Existing Mission, Objectives, and Strategies
Mission
Sam Walton, the founder of Walmart, stated the purpose of the company while receiving
the Presidential Medal of Freedom (Walmart, 2018a, para. 36). During his acceptance speech,
Walton said: “if we work together, we'll lower the cost of living for everyone...we'll give the
world an opportunity to see what it's like to save and have a better life” (para. 9). From this
quote, Walmart created their clearly defined mission: “saving people money so they can live
better” (para. 10). Their mission statement has also become their slogan, “Save money. Live
better” (Ferguson, 2018a, para. 3). This allows the company to focus on the customers while
customers concentrate on saving money and getting more products for what they spend.
Objectives
Walmart strives to be “THE destination for customers to save money, no matter how they
want to shop” (para. 5). To achieve this, the company has made their products available in a
variety of ways. Not only are there physical stores, but consumers can shop online or on their
mobile app (Walmart, 2017, para. 26). Not only does Walmart want to make their products more
readily available, but they also strive to give back to the global community and the communities
in which they serve. The company intends to become more eco–friendly by reducing emissions,
increasing renewable energy, and having zero waste (Walmart, 2018b, para. 11–14). In order to
strengthen the local communities, Walmart sends volunteers to help improve local communities
as well as communities affected by natural disasters (para. 15–18).
Strategies
Walmart has a strategy of constant improvement. The company focuses on people and
technology (High, 2018, para. 13). The focus on people allows Walmart to discover how can they
best serve their customers as well as what employees can do to improve the company (para. 13).
The improvements of technology force companies to change accordingly, but Walmart strives to
stay on top of the technology (para. 14). The company focuses on putting people with the
knowledge of mobile technology and artificial intelligence in the proper positions so that
Walmart can use it help employees complete their jobs and serve the customers (para. 14–16).
Walmart is focused on doing what they can to improve for their employees, customers, and the
global community. Analysis of the Firm’s Existing Business Model
Walmart uses a generic cost–leadership strategy which “seeks to create the same or
similar value for customers at a lower cost” (Rothaermel, 2017, p. 178). This strategy allows the
company to sell products that are the same or similar at a lower cost which is how the company
differentiates itself from other competitors in the market. Ferguson (2018b) explains that
“through automation and related technologies, and through minimized spending for human
resources, the company achieves low costs in operations” (para. 3). Walmart is continually
searching for ways to reduce their costs whether in technology or imports so that they can
continue being price leaders in the industry (para. 4).
Specific Recommended Strategy and Long–Term Objectives
Walmart should continue to play to their strengths using their generic cost–leadership
strategy. Compared to other companies in the market, Walmart provides the same or similar
products at a lower price. Their focus on lowering costs allows the company to attract more
customers and continue to expand locally and globally. In the future, Walmart has a focus on
maintaining and improving current stores in the United States and opening over 250 stores across
the globe (Hufford, 2017, para. 2). The money saved from opening new stores in the United
States will be used to expand their e–commerce business and continue to develop the ability to
serve more customers (para. 3).
References
Ferguson, E. (2018a, August 22). Walmart's mission statement & vision statement, generic &
intensive strategies. Retrieved October 9, 2018, from http://panmore.com/walmart-vision-
mission-statement-intensive-generic-strategies
Ferguson, E. (2018b, August 22). Walmart's generic competitive strategy and intensive growth
strategies. Retrieved October 9, 2018, from http://panmore.com/walmart-generic-
competitive-strategy-intensive-growth-strategies
High, P. (2018, January 2). Walmart CIO's priorities: Productizing IT and process automation
with AI. Retrieved October 9, 2018, from
https://www.forbes.com/sites/peterhigh/2018/01/02/walmart-cios-priorities-productizing-
it-and-process-automation-with-ai/#7c06923270ea
Hufford, A. (2017, October 10). Wal-Mart reveals financial goals, e-commerce focus. Retrieved
October 9, 2018, from https://www.marketwatch.com/story/wal-mart-reveals-financial-
goals-e-commerce-focus-2017-10-10
Rothaermel, F. T. (2017). Strategic management concepts (Custom 3rd ed.) New York, NY:
McGraw-Hill.
Walmart. (2017, October 10). Walmart highlights progress on strategic initiatives and outlines
plan to win with customers and shareholders at its meeting for the investment community.
Retrieved October 9, 2018, from https://news.walmart.com/2017/10/10/walmart-
highlights-progress-on-strategic-initiatives-and-outlines-plan-to-win-with-customers-and-
shareholders-at-its-meeting-for-the-investment-community
Walmart. (2018a). Our history. Retrieved October 9, 2018, from
https://corporate.walmart.com/our-story/our-history
Walmart. (2018b, April 23). Walmart highlights economic, societal and environmental progress
in 2018 global responsibility report summary. Retrieved October 9, 2018, from
https://news.walmart.com/2018/04/23/walmart-highlights-economic-societal-and-
environmental-progress-in-2018-global-responsibility-report-summary
