Sale capability is directly tied to factories and supplier cooperation

    In retail, point of sale capability is directly tied to factories and supplier cooperation. For example, Walmart’s trucking and GPS, cross-dock warehouse load and unload operations, and RFID enable their supply chain to be fast and on-time (i.e., reliable). Outsourcing and supplier discounts for huge order sizes give Walmart much power in the global supply chains. Competitors such as Target, Safeway, and Costco have copied many of their methods and practices, so Walmart’s competitive advantage has diminished. Using Walmart’s case as an example, select another company, and review their competitive advantage. How does the company use the competitive priority cost to its competitive advantage? Research, then explain, and provide examples. In your paper, Research how your selected company uses the competitive priority cost to its competitive advantage. Explain your company’s priority cost as a strategic advantage. Provide examples from your selected company.

Sample Solution

Full Answer Section

     

Walmart

Walmart is the world's largest retailer, and it has achieved its success by following a cost leadership strategy. This means that Walmart strives to be the lowest-cost provider of its products and services. Walmart does this by a number of means, including:

  • Buying in bulk from suppliers
  • Operating large, efficient distribution centers
  • Using cutting-edge technology to manage its inventory
  • Keeping its overhead costs low

IS IT YOUR FIRST TIME HERE? WELCOME

USE COUPON "11OFF" AND GET 11% OFF YOUR ORDERS