Success Crafted

Unleashing Walmart’s Potential: Opportunities Threats and Recommendations for Continued Retail Success

Walmart Overview

Founded in 1962 by Sam Walton in Bentonville, USA, Walmart is one of the world’s largest retailers, with a huge global presence. The current CEO, Doug McMillon, took over the company in 2014, and Walmart is now a public company, trading under the symbol WMT on the New York Stock Exchange.

With a market capitalization of $295.78 billion, Walmart is a significant player in the retail industry, with revenue of $524.40 billion and net income of $14.9 billion. Walmart operates in 27 countries, employs 2.2 million people globally and serves over 275 million customers every week, making it the largest employer in the US.

The company has over 10,000 stores worldwide, along with various eCommerce sites and other business ventures, such as financial services.

Company Details

Walmart has a reputation for delivering value to its customers, which has been the foundation for its success since its inception. The company has a ‘price leadership’ strategy that hooks customers with a promise of low prices.

Furthermore, the company’s slogan, “Save money. Live better,” speaks to its philosophy of enriching lives by providing access to goods that people need.

Doug McMillon, the CEO, is a company veteran who started his career at Walmart when he was 18. He has been a critical driver of Walmart’s online expansion efforts, investing in the company’s eCommerce business and driving the acquisition of, among other online firms.

He has been instrumental in Walmart’s digital transformation, including the integration of AI in Walmart’s supply chain processes. The company’s headquarters is situated in Bentonville, Arkansas, where Walmart started.

Walmart’s corporate structure is hierarchical, with the CEO at the top, followed by various executives and vice presidents, including those responsible for eCommerce, finance, and supply-chain management.

Company Statistics

As one of the most significant retailers globally, Walmart’s statistics speak to its size and influence. Walmart is the largest private employer in the world, with 2.2 million staff globally.

The company has a formidable presence in the retail industry, with a market capitalization of $295.78 billion. Moreover, in the fiscal year 2021, Walmart generated $524.40 billion in revenue and $14.9 billion in net income, showing that Walmart remains one of the most profitable retailers globally.

SWOT Analysis

Walmart’s strengths and weaknesses are essential elements that have contributed to its success and the challenges it has faced in recent times. By analysing its strengths and weaknesses in detail, we can get a better understanding of Walmart as a company and its future outlook.


Walmart’s strengths speak to the company’s competitive advantages in the retail industry. Its brand recognition is one of its most significant strengths, being a household name and a reputable brand.

Walmart has also expanded globally, making it a leading retailer in the international market and giving it a competitive edge. Low prices are another essential element of Walmart’s strengths, as customers are always looking for the best deals and Walmart provides them.

The company’s supply chain is its foundation, and Walmart has invested in building a robust supply chain that ensures efficient movement of goods through its logistical capabilities, which has made Walmart the retail giant it is today. Finally, Walmart’s management practices, including human resource management, are a critical strength.

Walmart’s focus on investing in its people has been a long-standing tradition, with training and development opportunities provided for staff, making the company an attractive prospect for job-seekers.


Walmart’s weaknesses are equally important and are points of discussion when analysing the company. The company’s large span of control makes it difficult to manage the company effectively, which can result in weak management practices.

Walmart’s thin profit margins are also another weak point, making it essential for Walmart to strive to reduce its costs continually. Additionally, the company has faced allegations of gender discrimination, which has had a detrimental impact on the company’s reputation.

The company has also been accused of imitating competitors, which sometimes results in limited differentiation among products. In conclusion, Walmart’s success as a company is based on its ability to deliver low prices to customers while creating value.

Walmart’s strengths lie in its supply chain, global expansion, brand recognition, and human resource management, while its weaknesses, such as gender discrimination and challenges with management, presents opportunities for betterment. Walmart’s SWOT analysis has helped us understand the company’s future outlook and how it can continue to be successful in the retail industry.

Walmart’s Opportunities

As one of the biggest retail giants in the world, Walmart has numerous opportunities to expand, partner with other firms, and improve its services. With a focus on identifying and capitalizing on these opportunities, Walmart can continue to grow its business and remain at the forefront of the retail industry.

Expansion and Partnerships

Walmart has already established a significant global presence, but it still has opportunities to expand further. One way to do this is by entering new international markets.

Walmart could leverage its existing supply chain capabilities to move products into underserved markets that other retailers have not explored. This could help Walmart capture a larger market share and reach new customers.

Walmart could also enter strategic alliances with other businesses and firms. Walmart could partner with grocery stores or specialty retailers to widen its product offerings and improve its assortment variety.

Such partnerships could help Walmart tap into new markets, gain new customers, and increase revenue. Moreover, acquiring other companies could help Walmart expand its vision beyond its core business.

Improving Practices and Services

Improvements in human resource management practices and quality standards are an opportunity that could positively impact Walmart’s business. Walmart has invested in providing employees with better compensation and training opportunities over the years, but there’s still room for improvement.

Providing more competitive wages and employee benefits, including identity-based recognitions, could incentivize employees and improve employee retention rates. Walmart also has an opportunity to improve its online sales capabilities.

The pandemic has accelerated the shift from physical to online shopping, making online sales more vital than ever before. Walmart has already made strides in this direction, but there’s still room for improvement.

Guaranteeing swift delivery and adequately addressing customer’s needs can grow the site visitors to the online channel. An investment in technology and data analytics can help Walmart monitor customer preferences and offer tailored products based on their preferences.

Finally, healthcare services are another area that Walmart could explore. Walmart has already established clinics and pharmacies in many of its stores, but it could leverage these facilities to offer more comprehensive health services.

Expanding its healthcare services, such as on-site screenings and diagnostic tests, could be a significant opportunity for Walmart, particularly in underserved communities. Walmart’s Threats

As with any business, Walmart faces several threats that could negatively impact its operations.

The following threats are some of the most significant concerns for Walmart.

Controversies and Legal Issues

In recent times, Walmart has been rocked by various controversies and legal issues. The Impeach 45 controversy that saw Walmart face backlash from customers for selling items with these slogans affected the company’s reputation.

Additionally, the recent fake craft beer controversy has led to lawsuits against the company, further risking the company’s public image and reputation. To avoid damaging the company’s brand value, Walmart must be sure to address such controversies quickly and effectively, whether it involves dealing with public sentiments or improving product control measures.

Competition and Market Challenges

Walmart faces stiff competition from other retailers. Walmart is the primary target of competition for stores like Target and Amazon, making it even more crucial for Walmart to stay ahead of the competitive curve.

While aggressive pricing and advertising might be some quick-fix solutions, Walmart must continually update its offerings to keep up with the changing demands in the market. Walmart also faces increased competition from small-scale online e-commerce companies.

These smaller e-commerce sites often offer niche products and superior customer service. Walmart must remain mindful of these smaller-scale online businesses and identify ways to offer better value to their customers.

Furthermore, technical issues on the website are a significant challenge for Walmart. Customers expect a seamless online experience, and any technical hitches or downtime can lead to negative reviews or even a loss of business.

Walmart must continue investing in technology and IT architecture to ensure its website can handle high traffic demands and provide around-the-clock consistent customer experience. Economic uncertainty, including tariffs and trade tensions, can also undermine customer confidence in Walmart.

Walmart must develop contingency plans to keep the business resilient to such socio-economic forces.


Walmart’s opportunities and threats show that there is still so much that the company can do to enhance its business operations further. While the opportunities present vast possibilities for growth, Walmart must also tread cautiously and address the potential threats to the company.

Walmart must remain innovative and adapt to changing business environments to continue running a successful retail business globally.

Recommendations for Walmart

Walmart is one of the largest retailers globally and has established itself as a household name. However, there are areas in which the company can improve and grow.

The following recommendations can help Walmart to enhance its business operations and remain a competitive force in the retail industry.

HR Management and Employee Relations

One of the most important recommendations for Walmart is to improve its human resource management. Employees are the foundation of any business, and providing them with a better working environment is critical.

Walmart should invest more in employee training and development programs, offering skills that help them grow and be competitive in the market. Moreover, Walmart should address employee issues and foster a respectful and inclusive environment.

As such, Walmart should provide opportunities for employee feedback, regular employee satisfaction surveys, and listen to employee grievances as they are raised. Addressing these issues can enhance employee performance and productivity, leading to a better work environment and improved customer service.

Business Expansion and Upgrades

Business expansion and upgrading their existing systems is one of the most significant factors in Walmart’s continued growth and success. Walmart’s success is due in part to its vast network of stores, and the company has already established a formidable global presence.

But there is room for expansion, particularly in underserved markets. Walmart could also explore acquisitions and strategic partnerships with other businesses.

Investing in distribution networks and operations would help Walmart be more agile and efficient in supply chain management and logistics. The use of emerging technologies like ‘smart warehouse management’, predictive analytics to forecast customer demands, and micro-fulfillment centers can improve their supply chain management capabilities.

Updating their website regularly and introducing new features can also improve customer experience and boost online sales. The implementation of cloud computing and artificial intelligence technologies can enhance the speed of transactions, personalization of web experiences, and provide further data insights to crucial decision-makers.

Walmart should also focus on incorporating innovative technology that enables customers to track their purchases accurately. Marketing and promotions are critical to enhance their existing customer acquisition and retention methods.

Regular promotions, such as discounts, coupons, and loyalty programs, would provide customers with better value and increase customer loyalty.

Social Responsibility and Sustainability

Sustainability and social responsibility are increasingly essential to customers, and Walmart must take a leadership role in addressing sustainability and social responsibility issues. Businesses that effectively address environmental challenges can improve public perceptions of their reliability to their customers by building credibility and integrity.

Walmart can initiate environmentally sustainable practices that reduce the carbon footprint by using alternative energy sources and renewable materials in their supply chain. These practices should stress reduced environmental impact by production processes and improved waste management.

The company can focus on promoting energy-efficient products that can help customers reduce their carbon footprint and save money on utility bills. Furthermore, Walmart could create public accountability reports and other frameworks to measure their progress in promoting environmental and social justice practices.

Accordingly, a Green Business Rating system that rates suppliers based on how environmentally friendly they are, and incentivizes them to reduce their carbon footprints would go a long way to enhancing the company’s overall sustainability and corporate responsibility.


The recommendations discussed in this article can help Walmart to enhance its operations to stay competitive in the retail industry. The focus on improving HR management and employee relations, business expansion, upgrading existing systems, marketing and promotions, and social responsibility and sustainability can help Walmart improve its business practices.

Taking these recommendations into account can help Walmart thrive and provide customers with better value and a more positive experience. In conclusion, Walmart’s expansion, improvement initiatives, social responsibility, and business practices play a crucial role in shaping its success in the retail industry.

By focusing on HR management and employee relations, Walmart can create a positive work environment and enhance customer service. Business expansion and upgrades, including global market expansion and infrastructure improvements, can drive growth and improve efficiency.

Furthermore, Walmart’s commitment to social responsibility and sustainability can enhance its brand reputation and attract environmentally conscious customers. Overall, Walmart’s ability to adapt and prioritize these recommendations will be key in maintaining its dominant position in the retail market and continuing to provide value to customers and stakeholders.

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