INTRODUCTION
Wal-Mart is more than just the world's largest retailer. It is an economic force, a cultural phenomenon. It all started with a simple philosophy from founder Sam Walton: Offer shoppers lower prices than they get anywhere else. That basic strategy has shaped Wal-Mart's culture and driven the company's growth. Now that Wal-Mart is so huge, it has unprecedented power to shape labour markets globally and change the way entire industries operate. Wal-Mart has been able to keep its prices low through cutting-edge technology, a frugal corporate culture and a push to make suppliers sell merchandise at cheaper and cheaper prices. Its sophisticated use of technology, its corporate culture of watching every expense, and above all else, its mission to keep prices low have made Wal-Mart successful.
HISTORY
Sam Walton opened his first five-and-dime in 1950. His vision was to keep prices as low as possible. Even if his margins weren't as fat as competitors, he figured he could make up for that in volume. He was right. In the early 1960s, Walton opened his first Wal-Mart in Rogers, Arkansas. The company continued to grow, going public in 1970 and adding more stores every year. In 1990, Wal-Mart surpassed key rival Kmart in size. Two years later, it surpassed Sears. Walton continued to drive an old pickup truck and share budget-hotel rooms with colleagues on business trips, even after Wal-Mart made him very rich. He demanded that his employees also keep expenses to a bare minimum -- a mentality that is still at the heart of Wal-Mart culture more than a decade after Walton's death.
BUSINESS SEGMENTS
Wal-Mart’s operations comprise three business segments :
1. Wal-Mart Stores
2. Sam ...