Analysis of Wal-Mart Stores, Inc.Part IStrategic DirectionMission: Wal-Mart is an American-based discount retail store that implements lower prices will result in higher sales volume, so continuing to provide customers with quality products at everyday low prices will keep our customers satisfied and coming back. Objectives: Short range: · Have 90% of customers leave the store satisfied with their in-store experience. Long Range: · To be the world's largest low-cost store carrying all types of merchandise for all possible consumers. · Maintain strong customer loyalty. · Increase the quantity and type of stores internationally, as is done in the United States. Industry Environment: Porter's Five Forces of CompetitionRivalry of Existing Competitors:· Wal-Mart has a strong competitive advantage over its competitors Kmart and Target.· Rivalry in this industry is not as strong for competitors as compared to Wal-Mart. Barriers to Entry: High because it is difficult to form a large organization that will be competitive at the same size as Wal-Mart with such low prices. This industry has high barriers because it is too expensive for new businesses to enter and be competitive. Substitutes :· Medium because it depends on where you live and what type of Wal-Mart stores are closest to you. · Replacements would go to another grocery store, toy store, hardware store; basically going to specialty stores instead of going to a store that has everything in one, like Wal-Mart can do. POWER of buyers: · Weak because basically prices are low from the start so there would be no opportunity for buyers to bargain with. POWER of supplies: · Weak because Wal-Mart uses its own distribution centers which are located near the its stores. · Wal-Mart is also by far the largest customer of virtually all of its suppliers. His operational reach allowed him to bargain hard with suppliers and get their lowest prices. SWOT Analysis Overall Strengths · Provides customers with low prices every day. · Wal-Mart has various domestic and international stores served by 108 regional general merchandise and food distribution centers. · New stores were usually clustered within 200 miles of an existing distribution center so that daily deliveries could be made conveniently. cost-effective. · Wal-Mart always expands into adjacent geographic areas, saturating each area with stores before moving into new territory. · Quick to imitate the good ideas and merchandising practices employed by other retailers. · Much of the time management was dedicated to talking to vendors, employees and customers to get ideas on how to improve the store.