Walmart Case Study

Hello Friends, You must be aware that Today's Era Richest Men is Jeff Bezos and Earlier it was Bill Gates But do you know who was the Richest man before Bill gates that too for many years Well From 1982 onwards The Man who was at the position of World's Richest Man Was Sam Walton When Sam Walton Died on 1992 only after that Bill gates became the world's Richest man Sam Walton was so rich and successful because he Formed a Company Walmart who brought Revolution in Retail Industry Even Today Walmart is the Biggest Revenue Generating Company, it's in number one position In 2017 Walmart Generated 486 Billion dollar Revenue whereas Apple Generated $255 billion revenue In Today's Time Walmart has 1 thousand 12 hundred and 77 (11277) stores and clubs worldwide Walmart has more than 2.3 million workers employees more than any private company Canada population is less than the people who visit Walmart in just one day.

1985 when Forbes listed sam Walton as World's Richest man at that time all media people were stressed about who is Sam Walton, never heard about him, never seen him, etc all were thinking who is sam, Walton? how exactly he is with the hope to know sam walton, all media people went to Bentonville where Walton used to Reside they were assuming that walton will be relaxing in money pool, who will be smoking $100 as a cigar girls will be around him, they all thought that sam walton maybe living such Lavishing life but their assumptions broke, when they came to know instead of driving a Sports car, Sam walton used to Drive an Old Truck which has Cages for his dogs they came to know instead of doing his haircut from a fancy salon, he prefer to go to small roadside salon instead of wearing designer clothes, he used to wear his own store simple clothes and a ball cap He was a person who prefers living a simple life this doesn't mean that he was miser, no obviously not but the actual reason was that he always understands the Value of Money In his Lifetime he bought 18 planes all were second hand, he didn't bought those planes for showoff he bought all planes for saving his time Sam walton belong to a very normal family,  his parents were very hard working people they all respected money, when sam walton was growing old at that time huge Recession was going on and there were huge money problems were going on hence Sam walton's parents used to use money with proper calculation and same thing Sam Learned from his Parents Today child work is considered as a Sin, But Sam Walton since childhood was a Contributor to his family not a taker, means he since childhood learned to earn money since childhood he used to sell Rabbit Pigeon or magazines or newspaper by going door-to-door since childhood he worked hard and earned money therefore he learn to value money a lot If Sam Would have wanted then he would have easily lived a very Lavishing life by buying yacht/islands but no, he chose a very simple life, why because he use to believe that if i spend a lot then indirectly it will be like i am spending money from the customers pocket see maximum company fail to become huge, because those companies owners after getting small success starts taking and spending lot of money from the companies profit because of which their life grows but companies growth stops because of lack/less of money however Sam Walton used to invest his maximum income again to his businesses and companies he used to Re-invest his money by opening new shops and stores, therefore he able to create a huge Empire hence the very first lesson we must learn from Sam walton is Value of making money many people say that they don't have money to start a business well even Sam didn't had but if you learn to work hard and to earn money and learn to value your money then slowly and gradually even you will do something great and huge like Sam walton Since childhood Sam walton's mother taught him one thing That Son be best at whatever you do always set high goals for yourself and always be ambitious therefore since childhood Sam always work to become the best Example: as i said earlier sam used to sell Magazines and Subscriptions to earn money that time a competition happened where they were asked who will sell maximum subscription in one day and price of the competition was 10 dollar now obviously you can understand who won that Competition, obviously Sam walton many parents who stop their kids for playing and ask them to study all the time let me tell them Sam walton used to play baseball, basket ball and used to swim in summer season and he was good in all these games/sports an amazing fact, whichever game sam played during his childhood, he won all those matches and whether say it a luck or anything, whichever match Sam's team used to lose in those matches sam fails to appear, or wasn't present in those matches for some reason like he was ill, or was injured etc no matter whats the reason, but this thing made Sam believe that Winning is his Right, he cam never lose and this believe made him grow in his life At the age of 12 he challenged one boy that he will be the first boy to win in Boy scout eagle match and guess what just at the age of 13 he became the youngest eagle of his time Now don't take it wrong, he wasn't a talented kid or God has gifted him talent or luck or anything but actual reason was he was very hard working, he used to work hard to always stay at the top he always believed in Action, therefore in whatever he used to participate he used to emerge as a winner example, Sam walton's team was State level champion in Football and basket ball he was president of many clubs and organisation in his childhood Charlie Baum Early Walmart Partner says, In Many ways Money wasn't that important for Sam but the thing which was the reason for his motivation was to stay at the top always now the second lesson which we must learn is Competitive and Best Whatever you do, be best in that by being competitive this attitude will move you forward in life just like sam walton Sam walton was a very Influencing and motivating person people used to admire him and like him coz of his humble nature now as he always want to stay at the top, once when there was competition going on in his university for president, therefore Sam Participated in it In that Competition he learned a simple but great secret or lesson of Great leadership skill secret was, whoever used to come to meet him or used to walk near him, sam used to be the first person to Approach, he used to talk first before that opposite person if sam knows the opposite person, then he used to talk to them by saying their name and even if he didn't knew the person still he used to talk to them, even if people are just passing around him now with this habit what happened people starts recognising him and consider him as a friend and as a result he won the President Election There was an article where it was written that sam was one of the rare person who used to call and was aware of his company's employee names, he knew from Janitor till CEO By their names and this same nature was very beneficial for his shop, it played a great role in bringing customers to the shop Because he used to Greet people with Respect, he used to Greet people walking outside his shop he used to remember people's name used to make people feel important and special always In short he was  very great with People's skill and because of playing many games he understood the importance & power of Team work from the young age he used all these knowledge and learning for Walmart Success Therefore Lesson No.3) Improve your People skill and learn Team work How to win friends and influence people is  an amazing book  which will for sure improve your people's skill i have already made a book summary for how to win friends and influence people can check out from the below description with competitive and confident nature and by paying his education fees by himself he somehow completed his studies and then he did his first job in JCPenny store which was a Retail shop Sam Handwriting was very bad and was hardly understandable, managers used to face issues but still no one was removing Sam from that job, Why? Because sam was a great salesman and used to do lot of selling and profit for the company as he always wanted to be at the top therefore he took $20k from his father in law and started his own shop which was basically Ben Franklin Shop's Franchise at New Port Sam bought that shop in Excitement but later he came to know that this Shop rent is more compare to other shops that is 5 percent of total sale income and people who gave that shop in rent to him were basically fooling Sam now instead of focusing on How he got fooled, how bad people are, how he got tricked he decided and aimed to make that loss going Store to be the most profitable store of New Port Example: before sam took that shop of rent, that shop used to do selling of 72 k dollar per year and the shop opposite to sam walton's shop used to do  selling of 150 k dollar per year now to be at the top, he started doing lot of research that how he can move above his competition he read all retail publication books, he attended Ben Franklin Program which was teaching how to handle stores and most importantly he used to focus what all things going inside his competitors shop, like what exactly the competitor is doing and by learning though all those things, he used to apply in his store and he used to do other experiment also which wasn't done by others Example, he opened Ice cream and pop corn machine in front of his store which became the reason of him getting more profit and attention of the people and this way that store slowly and gradually started getting successful here 4th lesson which we must learn is LEARN EXPERIMENT AND FOCUS TO WIN Instead of focusing on Negatives, focus on positive by focusing on learning & by doing experiments now by doing many experiments and by breaking many rules he started running his store Example: There was a Rule of Taking Ben Franklin Franchise and that rule was that Sam has to buy 80 percent of stuffs/products from Ben Franklin Directly but sam used to buy only 70 percent or less than that from Ben franklin and remaining stuffs he used to buy from outside so that he can sell in less amount to the customers now i will share a story which will teach the key lesson of Walmart success Ben franklin used to sell underwear's in 2.5 dollar dozen to Sam sam used to sell 3 underwear's in 1 dollar to the customers but when sam came to know that same underwear's he can buy from Harry in just 2 dollar dozen then Sam Started Buying Underwear's from Harry and instead of selling 1 dollar 3 unit, he started selling 1 dollar 4 unit with this his profit for 1 unit decreases but because many people started taking it from Sam, because that same underwear's were expensive in other shops, hence Total Profit of sam increased example: he sells the stuff to customer in 1 dollar which was bought by him in 80 cents and was normally sold by others in 1.20 dollars, then with this his profit use to decrease by 20 cents from one unit but with this idea normally three times more people used to start buying that same stuff by finding it cheap which eventually increases his total profit This is known as Profit from Volume and this is the real essence of Discounting which is followed by many big companies including Amazon is doing it by learning from Sam walton now these experiments and rule breaking wasn't liked by Ben Franklin heads but again they failed to do anything against Sam, because sam made that loss giving store a very profitable store, which started selling 250 k dollar stuffs in a year which was earlier selling only $75 k pr yr which was giving lot of profit to Ben Franklin see this is the Power of Creating Results therefore 5th lessons which you must learn from sam is Break rules but to create results see at the end what matter most is the result not other factors like time or anything therefore if you focus on creating results even after breaking rules just like sam then no one can do anything against you now with lot of hard work and experiment that store became the biggest  and profitable store of the sixth state region,  the way sam always wanted it to be but later a very huge problem Arises due to his small mistake when he created an agreement  while taking the Ben shop in that agreement he failed to mention the term which says that he can increase or can buy the store after its completion of 5 year leased period by not doing it what happened that the owner of that shop became greedy and instead of giving it to sam, he kept that shop for himself because that store has became very popular with this Sam's entire hard work efforts were gone to the ground, sam says that this was his life the biggest low point now after this what all things sam did to cope up. Thank you