Therefore can also have a direct impact on the overall industry as the share of

Therefore can also have a direct impact on the

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expansion of businesses. Therefore, can also have a direct impact on the overall industry as the share of Walmart in the business industry is too big. Two (2) Forces Of Competition Walmart, being the largest retailer in the Us and is the largest in terms of organizational size. Walmart has always posses an upper hand when it comes to the management of suppliers and customers. When it comes to the five forces, Walmart is well positioned in the retail industry. The two competitive forces are rivalry from competitors and the customer bargaining. Rivalry from competitors is a very strong competitive force. Especially because all the strategies that the company use are not difficult to imitate, (Ahmadi, Dileepan, & Wheatley, 2016). Also, there are so many other retail companies and therefore the competition is high because these retail industries also sell the products that are sold by Walmart and immediately they catch up with all that Walmart is doing, it will be very easy to defeat them as far as operations and management is concerned. Also, the specialized industries are a big competition because people
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WALMART 6 that are interested in quality are at a higher chance of choosing specialized industries instead of a retail stores like Walmart. Walmart deals with this by being aggressive and staying top of its game. When it comes to customer bargaining power, this would not be called a strong force because the company has a wide range of customers and therefore they are unable to pressurize the stores that much because they have a large number therefore the pressure is neutralized. Some customers pressurize an organization a lot by expecting it to give them large discounts. However, since this company has a lot of customers, it does not face a lot of this because it has both individual customers and a lot of small shop customers that do not do that much bargaining and therefore this is not an issue, (Banerjee, 2015). It can give the few that insist discounts and treat the rest of the customers as per the organizations policy. Ways Through Which Walmart Could Improve In order to deal with this competition forces in the near future, Walmart should make a strategic plan that is not imitable so that even other industries are trying to get to where these stores are, they would not be able because they would not know the company’s management plan. Walmart should know that it has to have a unique thing that cannot be copied because that is what makes an organization different. Also, Walmart should convert some of its stores to be specialized so that it can have the advantage of winning the hearts of all the customers that believe that specialized stores are the ones that sell quality products. With the bargaining, it should set the prices for its products that are already discounted and that will apply to all customers.
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