What does Walmart Mean to You?

Check out more papers on Walmart

Walmart Inc.

What does Walmart mean to you? Perhaps a store where you can buy groceries, clothing, health needs, home appliances or electronics? Many people visualize Walmart that way when asked What is Walmart?, but what people do not know is that Walmart is one of the biggest retailer companies in the world and it is worth large amounts of money.

Don't use plagiarized sources. Get your custom essay on

“What does Walmart Mean to You?”

Get custom essay

Walmart Incorporation is the company I have chosen to research about. While researching about the company, I found that many resources talk about how Walmart first began and how it has become a successful retail company globally. I have organized my paper into five sections. In the first section, I will provide historical information about Walmart. In the second and third section, I am going to go over the products and services of the company. In the Fourth and last section, I include information about marketing and the financial profile of Walmart.

Walmart was founded in 1962 by Samuel Walton, a retailer that owned a small discount store and then turned it into one the largest companies in the world. At that time retail stores like Kmart and Target have been already founded. But according to author Jon Springer,
The success of this unit convinced Walton that there was opportunity for discount stores in the small rural towns typically bypassed by other discounters, including emerging competitors such as Kmart and Target. [page 20]

Many of Walton’s competitors where against the idea that having a store that offers low prices was never going to work. But Walton idea turned out to be an extraordinarily successful idea.

After Walton opened his first Wal-Mart discount store in Rogers, Arkansas and became a successful company, the company started to build more discount store around the United States and employ about 200 employees. The discount stores offer health, home appliances, electronics, toys and apparel. In 1969 Wal-Mart officially becomes incorporate and in the 1970’s the company addresses as a public traded company that sold the first stock at $16.50 per share. In 1972 Wal-Mart is listed on the New York Stock Exchange (NYSE) as (WMT) and by the 1980’s the first Wal-Mart supercenter opens. The Wal-Mart supercenter is built bigger than the Wal-Mart Discount stores and it offers products like home appliances, electronics, toys, hardware, and a grocery store that includes a bakery. And includes also inside shops for example, restaurants like McDonalds, banks, vision centers, beauty salons or a pharmacy. In 1990 Wal-Mart is the number one retailer in the nation and in 1992 unfortunately Samuel Walton passes away at age 74 after receiving the Medal of Freedom. And the eldest son of Samuel Walton, Rob Walton becomes chairman of the board, by then Wal-Mart has 1,928 stores and clubs and around 371,000 associates.

Wal-Mart celebrates in 1993 its first one billion sales week and the company expands into Canada and by 1996 Wal-Mart opens their first stores in China and by the year of 1997 they celebrate their first $100 billion sales year. In the 2000’s Wal-Mart offers customers to be able to shop online. And later the company expands the business in other countries for example, India, Japan, South Africa and United Kingdom. In today’s year 2018, the company Wal-Mart changes the legal name, Wal-Mart stores Incorporate to Walmart Incorporate. The company Walmart throughout the years have done and made many things and are continuing to be a successful company.

Walmart stores offers many services and products to customers. First, I will begin with what services the company offers and then add the products each service provides. Walmart offers a variety of services for example, health services. In the newspaper article Chain Drug Review, it stated that;

Walmart is working with DirectHealth.com to help customers identify their health insurance needs, compare coverage options and enroll in the plan that is right for them. The customer open enrollment program, Healthcare Begins Here, will be offered through January 31 in more than 2,400 Walmart stores, online and by phone. New this year, Direct Health.com is working with Jackson Hewitt to staff licensed insurance agents in approximately 250 stores. These agents will help customers navigate the more than 70,000 health exchange plans, as well as help customers over the age of 65 enroll in Medicare. [ Vol.37, No.17] Geoff, Walden

In Walmart’s health services they offer a wellness center which provide vitamins and supplements, organic foods, cleanses and detoxes, probiotics, fitness apparel and fitness equipment. A Vision Center that provides eye drops, contact lenses and glasses for customers. There is also a pharmacy in stores and an online pharmacy which provides medications for pets, immunizations and flu shots, consultations for children going back to school, and travel health vaccines for those who travel and want to stay healthy.

Walmart also offers auto services which provides battery services like a free battery installation, but it is only free if a customer purchased the battery at a Walmart store and if not purchased in a Walmart store they charge $10 to install a battery. They also provide a battery corrosion treatment and a battery terminal end replacement. Another service they provide is tire services for example, flat tire repair, tire rotation, lug nut replacement and tire installation. The two last services are additional and oil and lube services. The additional services have wiper blade installation, engine air filter installation, headlight installation, oil changes and many other services. The oil and lube services also have different types of oil change for instance; Standard, high mileage, pit crew, power and performance oil changes. And the Auto service has a tire finder that helps customers find the tires they need and also helps employees make sure that they have the right information for customers.

The company Walmart includes pet services and registry services for a wedding, baby or events. There is money and business services, in the money services you can find different types of gift cards for example; Walmart gift cards, Walmart egifts cards, Mastercard/Visa/AMEX gift cards and many other gift cards. Walmart money services also have money transfers, check cashing and money orders ad bill pay. Last but not least, the product services and the products are home furniture, home appliances, fitness and sports, outdoors products, clothing for men, women and children, shoes, jewelry, beauty, art supplies, toys, electronics, photo shop, sewing and craft supplies, office supplies, products for pets and food.

At Walmart when shopping for grocery needs they offer grocery Pickup where customers can go online to search up what groceries they need and instead of the customer going inside the store to get all of the groceries, the employees that are working at Walmart are the ones that go to each aisle to get all of the groceries the customer bought online and then the customer goes to the parking lot at Walmart and they just wait for the employee to come with all the groceries, so they can put all of the groceries in the car. Also, they have delivery services in some of Walmart local stores, where customers can shop online at the Walmart online store or app and all the orders can directly come to the customer’s house.

Now, I’m going to go over Walmart marketing. While researching about Walmart marketing I found that Walmart wasn’t much of a marketing company. In Fortune magazine, author Colvin Geoffrey stated that;
It’s hard to believe, but for decades the world’s largest retailer wasn’t much of a marketer. It spent little on marketing, and its efforts, epitomized by the grinning circle, could be charitably called down home and realistically described as amateurish. [ Vol, 164 Issue 10, p50-50].

Walmart at first wasn’t much of a marketing company but throughout the years it has become a market company. Walmart uses marketing mix which is price, promotion, place and product. Walmart has more than 10,000 stores internationally, but it also has a strong ecommerce that allows customers to purchase products online without going to an actual store. Walmart also has delivery trucks where they can deliver any goods the customer at their doorsteps. Every Walmart store offers the same variety to each store.

Walmart products are offer at a low price. Walmart has a tagline which is Save money. Live better, this tagline represents the company’s importance of making their product efficiently at a lower price for customers. Walmart strategy is to have Every day low Price in the stores. Walmart has secure shipping methods at a high level for customers who purchase products/ goods online.

Finally, I am going to go over the financial profile of Walmart Inc. also known as (WMT) on the New York Stock Exchange. The first financial statement I am going to go over is Walmart balance sheet which shows the company’s assets, liabilities and stockholders’ equity. The assets are split into current assets which include inventory, property plant and equipment and other currents assets. Liabilities are also split into current liabilities; current liabilities which are those liabilities that are due within the next year and liabilities are also split into long term liabilities which are those liabilities due in over a year.

In the balance sheet of Walmart, the current assets include cash and cash equivalents, short term investments, net receivables, inventory, other assets, total current assets, long term investments, property plant and equipment, goodwill, other assets, deferred long term asset charges and total assets. First, I will inform the current assets annually, In January 31, 2015 Walmart’s cash and cash equivalents where $9,135,000 with a $6,778,00 in net receivables, the inventory was $45,141,000 and the other current assets were at $728,000 making the total current assets at $63,278,000. The long-term investments were at $512,000 and the property plant and equipment at 116,655,000, goodwill was $18,102,000, other assets at $4,943,000 with $1,033,00 on deferred long-term asset charges, the total assets were $203,400,000. In the year of 2016 the total assets were $199,581,000 in 2017 they were at a total of $198,825,00 assets and by this year 2018 the total assets are at $204,522,000. Throughout those years the total assets have increase, decrease and increase again.

In the Current liabilities, the liabilities include accounts payable, short/current long-term debt, other current liabilities, total liabilities, long term debt, other liabilities, deferred long term liability charges, minority interest, negative goodwill and total liabilities. In January 31, 2015 the accounts payable was at $38,410,000, short/current long-term debt was $4,792,000, other liabilities were at $1,021,000 and the total current liabilities was $65,253,000. The long-term debt was at $41,499,000, other liabilities at $ 8,195,000 the minority interest $4,543,000 and the total liabilities was $117,553,000. Like the assets, the liabilities also increase, decrease and increase throughout 2015-2018.

In Stockholders’ Equity it includes, common stock, retained earnings, treasury stock, capital surplus, other stockholder equity, total stockholder equity and net tangible assets. The common stock in January 31, 2015 was at $323,000 retained earnings at $85,777,000 the treasury stock was $-7,168,000 and capital surplus 2,462,000 also the other stockholder equity was at $-7,168,000 total stockholder equity was $81,394,000 and the net tangible assets were $63,292,00. Looking at the net tangible assets of 2015-2018 the tangible assets have decrease unlike the total liabilities and total assets.
The second financial statement would be the income statement, which shows revenues and expenses. In the revenue it includes the total revenue, cost of revenue and the gross profit. The total revenue in January 31, 2015 is $485,651,000 the cost of revenue is $365,086,000 and the gross profit at $120,565,000. The number of gross profit has increase by the years as well as the cost of revenue and total revenue.
In operating expenses, it includes research development, selling general and administrative, non-recurring, others, total operating expenses and operating income or loss. In operating expenses, the research development is not shown but the selling general and administrative by 2015 was at $93,418,000. They are no numbers shown in the no recurring and others but the total operating expenses there is $448,504,000 and in the operating income or loss is at $27,147,000. The operating income or loss have decrease, in 2015 it was at $27,147,000 and in 2018 at $22,249,000.

Income from continuing operations include the total other income/expenses net, earnings before interest and taxes, interest expense, income before tax, income tax expense, minority interest and net income from continuing ops. In the income from continuing operations by the year 2015, the total other income/expenses net was at $-2,348,000 and by 2018 it decreased more at $-7,126,000. In the earnings before interest and taxes there was $27,147,000 and decreased by 2018 at $22,249,000. The interest expense was at $-2,461,000 and increase by $-2,330,000 in 2018. The income before tax was at $24,799,000 and the income tax expense at $7,985,000 and both numbers increased by the year 2018. The minority interests in 2015 was at $4,543,000 and by the years 2016, 2017,2018 the minority interest has decreased. And the net income from continuing ops was at $16,8144,000 and it has also decreased by the years.

Furthermore, in the non-recurring events it includes discontinued operations and in the Net income it includes the net income and net income applicable to common shares. In the non-recurring events it only shows the discontinued operations of January 31, 2015 by $285,000. The net income was at $16,363,000 and it has decrease by 2018. The preferred stock and other adjustments are not shown but the net income applicable to common shares are the same numbers that are shown in the net income.

The, last financial statement is the statement of cash flows, which shows operating activities, investing activities and cash flows financing activities. In the operating activities it shows the depreciation, adjustments to net income, changes in accounts receivables, change in liabilities, change in inventories, changes in other operating activities and total cash flow from operating activities. The depreciation was $9,173,000 the adjustments to net income at $733,000 changes in accounts receivables were $-569,000, changes in liabilities $2,678,000, changes in inventories $-1,229,000 changes in other operating activities $1,249,000 and the total cash flow from operating activities was $28,564,000. In 2016 the total was less than 2015 but in 2017 the total increase and then decrease in 2018.
In the investing activities it includes the capital expenditures, investments, other cash flows from investing activities and total cash flows from investing activities. The capital expenditures were at $-12,174,000, investments $-1,901,000, other cash flows from investing activities at $479,000 and the total cash flows from investing activities $-11,125,000. By 2018 in the investments it shows no number of investment by that year. And the total cash flows of from investing activities have increase because by 2015 it was at $11,125,000 and in 2018 is at $-9,060,000.

Finally, in the financing activities it includes the dividends paid, sales purchase of stock, net borrowing, other cash flows from financing activities, total cash flows from financing activities, effect of exchange rate changes and change in cash and cash equivalents. By January 31, 2015 the dividends paid were at $-6185,000, the net borrowings $-5,018,000, other cash flows from financing activities at $-2,835,000 and total cash flows from financing activities at -15,071,000. The effect of exchange rate changes is $-5,514,000 and change in cash and cash equivalents $1854,000. The financing activities in 2015 were at $-15,071,000 and by the year 2018 the number decrease $19,0875,000.

Did you like this example?

Cite this page

What does Walmart mean to you?. (2020, Mar 23). Retrieved December 5, 2022 , from

Save time with Studydriver!

Get in touch with our top writers for a non-plagiarized essays written to satisfy your needs

Get custom essay

Stuck on ideas? Struggling with a concept?

A professional writer will make a clear, mistake-free paper for you!

Get help with your assigment
Leave your email and we will send a sample to you.
Stop wasting your time searching for samples!
You can find a skilled professional who can write any paper for you.
Get unique paper

I'm Chatbot Amy :)

I can help you save hours on your homework. Let's start by finding a writer.

Find Writer