Walmart
... In this note, we give some tips on how to undertake a five forces analysis and apply the framework to an analysis of the discount retailing industry as described in WalMart Stores Inc. ... Supplier Power — Low _ WalMart keeps individual suppliers to less than 2. ... , Gitano) are very dependent on their WalMart account. ... _ WalMart features services and characteristics (greeters, etc. ... Threat of Substitutes —Low _ Department Stores (Sears, ZCMI) – higher prices, greater service 3 _ Catalog Sales – similar prices, less service _ Warehouse Clubs – lower prices, less service _ WalMart is an attractive alternative for price-concious consumers Rivalry—Low (Implied by limited threats from the other forces.) _ KMart and Target have much more contact with WalMart than WM has with them. ... Supplier Power — Uncertain _ Increasing partnering between WalMart and its suppliers will restrict WalMart’s ability to bargain heavily with suppliers. ... _ KMart may be trying to leapfrog WalMart in the supercenter retailing format. _ The market contact between KMart, Target, and WalMart is increasing.