Comprehensive Strategies for Wallmart
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Comprehensive strategies for
Wal-Mart:
Wal-Mart should use market development strategy to enter the Pakistani market. As the population of Pakistan consist of 17 billion people and most of the people belong to low-middle income group. Wal-Mart is well known for its low cost strategy and has a large range of products. They can use these strengths in an effective manner to take the advantages from the opportunities exists in the market of Pakistan.
Wal-Mart has a successful management style all over the world, which they can even continue in Pakistan. They can empower their employees to increase their performance and increase motivational level.
Wal-Mart has developed a strong and efficient information technology network. They can implement these practices even in Pakistani market e.g. using the point of sale scanning, and Electronic Data Interchange have been already introduced in the Pakistani market, so it will not a major concern for Wal-Mart to think.
They can use their decentralized pricing strategy according the circumstances to meet the local market conditions in order to capture market share. The main edge Wal-Mart can have in Pakistani market is that there is a very limited range of competition from other mass merchandisers in the market.
Although it will be not easy for Wal-Mart to have a large number of quality suppliers in Pakistani market but they can establish long term relationships with some major suppliers e.g. P & G, Unilever and they can evolve into partnership with some suppliers to share information to improve their performance level.
Marks and Spencer:
Pakistani market would not be appropriate for Marks and Spencer to expand internationally. Marks and Spencer deals in high quality textiles and food items, whereas Pakistan is a third world country and there are very limited people who care about quality as compare to price. Recently, Marks and Spencer entered in USA and Canadian market and they have a lot of path to cover and to get success in these regions.
Marks and Spencer is used to initiate process control and testing at the point production, which lacks in Pakistan due to very limited suppliers. Its also difficult for Marks and Spencer to establish full-scale cold supply chain system in Pakistan.
Marks and Spencer is considered as status brand with the name of St. Michael which is much unknown in Pakistani market.
The opportunity to enter in Pakistan I market through acquisition or joint venture can not be avail as the local retail stores do not meet the desired specifications followed by Marks and Spencer.
They should focus on USA and Canadian market first where they already have made heavy investment and where there is still a room to improve their strength and capture more market share.
Ikea:
Pakistan has huge furniture