Give arguments to support the statement that Walmart has achieved good strategic fit between its competitive and supply chain strategies. What challenges does it face as it works to open smaller format stores in urban environments

Answers:

The best argument to support the statement that Walmart has achieved very good strategic fit is their success as a company.

Explanation:

Competition today is supply chain versus supply chain, not company versus company, so a company’s partners in the supply chain often determine the company’s success.

Walmart’s strategic focus on cost is evident in their competitive, product development, supply chain, and marketing strategy.

Their marketing strategy of advertising every day low prices appeals to consumers and does not disrupt the supply chain by causing surges in demand.

Walmart’s logistics and information systems are famous for coordinating their entire supply chain and allowing it to meet customer needs at minimal cost.

As it opens smaller format stores in urban environments, Walmart will need to ensure that its supply chain capabilities support its ability to satisfy the needs of the many new customers in these new stores. This could result in marketing challenges. Smaller format stores offer less space for storing and displaying merchandise, which could result in lower product availability and could lower Walmart’s profits due to inability to meet customer demands.

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