Sample Essay

The short term strategy pertaining to reducing overheads and inventory costs was selected, as the high overheads for the company are decreasing its profitability and squeezing the profit margins for Wal-Mart. By focusing on this strategy, the company will be able to increase its margins ion products, as well as reduce the costs associated with obsolete goods and wastage. In addition to this the company will also be having more profit which it can invest in operations of the business, in order to make them more efficient. The weakness of this strategy however is that significant fund will need to be employed in executing this strategy.

 

The long term strategy pertaining to the changing the focus and main business strategy of the company has been recommended as the company needs to revaluate the way it does business. The strengths of this strategy are that it takes into account the market and environmental changes and ha the opportunity of being proactive in terms of providing the customers with what they want in a manner attractive to them. This strategy impacts the business and the operations of the company and a positive change in this strategy can result in a positive change in the overall company and its operations

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