Wal-Mart's Business

Wal-Mart's Business

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Introduction to Business

January 3, 2012

Abstract

This paper explores the four components of Wal-Mart's business from research conducted online through the internet. I will use a variety of information from 3 different websites to include: CNN Money, The New York Times, and Wal-Mart Corporate. The paper will discuss how Wal-Mart operates as a business worldwide, growths and profits of Wal-Mart, strategic creations of its business environment, and how Wal-Mart plays a huge role in the world's economy.

Wal-Mart's Business

Wal-Mart operates their retail stores throughout the entire world. Wal-Mart Incorporated operates in three different segments which consist of: Wal-Mart U.S. (1969), Wal-Mart International (1991) and Sam's Club (1983). Sam Walton, a business man and entrepreneur, founded Wal-Mart and Sam's Club. The first Wal-Mart was opened for business in 1962 in Rogers, Arkansas. Although it was once just a small business in Arkansas it is now known around the world. The stores became the first "supercenter" in 1988 and are now considered a "one stop shop" allowing customers to buy groceries, get an oil change, and shop for personal attire all in one location. The business is believed to be one of the most convenient retail stores to ever exist. A common nickname for the store is "Wally World".

Wal-Mart became incorporated on October 31, 1969. It was operating 38 stores with over 1,000 employees in America and sales for 1970 estimated at $44 million. On Wal-Mart's 25th Anniversary the company was operating 1,198 stores with 200,000 associates and sales topped $16 billion. In January 2011, Wal-Mart reported $15 billion net income on a $422 billion of revenue. It is clear why the company was ranked number two in the Fortune 500 in the year 2009, previously holding number one rankings. In 40 years the company went from $44 million in sales to over $422 billion in sales. It is obvious to everyone in America how successful Wal-Mart stores are and the amount of money the business profits.

The business environment that Wal-Mart Stores compete in can be very wide ranged. Grocery stores, automotive shops, pharmacies, gardening, electronics and clothing stores are all examples of businesses that can be impacted by a Wal-Mart's presence. It is clearly obvious that the company exhausts a lot of time, money, and research to ensure success.

Wal-Mart Incorporated employs a full-time team that consists of researchers;