Answered step by step
Verified Expert Solution
Question
1 Approved Answer
What is the recommended strategy for walmart from the alternatives and why? Three Alternative Strategies: EDLP E-commerce Strategy To keep its competitive advantage, Walmart needs
What is the recommended strategy for walmart from the alternatives and why? Three Alternative Strategies: EDLP E-commerce Strategy To keep its competitive advantage, Walmart needs to enter into the e-commerce space while keeping its everyday lost cost pricing strategy. The key to competing in the e-commerce space is to use its strong distribution network to ship products to customers just as fast as its competitors. Customers can also utilize their brick-and-mortar stores to order online and pick up within the same day. Supply Chain Rapid Change in Consumer behavior Walmart employed thousands of trucks to go to suppliers rather than the suppliers coming to the store, cutting down costs During the global pandemic, COVID-19, there was a huge shift in consumer behavior as consumers were forced to stay home. With competitors like Amazon running low on inventory, this gave Walmart the opportunity to take advantage of gaining an online presence through their online grocery pickup, which accounts for 300 percent growth rates in 2020. Brand Recognition Sustainability Walmart began its effort to become a sustainable brand by working with The Sustainability Consortium in order to eliminate greenhouse gas emissions from its global supply chain. Walmart implemented the Sustainability Index where all of their suppliers were ranked from best to worst on how sustainable their products were. Based on the suppliers' ranking, Walmart will make the decision to purchase the most sustainable products and sell them to their consumers in stores. Walmart did not invest in long-term supply contracts with suppliers, however, suppliers invested significantly in long-term contracts with Walmart despite no guarantee that Walmart would meet the agreements on the contract. This gave Walmart power over its suppliers and a competitive advantage
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started