Walmart: A blog post on the world’s largest retail company
Today we’ll be talking about Walmart – the company that isn’t just a store, but the global retail giant. If you’ve ever heard the slogan “Every Day Low Prices,” you’ll understand that this is Walmart’s magic. In this blog, let’s take a deeper look at Walmart’s story, its secrets to success, and its position in India.
Walmart’s Beginnings: From a Small Shop to a Global Empire
The year was 1962. The place was Arkansas, USA. A man named Sam Walton opened his first discount store in Rogers. He named it Walmart.
At that time, inflation was rising in America, and Sam’s goal was:
“Provide affordable essential goods to every American.”
Only one store in the first year, but by 10 years, there were over 50 stores. And today?
- 10,500+ stores
- Presence in 24 countries
- 2.3 million employees
- Annual revenue: Over $600 billion (approximately Rs. 50 lakh crores!)
Walmart’s Secret Formula for Success
1. Everyday Low Prices (EDLP)
Walmart never holds sales. It always keeps the lowest prices. How?
- Buys goods directly from the factory
- Supply chain so robust that goods reach stores within 24 hours
- No middlemen
2. Supercenter Model
Under one roof:
- Grocery
- Clothing
- Electronics
- Medicines
- Even car service!
3. The Magic of Technology
- World’s Largest Private Satellite Network
- Inventory Management with AI
- Drone Delivery (Started in the US)
Walmart in India: From Flipkart to Bharti
Walmart couldn’t open stores directly in India (due to FDI regulations), but it made a smart move:
2018: Bought Flipkart for $16 billion
Walmart now owns 77% of Flipkart.
- Flipkart + Myntra + PhonePe = Walmart’s Digital Empire
- $12 billion valuation in 2023 after separating PhonePe
B2B Model: Best Price Modern Wholesale
- 28 cash and carry stores
- Cheaper goods for small shopkeepers
- Support for grocery stores
Direct purchases from farmers
- Fruits and vegetables directly from farmers in Punjab, Haryana, and Uttar Pradesh
- Higher prices for farmers by eliminating middlemen
Walmart Controversies
Like every large company, Walmart has been embroiled in controversies:
- Low employee wages (criticism in the US)
- Harm to small shopkeepers (fear in India as well)
- Environment: Excessive use of plastic and packaging
But Walmart responded:
- $15 per hour minimum wage (in the US)
- Aim of zero waste to landfill
- Supply Chain Program for Women
Learnings from Walmart: 3 Business Lessons
- Put the customer first – Cheapness and convenience = loyalty
- Understand the game of scale – Buy big, sell cheap
- Be local – Connected with “self-reliance” in India
Conclusion: Walmart is not just a store, it’s a system
Walmart has proven that with simplicity, discipline, and a customer-centric approach, you can conquer the world. Its roots in India are currently strengthening – through Flipkart, PhonePe, and B2B stores.
Next time you order something from Flipkart, remember – Walmart’s global empire stands behind it