Doe has held a sales position with U S West Inc. since then. Mr. Doe graduated from the University of Colorado in 1981 with a bachelor’s degree in philosophy. Mr. Doe is employed by the Company on a full-time basis.
Joe Dokes, Secretary, Executive Vice President and Director. Mr. Dokes supervises the company’s sales and implementations to its largest corporate customers, including US West, Great West Life Insurance, etc. Mr. Dokes has served as Secretary and a Director since February 1988, Vice President of Operations from February 1988 to December 1988, President of the Company from December 1988 to January 1990 and Vice President of Contract Sales since January 1990. He has been involved since 1986 with the private company originally formed as Random Excess, Inc., where his duties included managing the purchasing and sales department. From November 1984 to May 1986 he managed the sales department at Integrated Management Systems, Inc. From June 1983 to October 1984 he was a buyer for Adams County, Colorado, School District 50. Mr. Dokes attended Oklahoma State University in 1980 and 1981 and Trinidad State College in Trinidad, Colorado in 1981
and 1982. He did not receive a degree from either university. Mr. Dokes is employed by the Company on a full-time basis.
Sally Seaugh Vice President of Marketing. Ms. Seaugh has been the Company’
s Vice President of Marketing since November 1988. From September 1986 to October 1988 she was involved in business development and marketing for United Bank of Aurora (Colorado). From February 1980 to August 1986 she was self-employed as an independent oil and gas landman. Ms. Seaugh graduated from the University of Denver in 1974 with a bachelor’s degree in Education. She is employed by the Company on a full-time basis.
John Q. Doe, Chief Executive Officer - Responsible for entire operation. Oversees management function and all other executives.
Salary - $60,000.
Richard Roe, CPA, Chief Financial Officer - Responsible for financial operations, accounts payable, accounts receivable, interaction with auditors, investor relations. Salary - $40,000
Joe Dokes, Executive Vice President - Responsible primarily for sales and sales support. Salary - $35,000
Sally Seaugh Vice President of Marketing. Responsible for marketing, human resources and training.
Salary - $30,000.
Total Executive Compensation $165,000.
[This Page is for an Organization Chart, if applicable.]
In [Month, Year] [I/we] formed a [Product/Service] company that manufactured start-of-the-art complex widgetry. This company was located in [City, State].
[I/we] formed this company as a [proprietorship, partnership, corporation]. Others involved in this business were: [names].
The main goal of this company was to [explain].
Financing was arranged through [home equity loans, savings, venture capital, friends and family, etc.]
[Explain terms, rates and ability to repay.]
This venture was very successful in generating and increasing sales, but was not effective in achieving profitability. The main reason for this was the amount of actual overhead experienced. This overhead was not initially anticipated by me at the beginning of that venture. Items including credit checking, warranty program management, extensive travel, maintaining warehouse stock and the management and expense of a national sales force were expenses not originally forecast or expected. With this level of overhead, it was mathematically impossible to achieve profitability.
Wal-Mart Business Planning
1. Company profile
2. Analysis of strategic environment
Exterior circumstance analysis
Internal circumstance analysis
c) Core competitiveness
d) SWOT analysis
3. Strategy plan
a) The business layer strategy
b) Differentiation strategy
4. Developments in China
a) Difficult to reduce cost of logistics system
b) No obviously advantages on Information system c) Ignore localization more times
5. Suggestions on improvement
a) Know more about Chinese market and do some changes b) Clamp down on the logistics distribution center
1. Company Profile
Wal-Mart is the world's largest retailer. In 1962, Sam Walton and his brother opened the first Wal-Mart in Arkansas Rogers. Wal-Mart made a very unique business idea that using low prices, friendly service to win the favor of customers. With Wal-Mart expanding, Wal-Mart's business philosophy and marketing strategy has been further improved. We can say that Wal-Mart can achieve such great success with their supply chain environmental science procurement management.
2. Analysis of Company Strategic Environment
1. General environments
a) Population environment
It seems that on the macroeconomic environment, the global population is still rising, especially for developing countries such as China. In Nanjing, rapid population growth and the increasing number of population, at the same time as the improving process of urbanization; the urban resident population was concentrated trend. Growing population and the centralization of the population living environment provide huge opportunities for the retail industry.
b) Economic environment
Chinese government provides peaceful developing environment and a proactive fiscal policy, making the Chinese economy was steady and fast development. Meanwhile, the per capita purchasing power has increased and people's living standards have become increasingly demanding which makes people have increasingly high levels of consumption. So, going shopping in Wal-Mart has become a usual appearance.
c) Social and cultural environment
Wal-Mart emphasize the concept and value that All for One and One for All.
Wal-Mart thinks their biggest bosses are customers and standing in the customer point of view to put forward some concepts that Everyday Low Prices, Three Meters Smile, and 200% Satisfaction Principles. Three Meters Smile means acquiring workers to smile to customers who are standing in 3 meters away from you. The company also regulates the workers must be patient to answer the questions from customers. Workers mustn’t say “Sorry, I don’t know”. High qualities of social and cultural environment retain a large number of loyal customers for Wal-Mart.
d) Science and technology environment
Development of science and technology, especially the development of network technology to speed up the process of the retail development, advanced science and technology makes remote communication, logistics applications, information collection; data processing becomes possible to improve the work efficiency. For example, Wal-Mart achieved turned into the first one that in 24 hours to realize a global logistics network computer monitoring, so purchasing inventory, ordering, distribution and sales integration, reduce a lot of unnecessary waste of time, speed up the logistics cycle in China.
e) Global environment
Global economic integration develops transnational trade, and promotes the development of world economy. Wal-Mart can have a bright future in Nanjing, China.
2. Business Environment
a) Substitution threat
Alternative means of other products with the same functionality. The price of alternative products is generally low when it is put into the market. Then, it makes a specific market price cap only at a low level, which limits the yield of specific markets. For Wal-Mart among the retail industry, it faces major alternatives is the vigorous development of the catering industry.
With the improvement and the accelerating pace of life, more and more people choose to buy fast-food which provides a high quality service and delicious, such as KFC. It is a shock for the retail supermarkets although Wal-Mart to take everyday low prices strategy, but could not escape.
The rapid development of the network
More and more Youngers are willing to spending time on shopping online. They can buy what they want without going out. It is also a shock for Wal-Mart.
b) The bargaining power of suppliers
Purchase part of Wal-Mart is taking direct purchases from factories, purchasing in a union and help suppliers to reduce costs and other ways to reduce the purchase cost, relative to other companies, Wal-Mart has been very successful in this regard.
1） Purchase directly from the factories.
Many businesses take the consignment mode of operation, in order to avoid business risks. However, Wal-Mart has implemented policies directly outright purchases, but also for the payment settlement in fixed time rather delaying. The average period is 29 days in Wal-Mart, but Kmart competitors need 45 days. According to Wal-Mart's own statistics, Wal-Mart implemented to the manufacturer direct purchases of strategy to reduce procurement costs by 2% -6%.
2） Unified purchase cost
Wal-Mart takes a central procurement system, and trying to be implemented by the headquarters of unified purchase, especially those of high-profile sales of goods worldwide, such as Coca-Cola, Kodak film. Wal-Mart's general make contracts within a one-year time, due to the huge number, its prices are much higher than obtained counterparts.
3） Auxiliary suppliers to reduce product cost
Wal-Mart's help suppliers to improve qualities reduce labor costs and share Wal-Mart's information systems, ancillary providers to achieve the lowest cost, thereby improving yield.
c) Buyers' bargaining power
Everyone will compare prices in Wal-Mart with those in other markets. Consumers are sensitive to prices. However, when we go into Wal-Mart, we will see their cheapest price in a marked position. So, Wal-Mart stands out from the numerous retail enterprises.
d) Competition among existing enterprises industry
1） Competition in the domestic market
Retail trade, domestic famous brands are Shanghai Lianhua, Hualian, Brilliance, Su Guo, Era, etc., it is very competitive, eager to make the leader in the retail industry in Nanjing, China.
2） Competition in global market:
Since China start to follow the reform and opening policy in 1978 , China has developed a lot and successfully became a member of WTO in 2001. More and more foreign companies pay attention to Chinese market like Metro、Tesco etc. The foreign retail businesses have already take a market share of 60% and these giant companies are still trying to expand in China. Undoubtedly, we have to face the fierce competition.
e) Competition Environment
To Wal-Mart, our competitors mainly are Metro and Carrefour. Take Carrefour as an example. In 2003, Carrefour earned ￥77.61 billion in China while Wal-Mart only earned ￥37.23 billion. The competing situation is quite hard to us.
Internal Environment Analysis
(1) Tangible resources
From the table above we can see that Wal-Mart as a worldwide retail business company, it owns abundant capital. Also, the company has special capital arrangements to specific markets. In China, Wal-Mart uses a low-cost strategy to get a large amount of profit. The chart shows that Wal-Mart-in-China keeps expanding to a larger scale every 10 years.
Wal-Mart’s Development in China
Wal-Mart uses the department system organizational structure. There are four departments in the headquarter which controls shopping malls、Sam’s club、International Business and logistics business respectively. The two departments which are in charge of the management of shopping malls and Sam’s club directly control the events of site selection、inventory、selling、advertising etc. 3）Nature resources
When Wal-Mart begins to expand, it ensures that the distribution center can deliver goods to the store in one day. So, the site selection of the distribution center should be careful considered in order that the center would be able to send goods to
stores around it.
Each store should form a investment center so that its performance could be judged by the rate of return on investment. All the data of sales and costs can be collected、transferred and analyzed through the Internet. Even the analysis of a category in a specific department can be available.
The most special advantage of Wal-Mart is staff’s spirit of sacrificing and spirit od cooperating. Wal-Mart is benefit by the human resources strategy: “Retain people, develop people, attracting people”. Wal-Mart treat workers as partners and consider them as Wal-Mart’s most cherished resources.
The success of Wal-Mart depends on innovations. Wal-Mart is the first retail business company to connect developed science technology to logistics system. In 1970s, Wal-Mart started to use computer science technology to conduct management; In 1980s, Wal-Mart spent $400million on purchasing commercial satellite and realized global networking; In 1990s, Wal-Mart used GPS to control the logistic and raised up the efficiency of delivery.
3) Reputation resources
Wal-Mart is spending less and less on advertisement but donates a lot to charities in China. After the earthquake in Yushu China in 2011, Wal-Mart donated ￥7million to help schools in Yushu to rebuild school libraries. Wal-Mart has built a good brand image and attracts a lot of clients and customers.
1）High speed distribution center
Wal-Mart promises that the time needed to deliver goods from distribution center to any store will not beyond 48 hours. Wal-Mart stores can get two replenishments per
week on average. Wal-Mart can save inventory costs by reducing inventory. Wal-Mart’s delivering system provides efficient distribution center、high speed transportation system、advanced satellite networking and chain-store operations.
2）Effective information collection system
The system can help to check all kinds of goods’ information including inventory、putaway and quantity of sale in 3000 stores in China. The global networking system will provide newest information to the distribution center and find out the best routine to deliver goods.
C) The core competitiveness
Wal-Mart's core competitiveness lies in its good business philosophy and corporate culture, mainly reflected in the following five aspects:
1） High-volume and low-margin business
Wal-Mart buys products directly from the factory. It bypasses middlemen and rules out manufacturer's sales agents from trade. At the same time, it will purchase price reduced by 2% - 6%, which equivalent to a sales agent commission amount. If a manufacturer does not agree, Wal-Mart refuses to cooperate with it.
2） Customers’ satisfaction
Many Wal-Mart stores are hanging their slogan: "Firstly: the customer is always right; secondly: if there is doubt, please refer to the first." They always put the customer first, and adhere to the "ten feet attitude" : "I solemnly promise and declare, for customers’ who are in my ten feet within the scope of each , I will look at them with smile, and say" hello "to them, just like Sam" .Wal-Mart requires employees that: "To customers, please show your eight teeth."
3) Continuous innovation and the pursuit of excellence
At the technical level, Wal-Mart actively invests for retail information system. It is the first one to use the computer tracking inventory, the barcode, the EDI, and the wireless scanning gun. In the aspect of management, Wal-Mart constantly explores new retail mode to adapt to the changing requirements of consumers.
4）Respect for the individual
Wal-Mart’s employees are not referred as "employees", but "partners" or "colleagues". Although there is a clear division of responsibilities at all a level for the staff, there is few discrimination.
5） Pay attention to long-term interests.
Through the establishment of loyalty beats rivals, Wal-Mart and suppliers do respect each other, and form a mutually beneficial long-term partnership.
D) Wal-Mart SWOT analysis:
1）Wal-mart is a well-known retail brand and it has good corporation and brand image. Consumers can experience the "one-stop" service;
2）Wal-mart provides high quality and cheap goods.
3）Wal-mart provide parity and diverse products, powerful logistics system and the advanced IT technology;
4）The humanized management is included in Wal-mart. The firm attaches great importance to the human resource management. And the enterprise treats employees
as partners and best talents;
5）Wal-mart have the best suppliers in the world and is trying to get better price
through their own procurement.
1）The strength of control is not strong;
2）Due to product diversification, Wal-mart does not have specific advantages
and relative to other competitors products, it is less flexible.
3）The globalization is not enough. The market is expanded at only in a handful
1）Cooperate with other retail business companies through purchasing、merger and strategic alliances;
2）Focusing on specific markets, such as Europe or the greater Asia regions.
1）Become the target of other competitors;
2）Globalization strategy may involved it in political problems;
3.Corporate strategic planning
The business strategy
1）Cost leadership strategy
Wal-Mart attracts customers with high quality and low prices, goods are the high
quality of service to customers. Customers don't have to wait for sale discount season
to buy goods and can achieve the purpose of saving money.
2） Low price stock, and reduce operating costs. The height of replenish owner's
stock, and inventory management, the company can quickly grasp sales situation and market demand trends which accelerate the utilization of capital turnover, reduce the storage cost.
3） Compress advertising expenses. Wal-Mart do only a few times a year on the media advertising and they think the company's high quality cheap goods is the best advertising.
4） Pay attention to the cultivation of ethos diligently to the worker. Thrift, put an end to waste, and start from scratch make Wal-Mart goods attrition rate is only 1%, and the retail average attrition rate is 2%, so that Wal-Mart is in the lead on cost.
5） Price. Wal-Mart managers have a meeting every Friday morning to study the commodity price level. If a report that a commodity in other goods in other shops, the price is lower than Wal-Mart, the meeting can decide the price to guarantee the lowest price of the same goods at Wal-Mart .
Wal-Mart used low cost leadership strategy successfully, and won in retail competition.
1）The retail price of differentiation. Wal-Mart identified that the "target customers" is the social middle class customers at the beginning. Stores in order to “everyday low price” are the management orientation.
2） Differentiation of after-sales service. Wal-Mart's principles are: customers first, the sun goes down, three meters smile to meet and exceed expectations, and unconditional refund.
3） Differentiation of corporate culture. Wal-Mart, the essence of enterprise culture is that: "customer is god", "respect for employees", "the pursuit of excellence". Customers’ support, the efforts of the staff, and the positive enterprising spirit are the myth of Wal-Mart.
4） The differentiation of business technology. Efficient logistics distribution center and modern scientific means, such as effective information collection system for Wal-Mart, provide powerful technical guarantee.
Wal-Mart stores are in many countries. In addition, it also actively carries on the localization to go into overseas markets. At the same time, in Wal-Mart's "everyday parity" slogan, the internationalization of Wal-Mart made a great success, and eventually fully staffed retail boss.
Wal-Mart is an enterprise which I am very interested in .Through the full text analysis; I had a deeper step for Wal-Mart's corporate strategy. To the knowledge of the book, I believe that there is still a long road, and there are more things I need to go to mining
4. Developments in China
a) Difficult to reduce cost of logistics system
Originally, highly automated logistics system under the synergy of efficient information system is the effect of Wal-Mart minimizing inventory and in transit time, effectively compress the operating cost, the order of distribution center from the shop to the manufacturer and delivery as long as two days, which play a key role of this system is the highway extending in all directions and Wal-Mart in the United States more than 3000 stores and rational layout of the center of the pad man. But Wal-Mart
(China) is a bottleneck. For highway, development level is still very low in our country, to reach the United States until 2035 at the beginning of the year 1950 to 890000 kilometers. This makes Wal-Mart's distribution chain, which increases the logistics costs.
b) No obviously advantages on Information system
Wal-Mart’s leading efficient information system is the worship, which using their selves’ commercial satellite. Wal-Mart is convenient to realize the global networking, information system. Through this network, outlets of each good’s information can be checked again within an hour in 4000 stores around the world. Closely relationship between the internal and external information system can make Wal-Mart and suppliers check daily exchange of sales, transportation and order
information, achieve store sales, orders and matching in sync . In addition, since 1980, we began to force suppliers and its information system; it is also an important factor in Wal-Mart system which can play a role in the United States. The business environment in our country at present stage, however, restraint the advantage of Wal-Mart. Most domestic vendors’ information level is low and Wal-Mart can only get simple data exchange. At the same time, because it is limited by policy, Wal-Mart's satellite communication system cannot play a role in our country.
Background of each logistics system link also can not cooperate closely like abroad and can't play their efficiency. On the one hand, the number of Chinese small manufacturers and wide distribution of factors contributed to Wal-Mart is very difficult to separate deal with manufacturers.
c) Ignore localization more times
Wal-Mart had fantasies in China. It can copy ways in every store from all over the world with consistent business model and cultural ideas, but it often fail. The problem here is that: the system can be rebuilt, culture cannot be simply copied. Because the construction of enterprise culture is not written in the book of the manual, shouting slogans and education meeting, these don’t work. Corporate culture is in the process of development of an enterprise management concept, values and ethics of continuous accumulation. It permeates the enterprise every employee ideas. So the
problem of enterprise culture is the main problem of Wal-Mart management.
5. Suggestions on improvement
a) Know more about Chinese market and do some changes
The successful experience in Europe and the United States is not suitable for China market. Although Wal-Mart in logistics management, procurement of globalization, information, etc., has advanced experience; however, in the grasp of the market, Wal-Mart is lacking a lot. Through investigation and research on the Chinese market environment, consumer spending habits, find shopping services to provide consumers with the breakthrough point, to reposition, dividing their target consumer groups, according to the demand of the target consumer groups, adjust the product structure and business strategy, only such, Wal-Mart can truly achieve the "localization" has been Shouting for many years, can gain a foothold in the fierce competition in the retail market competition.
b) Clamp down on the logistics distribution center
Wal-Mart high-speed logistics distribution is the guarantee of maintaining "everyday parity". In order to realize "everyday parity", logistics distribution is a problem which is inescapable. In China, due to the limitation of objective factors such as the level of science and technology, high-tech support logistics distribution center is difficult to achieve.Wal-Mart can cooperate with China's logistics company to reduce operating costs. On the other hand, in order to reduce operating costs, Wal-Mart also can rely on their own brand strength, changing the commodity brand strategy. By creating a good shopping environment for consumers ,Wal-mart can cultivate loyal consumer groups.＋ 更多类似范文