Project Deliverable 5: Capstone Final Project and Presentation

Project Deliverable

Name

University

Wal-Mart

Importance of innovation for the long term survival

Changes made by Wal-Mart will benefit the organization in many ways. The three key innovations; generating zero waste, selling products that will sustain resources of the environment and using 100% renewable energy will help the organization to remain at the top. The world is going green because of the effects of global warming (Don, 2005). Each and every nation has been advised by the United Nations to ensure that it tries to use renewable energy and save the environment. The innovation of Wal-Mart is timely, and it is likely to work to the advantage of the organization.

Overall strategy to foster innovation

The overall strategy is to ensure that all products that are sold by Wal-Mart are 100% natural. The approach will go a long way in winning the trust of the customers and attracting more customers. The emergence of diseases like cancer and hypertension has boosted the demand for organic products and therefore the strategy is likely to work.

Expected industry evolution over a period of five (5) and ten (10) years

In the next five to ten years, Wal-Mart will still be one of the most successful organizations globally. Currently, Wal-Mart is the fourth private organization globally that has employed the biggest number of employees. However, that is likely to change in the next five to ten years. The innovation is likely to put the organization in a more favorable position on the map of the world.

Top advantage(s) over its competitors

i) A big number of customers

Wal-Mart is one of the organizations that have a big number of clients who visit their stores on a regular basis. Statistics indicate that Wal-Mart attends to at least 100,000,000 customers in a week. An organization that has a big number of clients is likely to reach a big number of people in selling its strategies thus having an advantage over the competitors. On the other hand, Wal-Mart has a lot of outlets, and that means that most of the customers can acquire products of Wal-Mart in any place as long as there are Wal-Mart stores.

ii) Unique products

Wal-Mart offers products that are environmental friendly. In the twenty-first century, people are trying to avoid products that are rich in chemicals due to their effects on people's health. Wal-Mart has ensured that products that leave its doors are not only environment-friendly but also healthy for human consumption (Berg, 2012). Other organizations have tried to go green like Wal-Mart, but that has been impossible. The innovation of ensuring that all products are free from chemicals is likely to work to the advantage of Wal-Mart. Looking at the statistics; most people are more interested in buying products that are environmental friendly. Therefore, a big number of individuals are likely to choose to shop at Wal-Mart than any other place out there.

Strategies to use to exploit innovative breakthroughs

iii) Selling natural products

Advantages

i) Many customers will decide to buy from the organization than from any other organization.

ii) The organization will receive favors from the agencies that advocate for the selling of natural products.

Disadvantages

a) Getting reliable suppliers can be challenging and that will affect that business.

b) Most of the natural products change in price now and then and convincing the customers can be difficult (Berg, 2012).

iv) Extensive marketing

Advantages

i) Many people will get to know about the innovation of the company.

ii) The number of customers is likely to increase thus increasing the revenue.

Disadvantages

i) Extensive marketing is expensive.

ii) By marketing, the competitors get to know about the strategies of the organization.

Strategies to exploit advantages over competitors and how to minimize key weaknesses.

Selling natural products

The most suitable strategy that Wal-Mart can apply is ensuring that all products sold are natural (Leshmik, 2011). Wal-Mart has been in a scandal before whereby most of the customers complained that the organization was not selling a hundred percent natural products. If the organization made the same mistake today, it would lose a lot of clients and trust from the stakeholders. The company can ensure that it has produced quality products by making sure that the suppliers observe the standard of goods that the firm wants. If the company made sure that all the products sold are natural and chemicals free, customers would flock in its shops and a case of any weaknesses; the customers will not have the time to observe it. On top of that, the company will be ahead of its competitors since it will have won the hearts of many customers.

References

Leshmik. (2011). Wal-Mart- Innovation Case Study. Retrieved from http://www.slideshare.net/lekshmik/walmart-innovations-case-study

Don, S. (2005). The Wal-Mart Way. Nashville, Tennessee: Thomas Nelson Publishers.

Berg, N. (2012). Wal-Mart: Key Insights and Practical Lessons from the World’s Largest Retailer. Philadelphia: Kogan Page Publishers.