Wall-Mart and Information System Essay Example | Topics and Well Written Essays - 1500 words

Wall-Mart and Information System - Essay Example This paper will explain why Wal-Mart has lived to become one of the most successful retail companies in the world, and particularly tie its competitive advantage strategies with relevant theoretical models. Wal-Mart stores are, therefore, designed in such a manner that the managers of the organization are the ones who allocate duties as well as monitor the activities of employees within the organization. The managers also identify any changes that need to be implemented to the stores in order to ensure that all the production processes within the stores are in line with the goals of the entire organization (The Wall Street Journal, 2012). This paper will show how Wal-Mart has used information systems to achieve different categories of its strategic goals. New products, services, & business models Wal-Mart has been able to utilize information systems to improve its products, deliver and sell its product and services to create wealth. Ideally, the key characteristic of Wal-Mart’ s business model is its low-cost strategy, which is enabled by its efficiency and high level of productivity as a result of the use of innovative information systems. Therefore, the company has managed to attain cost leadership by reducing its cost of operation to the lowest level possible (Porter, 2008). The fact that Wal-Mart’s products cost relatively low makes it very successful when introducing new products and services because after all, many customers will want to purchase in its stores to maximize the value for their money. The management of Wal-Mart tirelessly continues to utilize information technology to improve the company’s business model in such a manner that meets the customers’ requirements and suits the organizational goals. The kind of information systems deployed by Wal-Mart is a mixed type, whereby both â€Å"bricks and motor† and â€Å"clicks and bricks† methods are used to market its products. Ideally, Wal-Mart does not advert ise in the media like many of its competitors do, however, its products and services are very popular with customers.