Walmart Waste Management Case Study

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Waste Management, Inc. remains the industry leader in collecting and burying trash, currently holding 273 landfills capable of holding 4.8 billion tons of trash. Additionally, they hold 91 recycling facilities, and 17 waste-to-energy facilities. However, 75% of its profits currently come from collecting waste for landfills, which is worrying because customers are now reducing waste, with major corporate customers attempting to go completely waste free. Furthermore, customers now want their waste recycled, and advocacy groups are petitioning against current landfill practices. In addition to their evolving external environment, they also host an internal environment that seems unable to swallow the changes to their customer base. Their infrastructure…show more content…
They already possess a facility that contributes no waste to landfills, and hasn’t since 2004. Even more worryingly, Walmart, the industry leading retailer, has stated their own aspirations to go waste-free. If Walmart is able to successfully reach and sustain that goal, other retailers will inevitably follow suit. Instead of viewing such a trend as an opportunity to take advantage of new customer demands, there is resistance within Waste Management to do anything other than keep burying waste. Indeed, the company culture, infrastructure, and competitive advantage remain steadfastly invested in hauling trash to a…show more content…
Indeed, their fledgling recycling capabilities represent a significant weakness. Especially their inability to turn a profit on recycling smartphones, TV’s, and other devices, as the need for such recycling is sure to to grow rapidly. On the flip side, recycling also represents a significant opportunity for Waste Management. If they can begin harnessing the growing demand for landfill sorting and recycling, the growth potential could offset the significant investment that developing recycling technology will be.

Waste Management’s foremost threat is the fact that customers are wasting less, and attempting to go waste-free. The waste that is produced now requires more sorting and recycling, something that a competitor could provide if Waste Management is unwilling to do so. Therefore, the prospect of a rival company stealing customers represents a significant threat. Additionally, advocacy groups that protest landfills represent a minor, though prevalent threat to the way Waste Management does business, and they should not be overlooked if Waste Management is to remain the industry leader in waste
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