Marketing communications Essay Example | Topics and Well Written Essays - 2750 words - 1

Marketing communications - Essay Example Furthermore, the report discovered that in 2011, most teens preferred the Blackberry gadget but a majority of adults used and preferred Apple’s products. Amazingly, the same teens who said their preferences lied in the Blackberry had problem being separated from Apple’s products. This is one of the problems the report analyses and intends to address. It will be reported that it is factual in stating that the Blackberry that the aforementioned group loved; on the contrary, there lacked provision of information and promotion of Apple’s product thus making this report a necessity. With the tremendous invention of the Smartphones and the subsequent tight competition, companies dealing with these gadgets are encountering a myriad of challenges. Mostly, the challenges are arising from the strategies with some competitors choosing and applying various tactics in trying to remain afloat in the market. This report was requested by a successful company, - Apple Inc. to be precise- with an aim to provide solutions concerning the Integrated marketing communications strategies. Contained herein are statistics on the usage of Smartphones in some countries as other strategies that Apple Inc. could employ in order to meet its goals. The findings of the UK’s smartphones market have been a result of extensive research conducted and gained from some of the most reliable sites. Integrated marketing communication (IMC) has been defined in various ways but in all these variations, all agree that it involves the strategies developed in ensuring a product is sold in markets. Normally, a company will create these with a sole aim of ensuring that products sales have been boosted and various methods may be used. Some of these methods include public relations, advertising, promotions and in with the current invention, the social media. Different individual son the effectiveness of these strategies

Mitigating Computer Misuse at Work Essay -- Business Management

Computer misuse is a ubiquitous behaviour in many organizations. It has a serious influence on system security which should be considered by every organization. Inappropriate use of computer in workplace is increasing every year and this deviant behaviour has a negative influence on both organizations and employees (Bock, Park & Zhang, 2010). D’Arcy, Hovav and Galletta (2009) mention that 50%-75% security issues have been found from the inside of an enterprise, and a majority of internal threats are relating to individual’s unsafe operation on computer. Therefore, it is necessary for organizations to optimize system security by implementing a rational measure to moderate individual’s unsafe behaviour on computer in workplace. Employees, who play a key role in security protection, need to be helped increase compliance on information security policy. This essay will discuss which is a more effective approach, reward (encouraging employees comply with security polic y and normatively use computer in workplace) or punishment (preventing misuse and insecure operation), though analysing the impact of each mechanism and employees’ reaction to draw a conclusion that punishment is a more effective way than reward to moderate employees’ misuse and unsafe behaviour regarding computer use at work. Admittedly, reward should be a more acceptable policy than punishment for employees. Employees would keep performing well in their work after being rewarded (Patel & Conklin, 2012). According to Gardner and Quigleym (2010), employees, who have been rewarded in their job, will be aroused to have a higher compliance on the purpose of their work. Appropriate reward is directly relating to employees’ working satisfaction. They will be more satisfied an... ...rganisations. European Journal of Information Systems, 18,106–125 Liao, Q., Luo, X., Gurung, A., & Li, L. (2009). Workplace management and employee misuse: Does punishment matter? The Journal of Computer Information Systems, 50(20), 49-59 Myyry, L., Siponen, M., Pahnila, S., Vartiainen, T., & Vance, A. (2009). What levels of moral reasoning and values explain adherence to information security rules? An empirical study. European Journal of Information Systems, 18, 126-139 Patel, P., & Conklin, B. (2012). Perceived labor productivity in small firms—the effects of high-performance work systems and group culture through employee retention. Theory and Practice, 36(2), 205-235 Spitzmuller, C., & Stanton, J.M. (2006). Examining employee compliance with organizational surveillance and monitoring. Journal of Occupational and Organizational Psychology, 79, 245–272

Mandatory Human Chip Implants Essay

The idea of mandatory human chip implants is wrong on so many different levels. Not only is there a major concern about how it will affect the privacy of society, but also how much we don’t know about the adverse effects on the actual human body. Another major concern is the public backlash that can be expected from all religious bodies and communities. This is why we as a society must stand up for what we believe is right, and what is right is that mandatory human chip implants cannot and will not be tolerated. One of the biggest issues with mandatory human chip implants is privacy issues and concerns. Many questions immediately come up whenever the topic arises. What organization or body of government controls the data stored from these chips? Is the information stored in the chip safe and secure? Can my information be stolen and or sold? As of right now the only chip approved for humans in a medical application is the â€Å"Verichip†. The Verichip is a chip comparable to the size of a grain of rice. It is a fairly simple device that consists of only a coiled wire and a hermetically sealed microchip inside a glass casing. It uses the coil as an antenna to create a radio signal that is unique. This unique signal can be transmitted and received to identify a person’s medical records if they are in some sort of dire state in which they could not communicate efficiently.(Foster, Kenneth R. 2007,March) This could save so many lives in the medical field simply by pulling up a patient’s records and receiving this signal. In a perfect world this would work correctly and only for good intentions but, the way we as a society constantly strive to streamline every aspect of our life, where would it stop? The notion or idea is that it would replace driver’s licenses or bank atm and debit cards. Social security numbers, birth certificates, bank account numbers, basically your entire life. As technology continues to grow and advance, how secure can these chips really be? If someone was able to steal your signal they would be able to do so many things with the information stored in it. Your life would be stolen in the blink of an eye. Also, another terrifying realization is if the signal is stolen or locked on to, you could be followed or tracked. This is very unsettling if we cannot be sure how safe this information really is. Would you really want someone  to know where you or your loved ones are at all times? What if some sick individual was watching your child or children? The possibilities are endless in these scenarios. So with no guarantee on how secure the information stored in these chips really is, this is one of the many reasons why there should not be mandatory human chip implants. Another strong arguing point on this subject is health concerns. With these devices being as small as they are, there is not enough data to prove that they are not a health concern. There is lots of data about these chips that should raise some eyebrows, as well as the manner in which they were approved by the FDA. Back in 2005 when the FDA approved human chip implants they claimed with â€Å"†reasonable assurance† the device was safe. The one thing they failed to mention in that claim was that studies going back to the mid-nineties directly links these chip implants with cancer. Many studies and research showed that one in six lab rats developed tumors because of the implanted chip. So how could this slip by the FDA you ask? According to Lewan (2007), well back in 2005 when it was brought before the FDA for approval, the head of the Department of Health and Human Services at the time which presided over the FDA, was a man by the name of Tommy Thompson. Well two weeks af ter the approval of the chip in humans, Thompson left his position at the DHHS to become a board member of VeriChip Corp. and Applied Digital Solutions. Even though it was five months later, he was compensated with cash and stock options from the companies. Can we chalk this up as a coincidence? I don’t think so. With all the facts and research done on this particular subject I find it hard to believe that the FDA did not come across any of this information before approving human chip implants. So with the data already in front of us claiming to link these chips with cancer in lab rats, can we honestly agree to be implanted ourselves? Finally, the thought or notion of human chip implants would cause a huge backlash in our religious communities. Just recently in Virginia, there was a public outcry against mandatory micro-chipping that caused the House of Representatives to vote on the subject matter. Krunkle , (2010) wrote, Del. Mark L. Cole (R-Fredericksburg), the bill’s sponsor, is quoted saying â€Å"My understanding — I’m not a theologian — but there’s a prophecy in the Bible  that says you’ll have to receive a mark, or you can neither buy nor sell things in end times,† Cole said. â€Å"Some people think these computer chips might be that mark.†(p.1) In our society, religion is at times, a very controversial and touchy subject matter between religious communities. There will be millions of people who will become distraught if human chip implants become mandatory. Our country has so many different religious cultures that it would directly effect. Are we r eally ready for the consequences that will follow if this eventually happens? In conclusion, we as a society need to stand up to what we consider right from wrong. So is it wrong to make someone have a chip implanted so they can buy or sell things in order for them to survive even though it goes against their religious beliefs? Or is it wrong for these chips to be approved for humans even though there is substantial evidence that it could cause cancer. The answer is entirely up to us. My conclusion is that yes, it is completely wrong. Not only does it violate our ethical privacy rights as human beings, it also causes so many concerns medically and spiritually. We cannot allow this to come to fruition. We have to stand up for ourselves and our beliefs and say no to mandatory human chip implants to protect our future generations to come. References Foster, Kenneth R (2007, March) The murky ethics of implanted chips. IEEE spectrum. Retrieved from http://pages.cs.wisc.edu/~markhill/cs252/Spring2013/handouts/spectrum07_rfid_ethics.pdf Holtzman, David H (2008). Human ID chips get under my skin, BusinessWeek Online, 5-5(1). Krunkle, Frederick (2010). Human chips seen by some in Virginia House as device of antichrist, The Lewan, Todd (2007). Chip implants linked to animal tumors, The Washington Post Washington Post

American Baseball in the Korean War - 3283 Words

American Baseball: Serving in Korea, but Larger than the War The Korean War, ranging from 1950-1953, marked the end to a major era in the sporting world as it was the last time professional athletes were expected to fight in war, regardless of their status as celebrities. Because of the time frame of the Korean War, famous athletes such as Ted Williams, Willie Mays, and Mickey Mantle, some of the greatest to ever play the game of baseball, were expected to be willing and able to fight. Each one of these men had different stories and attitudes when they were called on to serve, but one common denominator of all the men is that their legacies as soldiers were soon forgotten, whether positive or negative, in favor of their legacies as†¦show more content†¦179). Another player affected severely by military service was the great outfielder for the New York Giants, Willie Mays. Mays had just begun a promising young career in 1951 and was already considered one of the best players in baseball. While not as wildly popular as Ted Williams , Mays was still a very popular and prominent player with a great future, making the news of the Selective Service calling Mays’ number in 1952 a fairly large deal (Hirsch p. 143). Originally, Mays applied to be deferred because of â€Å"extreme hardship to dependents†, and believed he would not have to serve (Hirsch p. 143). Mays had a mother, step-father, and nine siblings in which his paycheck from the Giants helped support, and the $75 per month salary the Army was offering would not be able to support them (Mays p. 102). However, the Army denied Mays request and even admitted the Mays was drafted and not exempt because of whom he was (Hirsch p. 145). The Selective Service released a statement and said that Mays â€Å"owes perhaps a greater obligation to his country than other boys, because of his promise in the sports world†, effectively showing that Mays was kept in the Army because of his status as a celebrity (Mays p. 103). Mays then attempted to bea t the system by purposely failing the aptitude test of the military, making him ineligible to serve (Hirsch p. 144). Initially, the draft board announcedShow MoreRelatedJulius And Ethel Rosenberg Was Spies For The Soviet Union Essay1333 Words   |  6 Pagesespionage. Just nine days after Julius was arrested, United States Forces engaged in the Korean War. It is important to understand not only how the Rosenbergs ended up in Sing Sing Prison but also how the United States came to the swift conclusion of sentencing the Rosenbergs to such a severe degree. This was, at the time, considered the most costly and most consequential act of espionage in the Cold War in the eyes of the public. 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Genocide The Flaw of Civilization Essay - 639 Words

Until the twentieth-century, the world was unfamiliar with the newly-named phenomenon known as genocide. The first instance of the mass killing of an ethnic group that proliferated throughout world news was the Holocaust. Under the Nazi Regime, the German government indiscriminately massacred millions of Jewish men, women and children. However, the Holocaust was by no means the first occurrence of a genocide. Historical evidence reveals a pattern of massacre on the basis of ethnicity that is markedly apparent in civilizations dating back to the time of the Roman Empire. While the Holocaust gave birth to the idea of genocide, civilizations throughout history have instituted the cruel methods of mass extermination since the introduction of†¦show more content†¦As the world progressed toward the modern age, new factors arose in the movements toward national unity. The Age of Nationalism, where people of different regions of the world felt a new sense of national identity, had r oots in the liberal ideas of the French Revolution. As people of similar cultures and national origins united with one another, the idea of self-determination, or one’s ability to choose their own path in life, proliferated across the world. These ideas led to an age of national unification, namely in Germany and Italy, but also in already-established country that sought to strengthen their stature in world affairs and achieve their goal of self-determination. The transition into the twentieth century witnessed nationalism being taken to a new level. A new concept arose that is widely regarded as â€Å"hyper-nationalism† among historical academics. This new philosophy is known as fascism. As countries like Italy and Germany unified in the late-nineteenth century, people who resided in such places thought of themselves as superior to those around them. 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Lithium And Its Effects On Bipolar Disorder - 1394 Words

1. Provide a rationale for the use of Lithium Carbonate that Ellen is currently prescribed. Lithium Carbonate is the most commonly drug that is prescribed for treating bipolar disorder (May, Hickey, Triantis, Palazidou, Kyriacou, 2015). It works as a mood stabilizer that significantly reduces excessive behaviors and suicidal tendencies. However, the way that lithium exerts its impact on mood is still unknown. One study suggests that key of lithium therapeutic actions are the neuroprotective effects (Malhi, Tanious, Das, Coulston, Berk 2013). For instance, lithium has been demonstrated to decrease the oxidative stress that involves in multiple episodes of mania and depression. Other study recommends that lithium stabilize electrical†¦show more content†¦Additionally, lithium users are not higher rates of chronic kidney illness related to bipolar disorder (Rej et al., 2015). 2. Identify three (3) potential major side effects for Ellen’s currently prescribed Lithium Carbonate. Provide two (2) nursing management interventions for each of the three (3) chosen major side effects. Although the effectiveness of lithium in management of bipolar disorder is well established, health professionals should be aware of the potential major side effects related to long-term lithium treatment. Hand tremor is one of common adverse reactions that might occur during the first few days of lithium treatment. This side effect should decrease briefly after beginning of lithium administration. However, if it persists, the dosage of lithium needs to be reduce or cessation of the administration. Fine tremor of the hands is less likely if lithium is administered slowly, smaller doses several times a day rather than quickly. Additionally, the healthcare provider should discuss with the patients about possible adverse reactions when taking lithium therapy. Also, the patients should be warned not to discontinue taking the drug or modify the dosage on their own. In addition, lithium treatment may lead to weight gain. A recent study has showed that patients receiving Lithium are more frequent weight gain compared to those receiving placebo (Murru et al., 2015). This association

Walmart Going Green Free Essays

string(43) " many suppliers fight over their business\." Professor Lee September 29, 2008 Case Study 1 – Wal-Mart Stores Dan Lessard Landon Heidenreich Tommy Petramalo Kristian Arnesen TABLE OF CONTENTS Table of Contents pg. 1 Executive Summary pg. 2 Ch. We will write a custom essay sample on Walmart Going Green or any similar topic only for you Order Now 1 pg. 3 1. 1 Mission pg. 3 1. 2 History pg. 3 1. 3 Background pg. 4 Ch. 2 pg. 4 2. 1 Internal VRIO Analysis pg. 4 VRIO Table pg. 10 2. 2 External Five Forces Analysis pg. 10 2. 3 Problem Statement pg. 15 Positioning Grid pg. 16 Ch. 3 pg. 16 3. 1 Option 1 pg. 16 3. 2 Option 2 Pg. 16 Ch. 4 Strategic Option Evaluation Pg. 16 4. Strategic Evaluation of Unionizing Pg. 16 4. 2 Strategic Evaluation For Reorganization Pg. 18 4. 3 Recommendation and Plan of Action Pg. 19 4. 4 Competitive Advantage Pg 19 4. 5 Implications Pg. 20 Endnotes Pg. 21 Executive Summary Historically the discount shopping experience began in the mid 20th century, and in 1962 Wal-Mart helped pave the way along with other competitors such as Target and K Mart. Since then Wal-Mart has grown into one of the top retailers in the United States, and are currently in the process of trying to establish themselves into international markets.A key to Wal-Mart’s success is their competitive advantage of low prices – lower than any of their competitors in the discount retail industry. Being a top business does not exempt one from problems. Over the years Wal-Mart has been one of the most scrutinized businesses in America. Wal-Mart has had to deal with employee disputes over health benefits, wages, hours, and labor. They have faced opposition from the communities, banks, elected leaders, and unions in many of the small towns they have expanded to.Many argue that Wal-Mart stores can have a negative effect on the community, because Wal-Mart has driven out other local competition by driving the prices down. Another issue with Wal-Mart Stores is the perceived quality of their products which is considered marginal. In recent news there are several accounts of product recalls, and there are numerous consumer reviews of poor products purchased at Wal-Mart Stores. Wal-Mart’s goal is to treat their customers like family while providing them with quality goods at lower prices, and, the issue of quality being sub-par is a major issue.This quality problem, coupled with being closely scrutinized by all of America, has lead to the deflating of Wal-Mart’s image. The challenge facing Wal-Mart, especially in this trying time of economic hardship, is to boost its perceived value to the customer by improving the quality of their goods while keeping themselves differentiated from their competitors. Keeping costs of running their business low will in turn allow them to continue to offer low prices to their customers. There are several options that a major company is faced with that will take their company in different directions.There are two drastically different options to follow that Wal-Mart should analyze and take action with. One option is more organization with the individual stores while the other has to do with completely changing the structure of the company. In becoming and also staying a major coming in an industry money and time must be spent to stay at the top. By unionizing a company such as Wal-Mart, the costs would be very great in initial start up while they may knock down future legal costs. By reorganizing the stores and creating a new atmosphere, there is less start up costs but there is no room for structure change. There are tradeoffs that all companies are faced with and any option that is analyzed is important to the life of the company. Ch. 1 Introduction 1. 1Mission Wal-Mart’s mission statement is simple, â€Å"Saving people money so they can live better. †[i] This statement has lead to Wal-Mart leading the way within the discount super-store industry for the past thirty years. 1. 2History[ii] A brief history of Wal-Mart begins with Sam Walton, the founder of the chain. Mr.Walton did much research on consumers to prepare the way for his dominating chain, and in the process he found that what consumers want most are quality products at affordable prices. Mr. Walton opened his first Wal-Mart in 1962 in Rogers, Arkansas. Within five years the chain grew to 24 stores and already they had sales in the billions of dollars. During the 1960s the discount store market experienced exceptional growth; however, Wal-Mart did not have enough money to expand to more expensive areas. Instead they continued to expand in areas of relatively lower populations and continued to thrive.In 1972 Wal-Mart had its initial public offering and experienced monumental growth, jumping to 262 stores in eleven different states. Through the 1980s and 1990s Wal-Mart’s success continued to flourish, and they were ranked in Forbes magazine as a top retailer throughout these times. The 1990s also saw Wal-Mart’s introduction into the international market, which they are still in the process of trying to integrate. Continuing into the 21st century Wal-Mart holds within the top-ranked retailers. 1. 3Background The first Wal-Mart started up in Roger Arkansas in 1962. Wal-Mart bases their culture in the way they treat each other, â€Å"it’s our special way of doing business. [iii]† Sam Walton is the founder of Wal-Mart and is the person that gave the company the sense of honor and values which Wal-Mart holds at a very high standard. Today there are over 7,390 Wal-Marts and Sam’s Clubs stores. Wal-Mart is known as a store where you can go shop and save a buck. They are friendly to the average consumer of moderate income, and in this market they have thrived. They are a highly competitive company in an industry and economic time where lower prices are exactly what consumers are looking for.Wal-Mart has found that the reason they are so competitive is through their cheaper prices as compared to most of their competitors. This can create an effect so that many suppliers fight over their business. You read "Walmart Going Green" in category "Papers" This in return gives Wal-Mart great bargaining power over whom they buy products from, and they can basically manipulate the original system/relationship of suppliers and retailers. They can almost in a sense control what price suppliers offer. Wal-Mart has great deals, and those deals can bring almost anyone into their store.Wal-Mart has a vast array of customers, most of which at some point or another probably were loyal customers of another company who opposed the idea of Wal-Mart entering in their community. At some point or another most of these same people have gone into Wal-Mart to see what all the hype is about – and they found it in the low prices. Ch. 2 Internal and External Analysis 2. 1Internal Analysis – VRIO Within this section is discussed Wal-Mart’s internal analysis of the value brought to and perceived by the consumers through the value and rarity of their products, imitabiliy of their practices, and organization.By evaluating these four categories within their company it is easier to appraise which areas are strong and which are weak and, subsequently, need revision. To begin the main resources and capabilities of Wal-Mart Store’s Inc. must be identified. As with many companies a major resource of Wal-Mart’s is their human capital; another is their image – concerning their layout of their stores, product quality, and satisfaction of their employees; Wal-Mart’s products and brands are a valuable resource; and Wal-Mart’s geographic locations are an important resource. [iv] 2. 1. 1ValueAccording to Barney and Hesterly the question of Value is, â€Å"Do resources and capabilities enable a firm to exploit an external opportunity or neutralize an external threat? †[v] In order to account for this within the resources and capabilities listed above it is important to compare it to the environment of the industry as a whole. With regard to the super-store or any market industry, employees are an important factor. It is true that at a store you buy goods, however, service is a major factor because the mood of the employees directly affects the mood of the consumers. vi] It can influence everything from what they buy to whether or not they return to the store or even the company. It is important that employees be helpful, courteous, energetic, knowledgeable, and happy. Wal-Mart has a history of bad relationships between the organization and its employees. A main complaint that Wal-Mart has had to back up on numerous occasions is that the wages are not on par with the general market wages. [vii] This basic problem can create a disconnection between lower-level employees and management, and disgruntled workers, as stated above, are not good for any business.These ailments do not lead to a competitive advantage for Wal-Mart in human capital. The image associated with Wal-Mart can be directly related to the quality of their products, store layout, and employee satisfaction. Employee satisfaction has already been established above as less than optimal. Quality has been a great issue with Wal-Mart in the past and currently, which conflicts with their mission of â€Å"quality products†. Recent product recalls seen in newspapers involve an infant crib that has design flaws that are potentially dangerous and possibly life-threatening. viii] This is just the most recent accusation of poor product quality from the Wal-Mart stores. There are many blogs and online forums where customers may go and rant about issues they have with Wal-Mart products. Because of this the brands and brand names that Wal-Mart sells are also hurt when the quality is compromised. Continuing questions about the quality of Wal-Mart’s products leads them into a struggle for a competitive advantage within the image category. Geographical placement within the super-store industry is important because of the customer base.In order to sell a product there has to be someone willing to buy it and currently Wal-Mart struggles to enter into urban markets. Wal-Mart has generally been met with opposition from unions, elected leaders, and banks upon trying to enter the more urban markets[ix]. This restricts Wal-Mart to smaller, more rural areas where, in fact it has worked to their advantage. Their creed of lower prices relates well to the locals communities around their establishments. This has worked to their advantage in the past. For the future, however, it may not be enough as their entrance into international markets may be stifled. x] 2. 1. 2Rarity The competition in Wal-Mart’s industry is intense. Main competitors of Wal-Mart’s are stores like Target, Sears, Home Depot and K-Mart, all of which sell commercial items at marked down prices. [xi] The competitive advantage for Wal-Mart has been the difference between its competitor’s prices and their own. The rarity of Wal-Mart’s resources and products are not a source of competitive advantage within their industry, however, the differentiation in the prices offered by Wal-Mart are currently a source of competitive advantage. Employees at Wal-Mart range from all ages and ethnicities.Wal-Mart is an equal opportunity employer and they employ anyone from ages 15 and up. [xii] It is not an education-based job, meaning it is not necessary for a lower-level employee to have a college degree or even a high school diploma to work there. This can have an adverse effect on what employees bring to the table because, typically, if one goes on to higher education they are more likely to seek specific types of jobs, not wor king as a department store employee, and are, therefore not available to bring their intellectual capital to Wal-Mart’s table. xiii] On the lower level employee plane, the Wal-Mart employees are not a source of competitive advantage. In the case of rarity of their image Wal-Mart is one for the people. The Wal-Mart mission plainly states, â€Å"Saving people money so they can live better. [xiv]† Sam Walton’s goal was that of improving the lives of the average person by offering them a chance at everyday products with lower prices. This image of â€Å"for the people† is unique to the industry in that it is written down for Wal-Mart, and in that sense is a competitive advantage.Geographical location has worked for Wal-Mart in the past, as stated above, and this is generally due to the scarcity of larger, hyper-stores within the rural markets in which they are situated. By offering many products in one place, and at considerably lower prices than competitors, it has allowed Wal-Mart to be very successful in revenues and profit margins. This has been a large source of their competitive advantage in the past. 2. 1. 3Imitability According to Barney and Hesterly the question of imitability is, â€Å"Do firms without a resource or capability face a cost disadvantage in obtaining or eveloping it compared to firms that already possess it? †[xv] With regard to their human capital there is no outstanding difference between Wal-Mart’s practices and the practices of their competitors, therefore there is no superior advantage. Similarly, through their products and brands there is no sustained advantage for Wal-Mart. As a super-store Wal-Mart sells many different brands, and many different types of products. For example, clothes, electronics, groceries, and medications are all examples of types of products sold in Wal-Mart stores. At the same time, within product lines Wal-Mart offers many brand names such as Sony and Sanyo within the electronics product line. However this is not dissimilar from what Wal-Mart’s competitors practice; neither Target nor Costco specialize within product lines or brands. Therefore, there is no direct advantage. Imitability with regard to the image Wal-Mart portrays is an advantage for the super-store in certain aspects. Wal-Mart’s competitors, such as Target and Costco, are based around the same strategy as Wal-Mart of paying less.Target states, â€Å"Connecting business and community, affordability, and great design,[xvi]† as part of their mission. The key factor for Wal-Mart in the past and present has been the price differentiation between their competitors in offering an even lower price. There is only one way to sustain this – by stock-loading their shelves with more products to sell to offset their lower prices. This has worked for Wal-Mart strictly because for many people the benefit of having more money is enticing.It would be difficult for a company such as Target to imitate the low cost strategy applied by Wal-Mart. The capability of Wal-Mart selling their products at a lower price is an advantage, however, as mentioned above, poor quality is a negative factor. For this reason Wal-Mart’s image imitability ranks in-between. Coinciding with the image of Wal-Mart is the imitability of their geographic location. Wal-Mart began in a small town, Rogers, AK, and during the 1960s, as its competition expanded, Sam Walton could not afford to do the same. xvii] This enabled Sam Walton to expand in the smaller, niche market of rural areas. This gave Wal-Mart opportunity in the fact that their customer base was looking for exactly what they were giving, always low prices. This began their domination in a separate market from that of their competitors. 2. 1. 4Organization Organization refers to each aspect of the VRIO model listed above, Value, Rarity, and Imitability, and evaluates how the firm exploits its resources and capabilities in order to take full advantage of them. xviii] How well does the organization itself, from top management down to lower-level employees, work together to make use of their competitive advantages? In recent years Wal-Mart has taken public hits when it comes to issues with their employees. According to a recent Business Week article Wal-Mart employees can earn up to 20% less than the average retail worker, and along with that, not many of their employees are enrolled in their health care plan because it is â€Å"costly. xix]† This creates a disconnection especially between top level management, who, in American economies especially do no less than very well, and lower-level employees such as customer service employees in the Wal-Mart stores. This can create a problem as Wal-Mart tries to continue their practice of treating their customers like family. Lower-level employees are the most hands-on with customers and if employees are unhappy it will generally show in customer activity. 5. VRIO Visualization Table |Value |Rarity |Imitability |Organization |Competitive Implications | |Employees |N |N |N |N |Weakness | |Image |N |Y |Y / N |Y |Toss Up | |Products / Brands |N |N |N | |Weakness | |Geographic Location |Y |Y |Y |- Strength | 2. 2External Five Forces Analys is To compliment an internal analysis a firm performs an external analysis in the form of a five force analysis. This analysis identifies the environmental threats of the industry in which the firm is competing. These environmental threats are any individual, group, or organization outside a firm that seeks to reduce the level of that firm’s performance. [xx] The five force analysis consists of the threats of entry, rivalry, buyers, substitutes, and suppliers. . 2. 1Threat of Entry Wal-Mart had close to $400 billion dollars in revenue last year[xxi], so because of its sheer size, new market entrants are not much of a threat to the company. In order to become a competitor in the one-stop-shopping market, a company wanting to compete with Wal-Mart would have to open, at a minimum, hundreds of locations all over the country. The brick and mortar retail industry would be incredibly costly to start up in, which would be a major barrier for new market entrants.Because Wal-Mart is purchasing products for over 7000 stores, they are also experiencing massive economies of scale due to suppliers being able to offer lower unit prices. Wal-Mart has also created a high barrier of entry through its supply chain management system, which has pretty much automated their entire supply chain. This system helps them secure distribution channels, lower their operating cost due to a just-in-time approach to inventory, and lock in suppliers because of the size of their business.When an item is taken out of inventory, their system automatically orders another from the manufacturer and lets the entire value chain know about the change in demand. [xxii] Wal-Mart has had a level of control over their suppliers that new markets entrants could only dream of after they have established themselves. The Wal-Mart brand in itself coul d also be considered a barrier of entry as it is a renowned brand name for one-stop-shopping. 2. 2. 2Threat of Substitutes The amount of substitutes available for customers highly depends on whether or not the customer is looking for a one-stop-shopping center.Wal-Mart carries a lot of products that can be found in a lot of specialty stores, as well as their main competitor’s stores. If someone is out shopping for a TV, the amount of substitute retailers’ increases from their main competitors like, Target and Costco, to specialty stores such as Best Buy and Circuit City. In cases like this, where a customer is only looking for a couple certain items, the amount of substitutes that are available can increase greatly, and become a threat to Wal-Mart.On one hand, if a customer is shopping for several things such as furniture, clothing, and a TV, searching for different substitute retailers will take a lot longer time and effort, and the prices will probably not be close to the low ones Wal-Mart would offer for the same product. Going to Wal-Mart can in this case seem to save time and money as there is no need to go out of one’s way to complete a shopping list. In these there are few retailers except for Wal-Mart that offer this sort of one-stop-shopping combined with low prices.Cost-Co, which is one of Wal-Mart’s main competitors require customers to purchase a membership card just to be allowed to shop there. Shopping at Cost-Co could therefore be seen as a major turn-off for customers who are very price sensitive in the first place. Target would be another of Wal-Mart’s main competitors, but they offer far less locations than Wal-Mart, and have a much smaller market share. 2. 2. 3Threat of Suppliers Wal-Mart is an incredibly large retailer with over 100 million customers each week[xxiii], and has therefore, a lot more influence with their suppliers than a smaller company, for example, Albertsons, has with theirs.Wal-Mart purchases products in large quantities for their more than 7000 worldwide locations[xxiv] and uses one of the worlds’ most advanced inventory management system, noted above, which directly communicates with their suppliers. The system they are using automatically submits an order with a supplier once a shelf is getting empty and pays for the shipment. Wal-Mart does not want to sit on millions, or even billions, of dollars worth of inventory, and by using this just-in-time ordering process they are saving a lot of money by letting their suppliers store their inventory for them. xxv] This logistics system, combined with the sheer size of Wal-Mart’s business and market share gives them an incredible control over their suppliers. Wal-Mart has been known for demanding a lot in terms of service and price cuts from their suppliers. Several have actually gone out of business just by losing Wal-Mart as a client, or being unable to keep up with Wal-Mart’s demand of lower prices. [xxvi] There are probably dozens of companies that would jump at the chance to get Wal-Mart as a client if Wal-Mart was to lose one of their suppliers. This makes the threat of suppliers to Wal-Mart close to none. 2. 2. Threat of Buyers Buyers are a constant threat to Wal-Mart because of the amount of retailers that exist in the market, and they, like any other business depend upon their buyers to exist. Wal-Mart is preferred by many because it caters to their price sensitivity and it is convenient, but other factors such as product quality and personal values will also have effects on a buyers purchasing decision. There are people that shop at Wal-Mart because they cannot afford to shop anywhere else, but customers that can afford to shop elsewhere may do so if they are dissatisfied with Wal-Mart and the quality of their products. Customers on a small budget might find the low priced entry point products appealing, and will make their decision based solely on the price of the product. Beating Wal-Mart’s price for an entry level product, brands aside, is a pretty hard thing to do, but there are other retailers that offer better quality products than Wal-Mart. If a customer wants a higher quality product they might end up paying more, or being unable to find the product they want at Wal-Mart, and at this point the customer might decide to take their business elsewhere.This would especially apply to more expensive products such as TVs, cameras, and computers. Convenience also plays a large factor in a customers purchasing decision. Wal-Mart stores are incredibly large and are usually located outside of city centers. Inside there are a dozens of isles and multiple departments, as well as a lot of people. Because of this, Wall-Mart’s size might be a threat to them, as customers who only need groceries or a small item might choose to shop at a local store, as it can take a lot of time to get in and out of a Wal-Mart.The personal values of customers could also pose as a potential threat for Wal-Mart. A lot of people like to shop at Wal-Mart for their â€Å"Always low prices†, but people are becoming aware of some of the effects Wal-Mart’s pricing strategy has had on the economy, their employees, and their local communities. The company has been criticized in the media for giving far below average health benefits for employees[xxvii], forcing local companies out of business by using a below-cost pricing strategy[xxviii], and importing more than 70% of their items from China[xxix], which is in turn hurting American industries.Social impacts like these could conflict with a customer’s personal values, and customers could go shop at different stores. In other wo rds, the business decisions Wal-Mart makes to ensure their low prices could be a factor in losing customers if their decisions are not socially acceptable. 2. 2. 5Threat of rivalry The retail industry is a very intense when it comes to the amount of companies operating within it. Even though Wal-Mart is one of the world’s largest retailers, their main competitors are not regular retailers such as QFC or Best Buy.Wal-Mart is more of a low profit margin one-stop-shopping retailer where customers can get everything they will need from lower priced TVs to groceries and clothing. Companies that are close rivals to Wal-Mart would include companies such as Target, Cost-Co and Carrefour[xxx] that also offer a wide range of one-stop-shopping consumer products. Because these companies operate with a generally low profit margin on their products they must increase their sales in order to cover their fixed costs.Because these companies sell a lot of the same brands, there can be fierce competition as a competitive based pricing strategy is a common way to get a temporary advantage. 2. 3Problem Statement A main issue that Wal-Mart Stores Inc. faces is the perceived negative image attributed to them from both inside and outside the organization. Wal-Mart faces numerous lawsuits and accusations from the general public and from their own employees on the quality of their products, their harsh labor practices, and the overall environment of their stores.Wal-Mart must reposition their image in order to improve their image with the general consumers while at the same time keeping their cost advantage. Quality High Target Costco Price (Low)Price (High) Wal-Mart Quality Low Ch. 3 Strategic Options 3. 1Option 1: Unionize †¢ If Wal-Mart allowed for unionization, their perceived image will change dramatically. They will be viewed publicly as a caring employer that offers better benefits which will attract better workers thus creating better customer service and longevity of their employees. 3. Option 2: Reorganize and un-clutter the isle ways and shelves. †¢ The stores will attract more customers because the stores will be much cleaner and easier to walk through. †¢ This will also give the impression that the store is less of a discount store and perceived value could potentially increase. Ch. 4 Strategic Option Evaluation 4. 1Strategic Evaluation of Unionizing Wal-Mart owns or controls the majority of its industry so changing anything in their operations may be a bit absurd; however, it does mean that it is okay to become lax in everyday operations or with the push for more market share.Companies must always keep reinventing and improving themselves and their products or services to not only compete in their industry or sector but to succeed in it as well. With an ever tarnishing image, Wal-Mart has to work even harder to clear their name from bad press and business practices. Wal-Mart is a multi-billion dollar company whose top executives are some of the richest in the country, however, their employees are barely making minimum wage at the highest, and are facing the harsh reality of being unable to support their families. [xxxi]In 2003, Wal-Mart claimed that cashiers earned and average $7. 92 throughout the country. This would be minimum wage at this time, unfortunately, Wal-Mart does not allow for employees to work more than 30 hours in a week so there is less of a chance of an employee working overtime and thus requiring them to provide benefits or increased wages. As a multi-billion dollar company, providing benefits would be a great opportunity for Wal-Mart to help employees and the economy but it will also help revive the company’s current image into something much more positive.A union would help establish and maintain the program plus it would also create team unity which in turn would create a more positive work environment. The cost of implementing a union would be great; however, the potential earnings from the new business they could find would make the change worth it. Not only would it bring more customers to the store, it will cut down on its lawsuits. In 2005 alone, the company paid $172 million dollars in lawsuits for not giving meal breaks. [xxxii] This does not include any other lawsuits for other mal practices. A union may even cut costs because the company would be held to more strict guidelines. 4. 2Strategic Evaluation for Reorganizing Store Isle Ways and Shelves When a person pictures the inside of a Wal-Mart store they think of narrow isles and fully stocked shelves. The main isles ways at Wal-Mart are commonly cluttered with large displays which create only small passages for its patrons. The large area is often shrunk so small that only one cart can move on either side of the displays.Many of these displays contain rock bottom prices; however, if the shoppers cannot maneuver around others who are looking at these displays, the chances of disputes occurring or people simply leaving the stores could arise. More â€Å"Clearance Isles† or end caps could increase the space for shoppers to move and show the vast amounts of space in the stores. Even though the stores are very large, the cluttering of items gives the illusion of a small, cramped space. With less isle displays, it will also bring more customers through the isles and thus give a potential for greater sales.The shelves are always stocked to their limits as well. By having the shelves packed to capacity, there is a chance to have expired food on the shelves or items on racks that are very old and priced incorrectly. There has already been a case in New Jersey in 2008 that baby formula had been expired for sometime but was still on the shelves. [xxxiii] This is one of the reasons why leaving more space on shelves could help give better customer service and work on their image. Leaving the shelves bare is not the answer however, being able to organize, stock, and restore foods is very important. The chance that expired food is on the shelves is much greater if items are being forgotten about on the backs of shelves. By having the ability to circulate the items more properly, the quality of the food for example, will increase and the satisfaction by customers will grow. A returning customer base will also increase which will also bring more in to stores. 4. 3Recommendation and Plan of Action The ultimate goal is to remain a leader in its industry for Wal-Mart. Because it contains the largest share of the industry, a subtle change should be implemented. Option number two would be the best and less expensive option to go with. The option is to rearrange the store and leave it less cluttered and more maneuverable for shoppers. Although implementing a Union has the potential of reducing legal costs significantly, it will be a very expensive up front cost, and its overhead will still increase. The initially cost of removing some, but not all displays from the main isles would be much less than setting up a Union. The best way to begin to re-order the â€Å"look† of the Wal-Mart stores should be slow so customers can see the changes going on and so they also know where the display items are moving to.That is why separate isles for these displays would be ideal. With their own isles, customers can still have the incredible deals they are receiving, plus there will be a lot more space for people to walk around and maneuver carts without bumping into displays or other shoppers. This plan will also make the store look cleaner and more shopper-friendly. 4. 4Competitive Advantage The size of Wal-Mart is the main component to being an industry leader. Because the company is so large, they are able to provide extremely low prices and still continue to make great revenue gains each year.Since one major component to their advantage has to do with low prices, the perception of quality is a significant weakness. The way to increase its already major advantage by changing the perception of its quality as stated in previous sections. The size of the company does not only correlate between revenue and sales but also the number of stores and the number of cities that are represented. Wal-Mart has stores in most major cities and if not, there is one close by. Being open 24 hours is also a major advantage for Wal-Mart. Most of their competitors are unable to stay open 24 hours. The ompetition at night for Wal-Mart mainly consists of pharmacies or general stores that are more expensive and have smaller selections. 4. 5Implications Price is not only the determining factor to appealing to customers and growing a clientele base. Quality is another major point that consumers are looking for and with inferior products or services; many customers could become only one time shoppers. Return business is very important and a major company such as Wal-Mart would not be able to survive without it just like any other business. The reputation of a company is important and Wal-Mart’s is definitely tarnished and in need of revival.Being only a discount store is not what Wal-Mart should be with the magnitude of its reach. It does not make a difference of how big you are if your reputation and quality are poor. Being a well rounded company is very important in business and keeping customers coming back, and having satisfied employees is essential to the life of any venture.Endnotes ———————– [i] Wal-Mart. Our Purpose. In About Us [Online]. Available: http://walmartstores. com/AboutUs/8123. aspx [2008, September 27]. How to cite Walmart Going Green, Papers