Walmart’s Global Strategies

Companies opt for globalization to increase their sales and profits from a broader market. Walmart is an ideal example that has implemented strategies to succeed in the global market. The company has chosen to internationalize its retail operations is a significant innovation, on which part of the company success is rooted. Besides, its entry strategies into the global market are strategic.

Its internationalization is motivated by demand and potential for new markets. For instance, Walmart had saturated local markets in the USA. It has continued to localize until it has flooded the USA’s domestic market. Additionally, Walmart retail shop is motivated to serve more customers beyond America’s environs (Tsui-Auch & Chow, 2019). These factors necessitate Walmart’s retails to go global. Also, Walmart adopted several marketing strategies for internalization in different countries. Global strategies aimed at obtaining new opportunities in the worldwide market. The globalization process was not easy, especially deciding which country to enter first.

Walmart adopted the best entry mode in Mexico. First, the company was familiar with income and cultural differences between the United States and Mexican markets. Therefore it had to tailor its operations strategically. The company engaged in a joint venture with Cifra, one of Mexico’s largest retails (Tsui-Auch & Chow, 2019). The profits obtained were shared equally between the two companies. Hence, the model chosen was suitable for the company. It should pursue other multinational strategies to have a competitive advantage over its competitors.

Adoption of a global strategy will enable the company to have a competitive advantage over its competitors. A low pricing strategy is among the ideal strategies to sell its products at lower prices than its competitors and acquire more customers to shop with them. Additionally, Walmart should increase its online stores to enable its customer to shop online without physical visitation. Notably, e-commerce increases the potential to serve a wider market significantly since customers from many parts of the world can make purchases on the company’s online shops. Walmart should strive to adopt more global strategies to have a competitive advantage over its competitors.

Walmart’s entry mode and global enterprise strategies enhance its internationalization. One of its entry modes is partnering or merging with local companies, like Cifra in Mexico (Tsui-Auch & Chow, 2019).  However, Walmart should improve some of its strategies to remain more competitive. A low pricing strategy allows the company to obtain more customers, especially from low-income populations. The company should buy and distribute products in bulk to reduce each product’s cost per unit. This will allow the company to continue selling its products at a lower price than its competitors and still make profits from higher sales made.

 In conclusion, Walmart has expanded its market reach in different countries to venture into economies beyond the USA. Walmart’s globalization success is due to its global strategies such as low pricing strategy. The company should adopt more global strategies to remain competitive.


Tsui-Auch, L., & Chow, D. (2019). MNEs’ Agency Within Institutional Contexts: A Study of Walmart’s Post-acquisition Practices in Mexico, Germany, and Japan. Journal Of International Management, 25(2), 100655.