What has happened to Wal-Mart that affects their strategy from 2007 to 2009???
http://en.wikipedia.org/wiki/Wal-Mart
To understand what happened to Walmart's strategy from 2007 to 2009, we need to look at the historical events and changes that occurred during that period. Here are some key factors that affected Walmart's strategy during those years:
1. Financial Crisis: The global financial crisis began in 2007 and continued into 2008-2009. This economic downturn had a significant impact on consumer spending and purchasing power, affecting Walmart's sales and profitability. To counter this, Walmart had to adjust its strategy to attract price-conscious consumers and focus on lower-cost products.
2. Shift to Online Retail: During this period, online retail, led by companies like Amazon, was rapidly gaining popularity. Walmart had to adapt its strategy to compete in the e-commerce market. They invested heavily in their online presence and integrated their brick-and-mortar stores with online sales, aiming to provide a seamless shopping experience for customers.
3. Sustainability Initiatives: In 2005, Walmart announced ambitious sustainability goals, including reducing waste, improving energy efficiency, and sourcing products from renewable sources. From 2007 to 2009, Walmart continued to invest in various sustainability initiatives as part of its strategy. This included working with suppliers to reduce their environmental impact and introducing eco-friendly products.
4. International Expansion: Walmart aimed to expand its global footprint during this period. They focused on entering emerging markets, such as China, India, and Brazil. However, they faced challenges in these markets, including cultural differences, regulatory hurdles, and strong competition. As a result, their international growth strategy had to be adjusted and adapted.
5. Labor and Social Issues: Walmart faced criticism and lawsuits during this period related to labor practices, employee wages, and benefits. These issues affected their reputation, customer perception, and employee satisfaction. To address these concerns, Walmart had to revisit their labor policies and implement changes to improve working conditions and compensation.
In summary, during the years 2007 to 2009, Walmart's strategy was influenced by the financial crisis, the rise of online retail, sustainability goals, international expansion challenges, and labor and social issues. These factors forced Walmart to adapt and adjust its approach to stay competitive and address changing consumer demands.