21 May HOW WOULD YOU CLASSIFY WAL-MART’S INTERNATIONAL STRATEGY?
Wal-Mart operates in 26 countries with total revenues in 2015 of $485.6 billion, of
which $137.4 (26%) were generated from non-U.S. based operations. Conduct
research and answer the following questions in relation to Wal-Mart’s international
strategy.
1. What is the mode of entry that the company uses (has used) to internationalize its
operations globally? Explain how the company’s production and distribution
channels operate in international markets.
2. How would you classify Wal-Mart’s international strategy? (i.e. global, multidomestic, transnational). Explain your answer.
3. While the company has established operations in multiple countries around the
world, its attempts to expand to Germany, South Korea, and the fast growing
markets of Russia, and India have so far been unsuccessful. What are the reasons
why the company’s strategy that has worked so well domestically and in other
countries did not work in Germany, South Korea, Russia, and India and brought the
company billions of dollars in losses?
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