Walmart Emergent or Deliberate Strategies

Wal-Mart

Sam Walton opened the first Wal-Mart in the early 1960 with his vision of keeping prices as low as possible. Wal-Mart’s mission has always been �Always Low Prices’ which was the result of Sam Walton’s beliefs when he first started Wal-Mart. These beliefs were Respect for Individual, Service to customers and Strive for excellence. Wal-Mart strategy was a deliberate strategy from the very first day Wal-Mart was started. .Wal-Mart mission of low prices and excellent customer service is the backbone behind each and very strategy implemented by Wal-Mart. Every step that Wal-Mart took to attain the lowest possible prices resulted in some of the greatest deliberate strategies that Wal-Mart implemented like cutting edge technology, a corporate frugal culture and a constant push to suppliers to get the lowest possible prices.

The technology strategy implemented by forced the retail industry to establish the universal bar code which led to all suppliers/manufacturers to adopt a common labeling which created a shift of power and information database from manufacturers to retailers. The strategy made Wal-Mart a pioneer in supply chain management. Wal-Mart’s quest for low prices led it to import almost 60% of its merchandise from outside of US. Wal-Mart has pursued the low cost leadership strategy deliberately from the start to align to its mission.

Wal-Mart’s foray into the global market is more of an emergent strategy. Wal-Mart offers value through economies of scope .Wal-Mart’s entry into UK was done by purchasing a grocery store chain. It expanded into Canada by acquiring Woolco which was floundering at that time this acquisition was made. This tells us that Wal-Mart’s international expansion is as much emergent and opportunistic.

IBM

IBM’s strategy is a deliberate strategy. The company strives to lead in innovating, development and manufacture of advanced information technologies. IBM strategy was to implement these advanced technologies to as many areas as possible. It deliberately diversified its product, services, finance and asset management services, research which produces leading- edge solutions and always in the quest to develop cutting edge technology. IBM implemented the diversity strategy helped them address a broader customer base labor pool. The diversity strategy is in alignment with the company’s business initiatives.

Any action which IBM takes depends on these value created by IBM

• Dedication to every client's success

• Innovation that matters, for our company and for the world

• Trust and personal responsibility in all relationships.

IBM’s values underpin their relationship with investors. IBM believed that in today’s world where everyone is so interconnected and interdependent, it is imperative that they work for each others success. They believed that if they were going to solve the deepest in business and society, they would have to innovate in ways that truly matter and this is done by taking personal responsibility for all of their relationships with clients, colleagues, partners, investors and the public at large. This is IBM's mission as an enterprise.

Home Depot

Home Depot’s mission and values are based on the founder’s vision of one stop shopping for the do it yourself. Home Depot’s strategy was a deliberate strategy as their mission, values and strategies are based on the founder’s vision. It helped drive the numerous strategies created for this company. Home Depot today is still guided by the values established by founders excellent customer service, taking care of people, entrepreneurial spirit, respect for all people, building strong relationships, doing the right thing, giving back to communities, and creating shareholder value.

The three basic strategies used by Home Depot are

1) Assortment: where the breadth of home depot’s product mix provides a one stop shopping capability

2) Price: where Home depot often prices its products substantially below major chains. Home depot also has a single price policy unlike Lowe’s which a two tier pricing policy for contractors and consumers.

3) Service: The Company uses sophisticated selection criteria to select people with a customer-friendly orientation. Home Depot's approach to customer service is linked to their initial and primary customer focus - the consumer

In the case of Home Depot, their innovative retailing and warehouse strategy has established a new strategic position within the industry.