Cont

Industrial Environment:
Potential New Entrants: (High)
High capital requirements.
Customers mainly look for products with low prices and
standard quality.

Cont
Bargaining power of Suppliers: (Low)
Wal-Mart purchases huge quantities of products from its
suppliers.
Low switching costs from one supplier to another.
Products have a lot of substitutes.

Cont
Rivalry among existing competitors: (High)
Competitors have similar sizes.
There is a high production capacity

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Threat of Substitutes: (High)
Prices and quality of substitute products are very competitive.
Performance of substitute products are similar.

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Bargaining Power of Customers: (Low)
Wal-Marts main customers are individuals.