Internal Analysis Essay Example | Topics and Well Written Essays - 1000 words

Internal Analysis - Essay Example rategic ways on how Wal-Mart can make use of its strengths in order to take advantage of its opportunities within its external environment will be thoroughly discussed. In the process of discussing some ways wherein the company could experience continuous business growth, recommended ways that could make Wal-Mart strengthen its weaknesses and avoid unnecessary external threats will be provided. For the conclusion, whether or not it is possible on the part of Wal-Mart to strengthen its position in the market will be defended by an argument. As a retailer, Wal-Mart has successfully established a strong brand name over the years. By selling consumer products at relatively low prices, the company managed to have the biggest market shares throughout the retail industry in the United States. (Bianco & Zellner, 2003) Due to the excessively large size of the company, it becomes very difficult on the part of its purchasers to maintain the availability of some of its product within the store outlets. Because of the weak purchasing network that causes insufficient supply of T-shirts in some of Wal-Mart’s retail store outlets during the second half of 2007 (Bianco, 2007), the company experienced a huge business opportunity loss. Aside from having a weak purchasing network, Wal-Mart’s growth strategy was reported to become inefficient since 2005. (Bianco, 2007) Basically, the rapid business growth that the company has achieved over the past few years enabled Wal-Mart to capture as much of its target market. For this reason, it becomes very difficult on the part of the company to use the same growth strategy in the near future. Even though the overhead costs of Wal-Mart significantly increased from 16.4% in 2000 up to 18.6% in 2007 (Bianco, 2007), the company is often being accused of underpaying its employees with low salary of US$8.23 per hour or US$13,861 each year (Bianco & Zellner, 2003). Having the idea of following the retail store structure of European