Reference no: EM132629479
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Walmart has received criticism over many years about their treatment of their workers. Because of this Walmart has implemented new front line retail structure of its employees to cut back on middle management staff. These mid-level managers would see a higher pay increase but also their duties will change and have more responsibility. These new positions, structured around teams, will allow managers to provide better training, support and recognition to their staff.
Unlike Walmart, Amazon has constantly been innovative with new products and ideas and quick to make changes when needed. They also have nailed operation techniques that other companies wont be able to compete with and are currently focusing heavily on online marketing. Amazon is a company that focuses less on its competitors and more on its customers. Their customers loyalty motivates the company to continue to grow with new inventions, new acquisitions, and future goals.
Both companies are making changes that will benefit the lives of their customers. Walmart's change in structure will provide great benefit to those customers who shop in stores with them; however, this specific change doesn't seem to benefit them when competing with online retailers like Amazon. The price increase and restructure of Walmart's managers will give them more time to train the ir employees creating a better and likely faster customer experience in stores. The added support and recognition will also help motivate these lower level employees to do well. As for the pay increase for the mid level managers this will create incentive and loyalty among Walmart's managers.
Amazon is always striving to benefit the their customers. Their motivation, as explained by CEO Jeff Bezos, comes from the loyalty of their customers. If more companies focused on customer service and less on competition, similar to Amazon's current strategies, they would likely become more successful and build a more loyal customer base. However, Amazon is a powerhouse that has areas which wouldn't be feasible to compete with.