Wal-Mart Goes Online Real World Case Page 126. Wal-Mart.com Accounts for 10% of Wal-Mart’s U.S. sales. Targets households with $25,000 in annual income.

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Presentation transcript:

Wal-Mart Goes Online Real World Case Page 126

Wal-Mart.com Accounts for 10% of Wal-Mart’s U.S. sales. Targets households with $25,000 in annual income. Matured in 2002 Wal-mart.com

Where is this company going? Planning to open 50 new discount stores, new Super centers and new SAMS CLUB just in the U.S. Locally Super center planning to open Feb. 15, New Discover card coming out.

Financial Situation port_2004.pdf port_2004.pdf

Competitors of wal-mart.comwal-mart.com Amazon.com Able to sell your own items. Has a web search. Has other websites attached to it. Can shop from anywhere. Target.com Can print off grocery coupons. Able to see the weekly ad. Has product rebates on site. Fundraising information on site.

Questions 1. Compare wal-mart.com with amazon.com. What features do the sites have in common? Which are unique to wal-mart.com? To amazon.com?

Questions 2. Will wal-mart.com become the dominant e-tailer in the world, replacing amazon.com? What factors would contribute to its success in the online marketplace? What factors would detract from its ability to dominate online sales the way it has been able to dominate physical retail sales in many markets?

Questions Perform a strategic analysis of wal-mart.com. Who are its competitors, customers, and suppliers? What is its relative strength or power in each of these relationship? What is its distinctive competence? How much of its strength is borrowed from its knowledge of physical stores?

Questions Visit wal-mart.com, target.com, marksandspencer.com, and sears.com. Identify the common features of their online marketing and at least one unique feature evident at each site. Do these sites have to distinguish themselves primarily in terms of price, product selection, or Web site features?