The Walmart Story
Post 1 of 6
Walmart: one of the largest private companies in the world, is planning to launch in India in late 2008. Will this be a success, or will it fail, like happened in Korea? Read this brief summary of the Walmart story, and then give us your opinion?
The Fortune Magazine Global Rich List includes five different members of the Walton family: the family which started Walmart. Each of them have a personal net worth of at least US$16 billion!
Walmart is the largest private employer in the world, employing more than 1.9 million people worldwide across 14 countries and 6,500 stores! Only the People’s Liberation Army of China, the National Health Service of the UK and Indian Railways employ more people!
The founder lays the businesses success down to these wise words of wisdom:
"The secret of successful retailing is to give your customers what they want…a wide assortment of good quality merchandise; the lowest possible prices; guaranteed satisfaction with what you buy; friendly, knowledgeable service; convenient hours; free parking; a pleasant shopping experience.”
The first Walmart store in China was opened in Shenzhen in 1996. Within just over ten years, Walmart China has grown to 184 stores employing 38,000 people!
However, not everything is going so well for Walmart - in 2006, they sold their operations in South Korea and Germany due to sustained losses, this showing that business models need to be carefully adapted to suit local markets.
The failure in South Korea and Germany will be influential in how Walmart approach the opening of their first stores in India in 2008, which will be in a 50:50 joint venture with Indian telecom firm Bharti Enterprises. This is especially important in India, as retail magnate Kishore Biyani points out:
"India is a very diverse country…every community has its own tastes; every state has its own nuances…To manage the diversity and the heterogeneity [differences] will be one of the biggest challenges for anybody who comes to this market."
So what do you think? Will India mirror the success of China or failure or South Korea?
26 Aug 2007 18:30
Post 2 of 6
Replying to [Admin]:suitable adjustment,advanced idea,super product with nice service and reasonable price is just general principle,I think the success from Walmart is further more than all of the above.
02 Sep 2007 20:45
Post 3 of 6
Replying to [Admin]:
Success stories become popular subject for Case Studies by Marketing students. However stories of failures are also becoming a cause for people to learn from the mistakes of others.
The Walmart stories of success in China and parts of the world and failure in some markets like Korea and Japan is typical examples of choosing the right environment for the market. Companies who fail in their business venture often keep lip-tight about why they fail, but if you have been to those countries, you will understand the reason and cause for their downfalls.
The Korean market is a very tight-lid about their market. The Supermarkets and retailers are own by a few conglomerates, they literally do every kind of business from building ships to cars and operating chain stores. Companies like LG for example runs Supermarkets, banks, Departmental stores, makes air conditioners, hand phones, LCD screen and television sets. Samsung builds ships, oil rigs, FPSO, cars, television LED screen, Supermarkets, and many others. Similar situation for Japanese market, much protected by their own interests. Yaohan, Takashimaya, and others are the big players in Japan. They see foreign entries as threats and will not welcome any new player.
Another company besides Walmart, the IKEA the Danish household goods merchants is also success story in China and elsewhere over the world.
James OO7
Success stories become popular subject for Case Studies by Marketing students. However stories of failures are also becoming a cause for people to learn from the mistakes of others.
The Walmart stories of success in China and parts of the world and failure in some markets like Korea and Japan is typical examples of choosing the right environment for the market. Companies who fail in their business venture often keep lip-tight about why they fail, but if you have been to those countries, you will understand the reason and cause for their downfalls.
The Korean market is a very tight-lid about their market. The Supermarkets and retailers are own by a few conglomerates, they literally do every kind of business from building ships to cars and operating chain stores. Companies like LG for example runs Supermarkets, banks, Departmental stores, makes air conditioners, hand phones, LCD screen and television sets. Samsung builds ships, oil rigs, FPSO, cars, television LED screen, Supermarkets, and many others. Similar situation for Japanese market, much protected by their own interests. Yaohan, Takashimaya, and others are the big players in Japan. They see foreign entries as threats and will not welcome any new player.
Another company besides Walmart, the IKEA the Danish household goods merchants is also success story in China and elsewhere over the world.
James OO7
06 Sep 2007 18:10
Post 4 of 6
Replying to [Admin]:
I once read Walton's story in this book. Truly i admire his dedication to all Walmart retail store network. I note that he could spend most of his time to "stalk" competitor's stores. One thing other men wouldn't be easy to choose![[em2]](http://img.alibaba.com/images/eng/style/icon/emoticons_laugh.gif)
He is humble and low profile.
He has the attitude that contagious to his men. from the top level manager to just a security guy. The point he was trying to give is total hard work, dedication, smart and of course marketing strategy. as human resource is a valuable asset.
A god story from an ordinary man. Which is Billionaire![[em35]](http://img.alibaba.com/images/eng/style/icon/emoticons_fall_in_love.gif)
I once read Walton's story in this book. Truly i admire his dedication to all Walmart retail store network. I note that he could spend most of his time to "stalk" competitor's stores. One thing other men wouldn't be easy to choose
He is humble and low profile.He has the attitude that contagious to his men. from the top level manager to just a security guy. The point he was trying to give is total hard work, dedication, smart and of course marketing strategy. as human resource is a valuable asset.
A god story from an ordinary man. Which is Billionaire
23 Sep 2007 06:47
Post 5 of 6
Replying to [James 007]:I agree with you.![[em17]](http://img.alibaba.com/images/eng/style/icon/emoticons_shake_hands.gif)
Globalization is the new century's trend. Share our market with all over world.
Globalization is the new century's trend. Share our market with all over world.
09 Oct 2007 17:58
![[em19]](http://img.alibaba.com/images/eng/style/icon/emoticons_great.gif){kind=icon}
Page 1 of 1