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Environmental Scanning essay
Environmental Scanning paper
The company chosen for this environmental scanning assignment is Walmart, a renowned discount-oriented retailer that has been in business for several decades. Walmart is a U.S. based retail giant and one of the largest companies in the world. The analysis will look at the properties that have made Walmart thrive over the years by examining the external and internal environments of the company through the PEST analysis, exploring its competitive advantages through a SWOT analysis and Porter’s five forces, identifying the strategies that create value in the firm, and measuring the effectiveness of the strategies to verify their effectiveness.
The Internal and External Environments of Walmart
Walmart’s internal environment consists of the corporate structure, organizational culture, management, business operations, human resources, stakeholders, information services, finances, and research and development. The firm is structured into three business sectors: Walmart International, Sam’s Club, and Walmart Stores USA. Walmart is a public corporation, but it still maintains the traditional hierarchy and the majority stock of the Walton family members. The top management and its support functions are primarily located in the company’s headquarters at Arkansas (Laszlo & Cescau, 2017). Walmart has a strong brand and corporate culture associated with its low-pricing strategy. Hence, most of its business operations focus on maintaining excellent services with discount prices and achieving the economies of scale required for its low cost competitive edge. Walmart is committed to its stakeholders and human resources by upholding transparency and providing a conducive job environment......GET A PLAGIARISM FREE COPY