Discuss the strategic interaction between walmart and amazon

Assignment Help Strategic Management

Reference no: EM133198902

Assignment:

WALMART/AMAZON CASE STUDY ASSIGNMENT

Walmart has been the major player in discount retailing for decades with its vast number of physical stores distributed across both rural and urban areas in the United States. Amazon has been the major player in online retailing and has had dramatic growth in recent years. After struggling for decades to develop their own online retailing business, Walmart purchased Jet.com in 2016 which provided Walmart with important expertise in, and constituted a significant commitment to, online retailing. In 2017, Amazon purchased Whole Foods which included 460 brick-and-mortar grocery stores. These acquisitions clearly signaled competition between Walmart and Amazon in both in-store grocery sales and on-line grocery, as well as merchandise, sales.

Your 500 words analysis of the case study entitled "Walmart's Omnichannel Strategy: Revolution or Miscalculation?" should address the following issues/questions.

1. What are the comparative advantages of Walmart and Amazon and how will these comparative advantages affect the payoffs from their different strategic decisions?

2. Discuss the strategic interaction between Walmart and Amazon. Why did Walmart think it necessary to enter the on-line retailing industry and why did Amazon think it beneficial to have a brick-and-mortar grocery store presence? Did Walmart decision influence Amazon's decision and vice versa?

3. How do the payoffs from their possible strategic decisions depend on the types of customer who are more likely to select purchases from Walmart over Amazon and purchases from Amazon over Walmart? When considering types of customers think in terms of different demographics and geographic location (rural versus urban for example).

4. Why do both Walmart and Amazon consider it important to have both brick and mortar stores and a significant on-line presence? While I do not want you to necessarily discuss the question below in your writeup (unless you want to), I think it is important to think about the competition between Walmart and Amazon in the short run and long run.

1. Is Walmart or Amazon currently in a stronger strategic position? Who will be in a stronger position in 10 years? What important strategic decisions will Walmart and Amazon have to make in the future?

To complete this assignment, please carefully read the case study. To gain additional knowledge on the strategic decisions of Walmart and Amazon, feel free to read some of the over 300 articles cited in the case study (some are very interesting and provide additional details not contained in the case study), as well as any other sources you find (make sure you appropriately cite these other sources and do not plagiarize). I expect your 500 word writeup to be your thoughts in regards to the strategic interaction between Walmart and Amazon - I am not interested in quotes from others.

Thoughts:

a. The strategic interaction between Walmart and Amazon is too complicated to analyze using the basic game theoretic tools discussed in class to date. Therefore, I would suggest not presenting some normal form game or some basic extensive form game in your write up.

b. I realize this assignment is somewhat open ended and students will have very different writeups - which is great. This assignment is about synthesizing a large amount of information on a complicated strategic environment and then present a coherent analysis on the strategic alternatives available to Walmart and Amazon. and the tradeoffs associated with these strategic alternatives. The next two case studies assignments will be much more narrow in terms of the write up and will relate to specific game theoretic material discussed in class.

Readings:

Walmart's Omnichannel Strategy: Revolution or Miscalculation?

By Ramon Casadesus-Masanell

Reference no: EM133198902

Questions Cloud

Genetic mutation or malfunction in gene expression : University of Maryland University College-Write about a disorder or disease due to a genetic mutation or malfunction in gene expression.

Do you think pseudoscience is necessarily harmful : Do you think pseudoscience is necessarily harmful, or are there instances where it can be harmless or even beneficial to people?

Explain business interest in online bill payment : The Wall Street Journal reported that businesses are aggressively pushing consumers to pay bills electronically. Walden University.

Application of porters five forces model to auto industry : This research paper requires the application of Porter's Five Forces Model to the auto industry. American Military University.

Discuss the strategic interaction between walmart and amazon : Discuss the strategic interaction between Walmart and Amazon. Why did Walmart think it necessary to enter the on-line retailing industry.

Who are the entrepreneurs : Who are the entrepreneurs? What problem is each entrepreneur/founderattempting to solve? De Anza College.

How aggressive should their timeline be : When should they enter and how aggressive should their timeline be? (Now? In a year? In 3 years? Never?) Boston University.

How much interest rate risk investors can tolerate : Do you believe age and current economic status play a role in how much interest rate risk investors can tolerate? Grantham University. FIN 307.

How should housing affordability be measured : According to Glaeser & Gyourko, "How Should Housing Affordability Be Measured?" San Jose State University.

User Account

All Pages