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Essay / Research Paper Abstract
This 6 page paper looks at a number of problems and risks that are faced by Wal-Mart in different areas, looking at administration, financials, management, strategy, ethics, technology and marketing. The bibliography cites 5 sources.
Page Count:
6 pages (~225 words per page)
File: TS14_TEprobwal.rtf
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Unformatted sample text from the term paper:
will consider some of the challenges. Administrative Any large company faces a number of problems and challenges when it comes to general administration. Just as firm benefit from
economies of scope and scale as they get bigger, there are also potential diseconomies of scale as the costs of running a large organization increase disproportionately (Nellis and Parker, 2006).
The bureaucratic nature of the firm and the way power has to be delegated is a potential risk, which has been seen to lead to problems in terms of management
issues (discussed later in the paper). The firm has partly overcome this with effective us of IT, the inventory management system have automated a great deal of the administration and
facilitated communication between the company and its suppliers as well as between head office and the stores However, this is only one aspect of administration. The risk the company face
is the result of their size and power, and with this size corporation not all aspects will always be complaint with the company policies, the problem is finding the non
compliant areas in a cost effective manner, This is likely to result in increased use of IT but there is no easy solution. Financial In financial terms the
company appears to be strong, they have increasing revenues, even during a recession, but there are some problems in terms of the way that market sees the firm performing with
the stock declining, the share price, which is $48.211 has declined by a total of 9.1% over the last year compared to the industry average of 4.1% (Yahoo Finance,
2009). There are many influences on share prices, market expectations are a major influence, and with the majority analysts giving recommendation to buy the firm does appear to be dealing
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