Business Finance Homework Help

The Walmart external environment significantly affects the decisions a firm makes, and thus must be continuously evaluated. For example, during the economic downturn in 2008–2009, businesses found that many competitors cut the prices of their products drastically.

Wal-Mart makes sure that the products they sell are proven to cause very less harm to the environment. Wal-Mart has developed certain regulations on what type of product they will sell in their store. Wal-Mart has also introduced better waste management systems that aim to reduce pollutants and provide a cleaner environment for the future. Wal-Mart makes sure that its waste system is developed to prevent any mistakes from the personnel.

Potential Entrants

Wal-Mart has been around for a quite some time and the company is not much affected by the new competitors and entrants. The influence of potential entrants to the company is not so strong. Any new entrant will not get the clients unless they are able to provide different innovative strategies that can divert Wal-Mart consumers to ward them and they take the position of the Wal-Mart.

Competitive rivalry

Competitive rivalry has less influence on the company as Wal-Mart has very limited competitors and in their industry and because of that they cannot give problems to the company because Wal-Mart has already acquired a high percentage of the consumers.

Class,

When first reading the question for this week I had to really think about how to answer this. First, what is external environmental scanning? It is a process in which we gather information about events and their relationships within an organization’s internal and external environments, according to; Strategic Management: Formulation and Implementation, Environmental Scanning, (2018). https://www.strategy-formulation.24xls.com/es127.

The company I had in mind for this is The Home Depot. They have accomplished many things and have overcome obstacles of all types in just 40 years of business. What influences the companies executive team? What motivates them to be more successful than there competitors? What drives the company to make the choices that they make? These answers are what influences their strategic planning and they are what keeps executive leadership separate from general management.

The Home Depot is a transformational company that invests in strategy and extends its market leadership into the homes of the retailers investors, while searching for priority strategy and implementation. Its internal factors include the forces that drive the business’ day to day operations. If it can run smooth and operate without casualties in their system, they can keep the business rolling. Keeping a LEAN strategy of processes helps to create an environment that is easy to operate. They look at how to make purchasing easier for external customers and internal customers. The Home Depot wants to provide its customers as well as its employees a creative and safe environment for everyone and strive to beat the competition at being the most efficient and accommodating.

References:

Strategic Management: Formulation and Implementation, Environmental Scanning, (2018). https://www.strategy-formulation.24xls.com/es127

Regards,

Justin C. Pape