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Introduction Wal-Mart

Autor:   •  March 26, 2015  •  Essay  •  1,877 Words (8 Pages)  •  578 Views

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1.        The success and failure of Wal-Mart international plan:        

2.        International Human Resource strategy of Wal-Mart in Mexico:        

3.        The failure of Wal-Mart in Germany and South Korea:        

3.1.        Wal-Mart in Germany:        

3.2.        Wal-Mart in South Korea:        



Success in the United State after a short time business, holding the position of largest retailer in the US, in the early 1990s, Wal-Mart started its International Business in Mexico; open a new era for the development of Wal-Mart. However, even with the successful firms in the US, Wal-Mart still faces many problems in its International Business. Following the case study of Wal-Mart in Mexico, Germany, South Korea and China; author will illustrate the general ideas about international business.

Second, Wal-Mart entered Mexican market by teaming up in a joint venture with Cifra, Mexico’s largest retailer to open a series of supercenters that sell both groceries and merchandise. In this period, Mexico had passed a financial crisis and Mexican Government was convincing to the investment of foreign countries. Wal-Mart had all the good conditions to success in Mexico. However, Wal-Mart hit some headwinds in Mexico, which was only solved after Wal-Mart staffing strategy. Based on the the framework to staff international corporation of Daniels, Radebaugh, Sullivan, author will analyze Wal-Mart staffing strategy in order to lead to the success of Wal-Mart in Mexico.

Third, the second moves of Wal-Mart to Germany and South Korea faced to serious problems. Consequently, Wal-Mart was pulled out of both countries. While the failure of Wal-Mart is focus on the loss of power in the competitive market of Germany; in South Korea, Wal-Mart failed because of other problems, misunderstanding consumer demands. However, it can be recognized that Wal-Mart was too optimistic about Mexico’s success and lost control in Germany and South Korea which are different with Mexico. Based on the single and double diamond model, author will critical analyze the failure of Wal-Mart with comparison to Mexico.

Finally, it cannot be deniable that culture plays an important role in international business. Many companies have faced serious problems in international business when they misunderstand the local cultures. Wal-Mart is an excellent example of both success and failure in understanding local cultures in international business. By emphasizing Wal-Mart international business based on the research of Alan and Simon about the effect of culture in international business contexts, author will prove the role of culture in global business.


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