6 - 7 Essay Example | Topics and Well Written Essays - 250 words

6 - 7 - Essay ExampleStrategy is done through the application of Porters 5 force model to reduce supplier power, which enables them to price their goods at a lower price than competitors in the market.One of the factors that have also helped Wal-mart is innovation and change management. With an embracement of change through creative ideas, Wal-mart is able to outride before other competitors by continually changing their strategies to fit the market. As already mentioned, using a business model based on cost leadership has also helped Wal-mart. This strategy helps them manage their suppliers and dispense business risks with them, thus reducing costs and ultimately the final price faced by the customer. However, notwithstanding the market leadership enjoyed, Wal-mart has continually lost customers to its competitors who have attractive prices and better convenience. This can be link to problems of managerial capability, which can be overcome by innovation. Wal-mart needs to stop focusing a muss on meeting shareholders needs and instead focus more on customers