Chapter 3, Problem 13CSQ

Explanation of Solution

Analysing Walmart and Amazon using the competitive forces and value chain models:

Walmart:

• Walmart is a traditional competitor with strong supplier intimacy.
• Walmart continually works to develop and strengthen its customer’s intimacy by offering low prices on many of the products that may or may not be offered by any other company.
• They balance on its low-cost leadership to bring customer backs.
• Walmart’s continuous supply replenishment chain gains customer response on using information technology to strengthen their value in its primary activities.
• The primary activities includes inbound logistics, operations, sales and, marketing and service.

Amazon:

• Amazon is a new market entrant that uses substitute products and service to gain new customers and keep old ones coming back...