you will need to access Walmart’s most recent annual report from Walmart’sFinancial Information(Links to an external site.)page. You can use the annual report to gather additional international data....

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you will need to access Walmart’s most recent annual report from Walmart’sFinancial Information(Links to an external site.)page. You can use the annual report to gather additional international data.


In this final project you will continue to build on your Walmart Case study work from previous courses. Imagine that you have been hired as a data analyst for Walmart. The Walmart executive team has asked you to gather data that will assist them in determining if this foreign market is a viable option for a Walmart expansion. You will continue to research Peru. This case study is Walmart wanting to expand in Peru.


You have been tasked with collecting and analyzing key data points that will assist Walmart in their decision to expand to Peru. In Part I, you will gather data from various sources, use the tools learned throughout this class to analyze data, and determine the best way to present this data to the Walmart executive team. Finally, you will make a recommendation on whether or not this foreign market is a viable option for a Walmart expansion.


Note: It is OK to not recommend an expansion to Peru. Just be sure to justify your recommendation.



Step 1: Data Collection

As a data analyst, you will be required to locate data from multiple sources. Walmart’s latest Annual Report to begin your data collection. These databases should serve as a guide for your research. You are expected to identify additional data sources that will be useful in your analysis.



Accessing Mergent database:


You may want to review the Income Statement for items such as net sales, operating expenses, projected income, etc. It is recommended that you review data from at least the last five years.


If you wish, you can export this data into an excel document by selecting the “Download” option in the upper right corner of the Mergent page.



Accessing Business Insights: Global database:

You may want to review items such as gross profit, interest expense, net income, etc. You may wish to gather data for countries that are closest to your region for comparison.



Accessing Walmart’s annual report:

You can find Walmart’s most recent annual report on theirFinancial Information(Links to an external site.)page. You can use the annual report to gather additional international data.


Here are some examples of data that may be useful to an analyst:


·Under “Item 1: Business,” in the “Walmart International Segment,” you may wish to gather data for retail unit count and retail square feet for all available fiscal years for the country or continent closest to your region. For example, if you are looking to expand in Peru, you will use the data for south America.


·In the “Item 2: Properties” section of the report, you may wish to gather data for the owned and leased properties for the country or continent closest to your region.


·In the “Results of Operations” section of the report, look for “Walmart International Segment.” You may wish to gather data for net sales, operating income, and unit counts at period end for all available fiscal years.


You will likely need to gather more data to make your case. You are encouraged to seek out additional data points that will assist you in your analysis. Other data points you may want to consider include, but are not limited to


·Gross national income


·Population and demographic data of peru


·Key economic metrics, including current economic status, inflation, etc.


·Labor market data, including average wage, unemployment rate, cost of living, etc.


·Market environment


·Foreign exchange


·Credit environment outlook


Here are some suggested databases to get you started. These databases may not have all the information you need to make a full evaluation. You may need to conduct your own research to find useful databases that house the data you need to conduct your analysis.


·International Labour Organization’sILOSTAT(Links to an external site.)


·The World Bank’sDoing Business Data(Links to an external site.)


·The World Bank’sDataBank(Links to an external site.)



Step 2: Analyzing the Data

Now that you have gathered your data, you will need to determine the best way to compile the data for analysis. Using the tools and skills you have learned in this course, create graphs and tables that will assist you in making sense of the data. You will use these tables to assess the data and support your analysis.


In your paper,


·Summarize the background of Peru or region, including what makes it unique and why it is a viable option for Walmart expansion.


·Assess the data sets and include any charts or graphs used in your evaluation.


oMeasure outlook sales, interest, and other trends to make a determination on the regional outlook. Is the outlook improving, remaining stable, or deteriorating? For example, how will this expansion affect sales trends, interest cost trends, etc.?


oCalculate whether Walmart will have favorable or unfavorable currency translation adjustments. For example, how strong is the country’s currency against the U.S. dollar?


oCreate revenue projections and sales projections based on the data. Consider the currently translation adjustments in your projection.


oPropose a recommended course of action based on your interpretation of the data.

Answered Same DayApr 21, 2021

Answer To: you will need to access Walmart’s most recent annual report from Walmart’sFinancial...

Rahul Kumar answered on May 03 2021
157 Votes
WALMART
Introduction
Walmart is an American multinational retail corporation operating a chain of grocery stores discount department stores and hypermarkets. Sam Walton founded the company in 1962 and the company was incorporated on October 31, 1969. The company also owns and operates Sam's Club retail warehouses.
In Canada and America the company is operating its business in the name Walmart, as Walmart de México y Centro América in Mexico and Central America, in the U.K. as Asda, in Japan as the Seiyu Group , in India unde
r the name of Best Price. Company’s wholly owned operations are in Canada, Chile, Argentina and South Africa. From August 2018, Walmart has minority stake in Walmart in Brazil, which was then renamed as Grupo Big in August 2019. The company owns 20% of the shares and Advent International (private equity firm) owns 80% of the company.
    Co. Type
    Public
    Traded as
    NYSE: WMT
    Industry
    Retail
    Founded on
    July 2, 1962
    Founded by
    Sam Walton
    Headquartered in
    Bentonville, Arkansas, U.S.
    Key People
    Greg Penner (Chairman)
Doug Mc Million (President and CEO)
    Area Served
    Worldwide
    Products
    · Home and furniture, Party supplies, Home improvement, Clothing, Electronics, Pet supplies, Footwear, Jewelry, Photo finishing, Toys, Health and beauty,
· Movies and music,
· Grocery, Craft supplies,
· Auto, Sporting goods and fitness.
·
Customer Base
Walmart customers marks low prices as the most important reason to shop from the stores. A Walmart report of the year 2006 indicates that the comsumers are very sensitive towards the high prices and utility cost. Because of its eminence in the Bible Belt, company is noted for its "tradition of tailoring its service to churchgoers."
In 2006, Walmart heads foreword to expand its American customer base, by the way of re-modification in its American stores from a "one-size-fits-all" merchandising strategy to one designed to "reflect each of six demographic groups—African-Americans, the affluent, empty-nesters, Hispanics, suburbanites, and rural residents."
After about six to seven months, the company came up with new advertising phrase: "Saving people money so they can live better lives". It identified the three main groups with Walmart categorizing its 200 million customers: "brand aspirationals"(lower income groups, suffers from big name brands), "price-sensitive affluents" (wealthy and rich shoppers), and "value-price shoppers" (peoples who are comfortable with low pricing of products and cannot raise high).
Competition
In North America, the companies’ primary area competitor includes departmental and retail stores like Ingles, Kmart, Lidl,  Aldi, Kroger, Publix, Harris Teeter, Target, Winn Dixie and Meijer. Canadian superstores-Giant Tiger and Sobeys in Canada and Mexicana and Soriano of Mexico. Costco and the smaller BJ's Wholesale Club chain are considered to be the Competitors of Sam's Club division of Walmart .
In the late 1990s, Walmart’s entry into the grocery business pitted it against the major chains of supermarkets in both Canada and United States of America. Many small flippers, mainly dollar stores, such as Dollar General and Family Dollar, founded a small niche market and is competing successfully against the Walmart.
 Walmart is doing well in the United Kingdom, where in May 2006, its subsidiary (Asda) is the second-largest retailer, Walmart decided to disinvest all its 16 South Korean outlets to a local retailer Shinsegae, for US$882 million when entered the South Korean market in 1998. Walmart stores was rebranded by Shinsegae as E-mart stores.
Operating Divisions
Operations of Walmart is divided into the following four divisions:
1. Walmart U.S.
2. Walmart International
3. Sam's Club 
4. Global E-Commerce.
Various retail formats are introduced by the company in all these four divisions, which includes home improvement, supercenters, cash-and-carry stores, warehouse clubs, hypermarkets, restaurants, convenience stores, supermarkets, apparel stores, drugstores, specialty electronics and digital retail.
1. Walmart U.S.
This division of the company is said to be the largest division which comprises of three retail formats - Neighborhood Markets, Supercenters,  Discount Stores and all other small formats. These discount stores are mostly set to have a wide range of non-grocery products, although now the emphasis is shifted towards the supercenters, including more of groceries.
2. Walmart International
Currently the international operations of Walmart comprise of 6146 stores outside U.S. market. Company has its fully owned operations in Canada, Argentina, United Kingdom and Brazil. Internationally units cover an area of 344949sq feet (in thousands).
3. Sam’s Club
A chain of warehouse clubs selling general merchandise and groceries, mostly in bulks. In the year 1983, under the name "Sam's Wholesale Club" Walmart opened its first Sam's Club in the Midwest City, Oklahoma. The series was founded by Sam Walton so was named after the fonder. Kathryn McLeay is the CEO and president.
4. Global E-Commerce
Located in San Bruno, California, the companies Global E- Commerce division provides online retail format for Walmart, Asda, Sam's Club, and all other international brands. There are several locations in the United States in...
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