IST 301 Lecture Notes - Lecture 1: Walmart
25 Feb 2016
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Document Summary
Wal-mart began to purchase the products in the world and international procurement offices work directly with local factories to ensure wal-mart"s private-label goods. These walmart"s own brands accounted for 20% of sales in 2005. In each quarter, the buyers will meet in. Bentonville in order to review new commodity and exchange of notes and tips. In the 70"s, walton used the distribution strategy to put the stores in the area where people can get there within a day"s driving to gain economies of scale. Afterwards, walmart used this strategy to open thousands of stores. They opened the stores where the area has low rent price, suburban areas, also close to major highways. This strategy helped walmart to built its efficient logistics network. The strategy was everyday low prices, products are displayed at a steady price, and there is no discount on a regular basis.
