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WALMART’S

INTERNATIONAL
MARKETING
Table of content
01 OVERVIEW OF WALMART

02 INTERNATIONAL MARKET

03 LEVELS OF INTERNATIONAL
MARKETING

04 APPROACHES TO INTERNATIONAL
MARKET
WALMART

WALMART’S
OVERVIEW
OVERVIEW
Walmart is an American
multinational retail company
and a global supermarket chain.
The company was founded in
1962 by Sam Walton and its
headquarter are in Bentonville
Arkansas, US
Walmart operates different
kinds of store: hypermarket,
2018

2020

2021
groceries, department stores
Walmart provides a wide range
of products : toys, beauty,
furnitures
WALMART

INTERNATIONAL
MARKET
INTERNATIONAL MARKET
WALMART’S SUCCESS IN THE US MARKET DUE TO 2 KEY FACTORS :

WALMART COMPETITIVE
STRATEGY Providing products and services to
“EVERYDAY LOW PRICES” customers with lowest cost

WALMART EFFECTIVE
Reducing time and effort for checking,
SUPPLY CHAIN
recording transactions
MANAGEMENT
INTERNATIONAL MARKET
WHY WALMART DECIDED TO PARTICIPATE IN THE INTERNATIONAL
MARKET?

THE US HAS SATURATED MOST OF THE DOMESTIC MARKET

THE INTERNATIONAL MARKET WAS THE ONLY MARKET WHICH HAS


POTENTIALS FOR GROWTH

WALMART NEEDED TO GROW BY INCREASING SALES AND


PROFITS
INTERNATIONAL MARKET
HOW DID WALMART CHOOSE THEIR INTERNATIONAL MARKETS?

Walmart cant enter multiple market simutaineously due to 2


reasons :

Lack of competencies and resources

A logically sequence approach provides learning


experiences for the next entry
INTERNATIONAL MARKET
EUROPE ASIA

MATURE RETAIL CULTURE AND


INDUSTRY LANGUAGE DIFFERENCE

SIMILAR BUSINESS GEOGRAPHICAL


FORMAT DISTANCE

First global entries : Mexico, Brazil, Argentina


WALMART

LEVELS OF
INTERNATIONAL
MARKETING
LEVEL OF INTERNATIONAL
MARKETING
Walmart needed to decide mode of entry for each country

Mode of entry :

Commonly used : exporting, licensing, partnering, acquisition, and


greenfield venturing
Each entry mode has its own particular set of advantages and
disadvantages

Depend on the firm’s size, strength, resources


LEVEL OF INTERNATIONAL
MARKETING
EXAMPLE BETWEEN 2 MARKETS : CANADA AND MEXICO

CANADA MEXICO

SIMILAR CULTURES AND CULTURE AND INCOME


INCOME DIFFERENCES

A POORLY PERFORMANCE
COMPLEX REGULATIONS
RETAILER WAS AVAILABLE
FOR PURCHASE (WOOLCO)

Walmart decided to buy Walmart decided to join


woolco’s stock venture with a local
(acquisition ) company cifra
WALMART

APPROACHES TO
INTERNATIONAL
MARKETING
APPROACHES TO
INTERNATIONAL MARKETING
CHALLENGES IN THE INTERNATIONAL MARKET : CULTURES,
LANGUAGES, TAXES, ETC

A COMPANY WISHING TO ESTABLISH LOCAL PRESENCE MUST


UNDERSTAND THEIR LOCAL MARKET IN ORDER TO DECIDE ITS
MARKETING STRATEGY

MARKETING STRATEGY HELPS COMPANY TO ADAPT TO LOCAL


PREFERENCES
APPROACHES TO
INTERNATIONAL MARKETING
EXAMPLE : WALMART’S ENTRY INTO CHINA MARKET

CHALLENGES :

COMPLEX REGULATIONS

GOVERNMENT POLICIES ARE UNPREDICTABLE

INFRASTRUCTURE IS NOT WELL DEVELOPED

MIDDLE CLASS DISPOSABLE INCOME IS LOW


APPROACHES TO
INTERNATIONAL MARKETING
ADAPTATION STRATEGY IN CHINA

DIFFERENT STORE Shenzhen supercenter : a hybrid store


FORMATS AND combining supercenter and a
MERCHANDISE ITEMS warehouse club

WalMart elected to purchase 85 percent of its


PRODUCT SOURCING
merchandise for the Chinese market in China
THANKS!
FOR WATCHING

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