EssaysForStudent.com - Free Essays, Term Papers & Book Notes
Search

Walmart Case Study

By:   •  Case Study  •  1,094 Words  •  November 24, 2009  •  1,240 Views

Page 1 of 5

Essay title: Walmart Case Study

Background Information

Ш Wal-Mart Inc.

Corporate Headquarters

· 702 Southwest 8th street

Bentonville, Ar 72716-8001

Top Executives

· President and CEO: H. Lee Scott

· Chairman of the Board: S. Robson Walton

· Chairman, Executive Committee of the Board: David D. Glass

· Chief Financial officer & Executive Vice President: Thomas M. Schoewe

Industry

· General Merchandise, SIC code: 5399

Divisions

· Wal-mart stores

· Sam’s Club

· International

Major Products

· Hardware

· House-wares

· Auto Supplies

· Small Appliances

· Domestics

· Grocery

· Candy

· Tobacco

· Pharmaceuticals

· Electronics

· Health & Beauty Aids

· Sporting Goods

· Toys

· Stationary

· Jewelry

· Shoes

· 1-hour Photo

Major Competitors

· Target

· Sears Roebuck & Co.

· Kmart

· Costco Wholesale

Most Successful Wal-mart Brands

· Ol’ Roy

· Great ValueТ

· EquateТ

Financial Analysis

Ш Profitability

Wal-mart experienced sales growth of 20% in the fiscal year of 2000. This impressive increase is a direct result of the companies expansion program. Wal-mart has also acquired a few international stores, which are doing very well and adding to the companies’ profit. As the table shows wal-mart is no stranger to climbing profits, in fact wal-mart has managed to increase sales by no less than 12% (typically more) each year for 11 consecutive years.

Year Net Earnings Net Sales Profitability

2000 $5,377 $165,013 0.0326

1999 $4,430 $137,634 0.0322

1998 $3,526 $117,958 0.0299

1997 $3,056 $104,859 0.0291

1996 $2,740 $93,627 0.0293

Ш Analysis

Ш Liquidity

Wal-marts’ liquidity has been decreasing since 1996, which is a good sign from a growing company.

In 2000 wal-marts liquidity dropped off drastically, this is on account of their expansion projects. They are willing to take some short-term risks, because they are very confident it will pay off down the road. A lot of wal-marts’ money is being pumped into the super centers and also financing the over seas expansion.

Year Current Assets Short-term Debt Liquidity

2000 $24,356 $25,803 0.9439

1999 $21,132 $16,762 1.2607

1998 $19,352 $14,460 1.3383

1997 $17,331 $11,454 1.5131

1996 $15,338 $9,973 1.5380

Continue for 4 more pages »  •  Join now to read essay Walmart Case Study and other term papers or research documents
Download as (for upgraded members)
txt
pdf
Citation Generator

(2009, 11). Walmart Case Study. EssaysForStudent.com. Retrieved 11, 2009, from https://www.essaysforstudent.com/essays/Walmart-Case-Study/13261.html

"Walmart Case Study" EssaysForStudent.com. 11 2009. 2009. 11 2009 <https://www.essaysforstudent.com/essays/Walmart-Case-Study/13261.html>.

"Walmart Case Study." EssaysForStudent.com. EssaysForStudent.com, 11 2009. Web. 11 2009. <https://www.essaysforstudent.com/essays/Walmart-Case-Study/13261.html>.

"Walmart Case Study." EssaysForStudent.com. 11, 2009. Accessed 11, 2009. https://www.essaysforstudent.com/essays/Walmart-Case-Study/13261.html.