Strategic Analysis Paper Research Example | Topics and Well Written Essays - 1500 words

Strategic Analysis - Research Paper Example Higher growth is positively related to rise in production by the company’s factory (Bloom and Perry, 379-396). Changes in the market interest rate also affect Wal-Mart’s earning per share. Earnings of Wal-Mart also experienced a fall due to the prevailing currency exchange rates. Wal-Mart is always affected by a strong dollar. The company also can significantly explain deflation. The products at Wal-mart are generally priced very low. The sellers experience a cost cutting scenario. So to reach the targeted price level, Wal-Mart influences the price mechanism which leads to deflationary pressures in the economy (Basker, 203-229). Wal-Mart is the largest retailer and thus its business operations are certainly influenced by various global forces. Global outsourcing has a huge impact on Wal-Mart’s Business. The purchasing power of the United States is greatly influenced by this retailer. Factors of production prevailing in the global markets also indirectly affect Wal-Mart. Production reformation all over the world has forced the global retaining giant to modify its own production structures (Basker, 203-229). Technological forces are vital for Wal-Mart’s success. Consumers prefer transacting via the internet and thus the retail market, particularly Wal-Mart, has seen a rise in its sales with the rise in the use of internet by consumers. Wal-Mart has always adopted innovative strategies of marketing through advertisement on their own website and different social media. The technological factors ensure that the targeted customers are identified easily. Wal-Mart has designed various policies and schemes with the help of the advanced technology to reach its customers (Singh, Hansen, and Blattberg, 457-476). Wal-Mart’s profitability is affected by demographic factors. The structure of population greatly influences business operations of Wal-Mart. The stores of Wal-Mart are set strategically to cater to all kinds of customers; key customers are