Wallmart Business Case Study
Essay by lucky 29 • June 24, 2018 • Business Plan • 1,380 Words (6 Pages) • 945 Views
Essay Preview: Wallmart Business Case Study
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Walmart Entry Strategy
By: Sidiq Vidyasto
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Executive Summary[pic 3]
Walmart is one of the US multinational companies. The business has considered Indonesian market as the next target. Therefore, the key opportunities and the potential for this case will be conducted to run the strategy to enter the market.
Indonesian Retail Industry is predicted to grow until US$ 1.07 Trillion target and its business strategy has shown some similarities with Indonesian retail market. Based on the
analysis, the potency of Walmart in Indonesia is relatively high.
While putting cost of time, Indonesian’s geography structure, the marke related to retail industry, acquisitioning local retail company is recommended as the entry strategy. In addition, In-store and non-store retailing should be put into consideration as the store type.
The business needs to adapt with the organizational culture, employee’s
management system. The business strategy needs to alter the sales strategy, pricing strategy and
marketing strategy into Walmart’s needs.
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Indonesian Retail Market Has Shown Potential Business Growth that is Suitable to Walmart’s Target
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Indonesian Sectors that offer US$1.8 trillion | |||||||||
2012 | Indonesian Current Market State | business opportunity by 2030 | |||||||
• | 16th | largest economy in the world | |||||||
• | 45 million | members of the consuming class | Private | ||||||
• | US$ 0.5 trillion market opportunity in consumer service, agricultures, | 40 | 30 | 7.2 | |||||
Education | |||||||||
fisheries and education | |||||||||
• | 53% | of the population in cities producing 74% of GDP | Resources** | 270 | 200 | 7.0 | |||
• | 55 million | skilled workers in Indonesia | (SDA) | ||||||
Agriculture | 450 | 310 | 6.0 | ||||||
2030 | Indonesian Future Market State | and fisheries | (US$ Billion) | ||||||
• | 7th | largest economy in the world | Consumers/ | 1070 | 810 | 7.7 | |||
• | 135 million | members of the consuming class | Retail | ||||||
- US$ 1.8 trillion market opportunity in consumer service, agricultures,
fisheries and education | Total | 1830 | 1350 | 7.3 | ||
• | 71% | of the population in cities producing 85% of GDP | (US$ Billion) | |||
• | 113 million | skilled workers in Indonesia | ||||
Project Growth 2010/11-30 (US$ Billion) | ||||||
Compound annual Growth rate, 2010/11-30 (%) |
**)Only Include upstream energy market Source: McKinsey Global Institute
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