Wal-Mart's Business Model

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Introduction
One of the largest supply chains currently in the world is Wal-Mart. They are growing by leap and bounds, steadily increasing sales, meeting customer demands while viewed publicly as one of the low-cost pioneers. This feat was not done by simply opening the doors and inviting consumers into one of its 11,000 locations worldwide. Wal-Mart offers more than 140,000 thousands stock-keeping units (SKU) products on its shelf. This happens through a creative vision, with many partnerships that combined to form an enormous conglomerate.
Business Model
Wal-Mart business model hinges on a simply notion, to provide product and service to customers when and where they want them. This way of thinking defines the company as an innovator, searching for ways that will not only perpetuate their firm grasp on the retail industry, but also provide their consumers with low-cost options for products and supplies. The Wal-Marts supply chain is a global dynasty, it is known for being effective and efficient, technologically advanced, and logistically sound. These principles are some of the reasons Wal-mart is regarded as the top supply chain in the retail industry. They have distribution center located in a multitude of countries, this practice lends itself to have their products closer to the consumers, which allows the warehouse center to turn its total inventories over 8 times per year (Saporito, 2013). The supply chain is very successful at ensuring the lines of communication work properly throughout the entire network. Having suppliers that understand and communicate throughout each segment chain and share data are strategies Wal-Mart uses to manage its chain. To achieve this, Wal-Mart has its inventory replenishment at the center o...

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