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Combating Critics and Sustaining GrowthCarpio, Patricia D,Reyes, Bernadette R.Saquido, MichelleSemana, Lhouella M.

COMPANY BACKGROUNDSam Walton founded Wal-Mart Discount City in Rogers, ArkansasSam Walton decided to incorporate the businesswent publichad 276 stores in 11 states and first company to reach $1 billion David D. Glass took over Lee Scott was appointed to be the next president and CEOopportunities to go international

1962

1969

1970

1979

1988-2000

2000

2005

6Strategy and Strategy ExecutionMultiple Store Formats Everyday Low PricesWide Selection and a Big Percentage of Name-Brand MerchandiseCustomer Friendly Store EnvironmentLow Operating CostsInnovative MerchandisingEmphasis on Customer SatisfactionDisciplined Geographic ExpansionUse of Acquisitions to Enter Foreign Country

CompetitorsKmart TargetCostcoCarrefourBest BuyCircuit CityToys R UsGoodysBed Bath and BeyondKrogerAlbertsons Safeway

Challengesviolation on proper waste disposalselling of goods prohibited by law, employment of illegal crews, prohibiting associates to join unions, poor healthcare and benefits package discrimination cases unfavourable labor practices and limited concern for the environment and the people around

This analysis presents the company's history from the time it started until 2006.This study presents only the facts included in given caseThis study discusses and analyzes Wal-Mart's status, strategies, and challenges based only on what was mentioned in the case.Scope and Limitation

Point of ViewMr. Harold Lee Scott, Jr., the President and CEO of Wal-Mart Stores, Inc.

Statement of the ProblemWhat strategy can Wal-Mart do to combat criticisms and negative publicities while maintaining focus on improving its business operations and sustaining growth?

ObjectivesTo briefly present the company, its business operations and its economic and market situation.To evaluate existing strategies and practices of the company and assess corresponding impacts on various stakeholders.To look for ways on how to deal with its detractors who create negative images for the company.To determine improvements needed to address objectives 2 and 3.

4 Ps of Marketing Productemploy friendly and helpful people Priceoffer shoppers the lowest pricesPlacedominated the US markets also Mexico, Brazil, Canada, Argentina, China, South Korea, U.K., Japan, Germany, India, and Southern African countries.Promotiontag lines include everyday low prices or value of the day and even grab it before its done

Public Relations Metric Framework

Corporate Responsibility Framework

PROSCONSThis can improve Wal-Marts public imagewinning new business, increase customer retention and attract and maintain a happy workforceprovide the company with differentiation from competitors who dont practice CSRwill result to a better service to the company and to the consumerscostly Some Personnel or associates may not be open to the idea0Alternative Courses of ActionACA 1: Launch CSR Activities PROSCONSIncrease market shareNo problems or issues with the local neighbours costly and time consuming May result to opportunities passing by the companyAlternative Courses of ActionACA 2: ExpansionPROSCONSbetter grasp on the current happenings people more equippedCan be quite costly and time consumingMay reduce productivity and sales for a short period of timeAlternative Courses of ActionACA 3: Training for all members of the organization

RecommendationRanking the groups priorities, the group recommends pursuing ACA 1 first before moving on to ACA 2. By addressing ACA1, strategies to be implemented will be aligned with the core values of Wal-Mart thereby improving its image to the public and preventing further criticisms.ImplementationBy choosing ACA 1, the major objective for the company is to be able to launch CSR activities whereby some of its top officers and associates become visible to personally help and assist.

Incorporate CSR strategies into Corporate Strategies by implementing the following strategies:Legal ComplianceStakeholder ManagementBrand Reputation Management and Ethical Reporting

ConclusionExpanding successfully as what Wal-Mart did shows how good they are in the industry. They have good strategy and implementation, good management, good positioning in the market, good information system and good associates; almost complete to be able to have a flourishing business amidst problems in the market or in the economy. However, no company is ever perfect. A company should not only focus on rendering good service to customers and gaining extra-ordinary amount of profits, a company should also realize its role to its stakeholders and not live only by itself. It has to review and consider its impacts to those surrounding its business. With these advances, public perception about the company will be improved, ultimately increasing consumer favor, leading to sales growth. Wal-Mart is already a multi-billion functioning business with thousands of stores worldwide. Hence, they should focus first on fixing their image before they can continue their expansion plans.Thank you!