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Essay / Analysis of Wal-Mart in Japan - 1358
SummaryThe case study focuses on the obstacles and strategic failures that Wal-Mart faced during its expansion and entry into Japan and its retail market. extremely attractive detail. The study highlights the rise of the major global retailer “Wal-Mart”. As they expanded and over time enjoyed success as well as disastrous results in their journey to "globalization", Wal-Mart entered the smart retail market in Japan as a as a joint venture with “Seiyu”, which was a very wrong step. First of all. The violent retail giants have fought back in the Japanese market even with their most excellent business policies and best prices offered. They failed to identify their customers' behavior with Japanese culture, which was a clear case of cultural slippage and not learning from their behavior. previous slippage in Germany, South Korea and Indonesia. (EDLP) “Every Day Low Prices” and Roll Back was a dynamic business plan and was strongly driven by a very aggressive pricing policy, the world's best supply chain distribution system equipped with a management system stocks focused on superior technology and with minimal promotion and advertising expenses. these retail giants were generating large-scale profits even with a low-cost system. Wal-Mart failed to distinguish between the differences in operational and cultural environments in the United States and Japan. This case study also reports details about the reasons that affected Wal-Mart and also recommends the need for an in-depth study of the culture and management that is required and how it should be put into practice in order to 'prevent Wal-Mart from collapsing in Japan's proud and profitable market. INTRODUCTION: 1960s, American retail giants. ..... middle of paper ......liam, Why Wal-Mart can't find happiness in Japan. CNN money Fortune, (July 27, 2007). Accessed March 3, 2014, from http://money.cnn.com/magazines/fortune/fortune_archive/2007/08/06/100141311/ICMR, Wal-Mart Struggles in Japan. Retrieved April 4, 2014 from http://www.icmrindia.org/casestudies/catalogue/Business%20Strategy/Wal-Mart%20Struggles%20in%20Japan.htmKotabe & Kristiaan Helsen, Global Marketing Management. (2009). Hoboken. Retrieved March 2, 2014, from http://globalmarketingtoday.wordpress.com/the-real-world/case-study-1/Mui Ylan Q, As U.S. Growth Slows; Wal-Mart puts more emphasis on foreign stores, Wal-Mart goes global, Washington Post. (June 19, 2010). Retrieved March 2, 2014 from http://daveporter.typepad.com/global_strategies/2010/06/wal-mart-goes-global.html