Reference no: EM133710879

Question: Identify countries where it can leverage its cost advantages, such as lower labor costs or more efficient supply chains. Trade restrictions, such as quotas or import bans, can limit Walmart's ability to source products from certain countries, affecting its inventory and pricing strategies. Tariffs increase the cost of imported goods, which can lead to higher prices for consumers or reduced profit margins for Walmart. Exchange rates impact the cost of doing business internationally; a stronger dollar makes imports cheaper but can reduce the competitiveness of exports. Other economic factors that may impact Walmart's decision to expand include inflation rates, which can affect consumer purchasing power; interest rates, which influence borrowing costs for expansion; and economic stability, which affects the overall business environment. Additionally, labor market conditions, such as wage levels and availability of skilled workers, are crucial for operational efficiency.