There are nearly 8,400…
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The company has a wide customer base with over 200 million customers served on a weekly basis (Walmartstores).
In 2010 Wal-Mart Corporation achieved sales of $405 billion. This sales figure represents an improvement of 1% in comparison with 2009 and 8.34% in comparison with fiscal year 2008. These figures are impressive considering that during this period the world was in the middle of a global recession. Typically the retail business in one of the hardest sectors hit during a recession. Wal-Mart was able to keep growing despite the recession. In 2010 Wal-Mart had a return on return on assets of 8.9%. Wal-Mart obtained a small increase in sales in 2010, but its profitability when up a lot. The net income of the company was $14,335 million. The company achieved an increase in net income in 2010 of 6.97%. The cash reserves of the corporation increased from $7,275 million in 2009 to $7907 million in 2010. The total assets of the company went up by 4.45% in 2010.
The debt to equity ratio of the corporation in 2010 was 1.34. This figure is bit above the normal desirable ratio of 1.0. The industry debt to equity ratio of the retail industry is 0.48 (Dun & Bradstreet). This means that Wal-Mart’s debt to equity ratio is below the industry. Due to the fact that the company is such an established business the company has the ability to finance its operation beyond the norm. The ratio means that the company has chosen to more of its operations with debt than with equity. The current ratio which measures the company’s ability to pay off its short term debt is 0.87. The 8.9% return of assets metric of Wal-Mart is much better than the industry norm of 3.6%. In 2010 the company had a return on equity of 19.65%. This figure is much better than the industry norm of 4.2%.
Wal-Mart Corporation is one of the most successful businesses in America. The common stocks of the firm are a good
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Governmental institutions are limiting the permits Wal-Mart gets to open stores in certain regions. A way for Wal-Mart to eliminate this barrier of entry is by utilizing e-commerce. Wal-Mart utilizes e-commerce to attract customers worldwide. The firm has a very attractive websites that has a vast variety of items available for sale at reasonable prices.
Evaluation Essay on Wal-Mart Introduction: The Wal-Mart has shown the art of retailing. The global retail giant came up with the concept of selling mass products in a discounted rate to the customers. The main concept was to sell in high volume with low price so the volume of the profit goes high.
Wal-mart announced in June 2003 that by 1st January 2005 it would implement RFID technology in its supply chain. The initial plan was to have 100 suppliers comply with the change but 129 suppliers responded as none wanted to be left behind. Wal-mart had made it very clear what the EPC (electronic product code) would be, the class of chips they would expect and it also named the distribution centers that would start accepting the RFID deliveries.
Wal-Mart started its international operation by entering the emerging markets. Its approach to emerging markets illustrates a link between globalization of markets and competitive strategy. Strategic management helps to understand and define the goals, vision, mission, objectives, roles, and responsibilities of the organization.
out of which two-third are women but it has been found that only one-third of its managerial positions has been accounted by the women (Sournar, 2007).
With reference to a case of sex discrimination against U.S. Information Agency by more than 1000 women who were refused
It is a discount store outlet, focused on marketing brand names for lower prices. Similar stores such as Woolco and Kmart were not as successful as WalMart, because the latter had some unique operating principles which worked to its benefit. After four decades of
The fact that Wal-Mart today is the biggest retailer speaks of the success of its pricing strategy. “Wal-Mart is not just the worlds largest retailer. Its the worlds largest company--bigger than ExxonMobil, General Motors, and General Electric” (Fishman, 2003). Wal-Mart