Case Study: Walmart Powers Online

Walmart Powers Online

Will Walmart become the dominant e-tailer in the world, replacing Amazon.com or will Amazon dominate Walmart online? What factors would contribute to Walmart’s success in the online marketplace? What factors would detract from its ability to dominate online sales the way it has been able to dominate physical retail sales in many markets?

I think that in the online market, Amazon will dominate Walmart. There are many reason to think so. The first is the customer expectations. The customers expect Walmart to be best at physical delivery of products while they trust Amazon to be the best in the online world. Also, Amazon had made considerable technological advancements over the last many years to understand the needs of online customers and deliver according to their expectations. It would not be an easy ask for Walmart to be able to match the capabilities of Amazon in the online world.

Walmart already has their retail store in many regions. This is what they can utilize to their advantage in my opinion. Walmart has the capability to deliver to their customers more rapidly than Amazon because Walmart is already present in the nearby to most of the Customers. While Amazon has to ship from far away in many cases.

The fact that Walmart has to adopt to the technologies that help Amazon become an e-tailing leaders is what detracts its ability to dominate online sales the way it has been able to dominate physical retail sales in many markets. Another factor could be the fact that Walmart has already spend financial resource on getting products to their stores, delivering them again to customer in response to their online orders could mean extra financial expenditure.