Wednesday, 12 November 2014

What is the future of Walmart?




Wal-Mart Stores, Inc. is branded as Wal-Mart. Wal-Mart is an American multinational retail store company which is engaged in operating one of the biggest store chains of large discount department stores and warehouse stores. The company has proved to be a tough competitor for Amazon, Target, and EBay etc. in the market. Despite of the fact that company does not offer the least prices when compared to Amazon, it is trying to catch up with Amazon for its survival. Despite of cutting back on prices, the company has been struggling in recent times.
Since the time of recession and inflation, the company has had a very rough phase as sales growth has been harder and harder to come by for WMT Stores. Fool.com reports “Whether due to high gas prices, stagnant wages, or cutbacks in the SNAP food stamp program, comparable-store sales have stayed stubbornly near the flat line for the past couple of years.” However the main question is what is the future of Wal-Mart? Can the company rejuvenate its business in the near future? Or will it be too hard for the company?
A well reputed journalist of Fool.com said “Wal-Mart has not delivered the goods lately for investors, but its entry into grocery delivery just may be what turns it around for the king of retail. After seven consecutive quarters of falling traffic in U.S. stores, Wal-Mart cut its earnings guidance for the full year and said growth in online sales would slow.” But the company believes that introducing online grocery shopping might re-boost the sales of the company with both in-stores and home delivery options available.
It is still hard to either predict or expect anything from Wal-Mart as their current progress and status does not lead anywhere. Whether the company will flourish in the near future or it will still be struggling to keep up with the market pace.

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