Sunday, August 4, 2019
Marketing Essay -- essays research papers
All companies compete with one another; they strive for excellence and to be the best. They have to compete with each other to win over markets and to be the one who ends up on top. Most businesses are guided by the maxim "nothing ventured, nothing gained" (Spulber 7). Winning a market requires a company to have an aggressive investment and growth. Although many companies try to keep costs down for the consumer, low costs are not always the solution for every situation. It is generally the Chief Executive officer (CEO) who formulated strategies to connect markets. The CEO has to have the ability to for see the future of the company in order to make intelligent decisions. Wal-Mart was founded in 1962 by Sam Walton, who wanted to make a discount department store, and ended up being extremely successful in his doings. The earnings in one year for Wal-Mart are approximately $4,430,000,000. Commonly, the winning firm is identified as the firm with the highest sales revenue. There are many winning firms including Wal-Mart for their retailing ability. Wal-Mart stores are the leading retailer with $100 billion in retail sales and is also the leader in profits with $3billion which is much higher then the company with $3 billion which is much higher then the trailing company Sears. The market value of Wal-Mart is more then three times higher then their competitors. Wal-Mart has not only been able to take over the retail market, but they continue to grow substantially. Winning markets, like Wal-Mart result from an effective strategy, a continuous innovations, and efficient organization. Companies that try to have larger firms may not be successful just because they are bigger, a successful firm, such as Wal-Mart is successful because of its marketing ability which draws customers in and in turn the customers spend money. A secret success of Wal-Mart is its indirect strategies and ways to win markets without running into high costs. Companies like Wal-Mart like to win a market by attacking the other firms weak points. When Wal-Mart is trying to find another company to engage in direct competition, they need to make sure they have a strong playing field on their part so it is an effective challenge. The primary boundary of a firm is its s... ...hod of exchange can allow an incumbent to remain a marker maker or permit an innovative entrant to bypass the incumbent to remain a market maker or permit an innovative entrant to bypass the incumbent. Intermediary competition offers the possibility of far more effective use of information. A retailer such as Wal-Mart gains a competitive advantage over the other retailer intermediaries through its well developed electronic data interchange system that allows it to pass on information about customer purchasing patterns to its suppliers. This gives Wal-Mart an edge in terms of supplier relationships and allows it to obtain favorable terms compared to competing retailers. Wal-Mart's marketing strategies have made them one of the largest companies in the world. The way they are able to compete with others gives them a competitive edge since most other companies cannot keep up with them. Wal-Mart is a very recognizable name. Seeing how they employ over four million people shop theyÃ¢â¬â¢re for values. Since Wal-Mart is able to provide discount prices, lower then other stores, gives them the ability to pull shoppers into Wal-Mart for a large variety of items.