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Members: Vũ Hải Nam Phạm Thu An Nguyễn Thị Tuyết Nhi Phạm Võ Ánh Nguyệt Nguyễn Thái Anh Phương Đào Lan Phương. OUTLINE. Services Geography Global stimuli. Outsourcing definition. Outsourcing can be done domestically or abroad and always involves work done externally. outsourcing.
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Members: VũHải Nam Phạm Thu An NguyễnThịTuyếtNhi PhạmVõÁnhNguyệt NguyễnTháiAnhPhương ĐàoLanPhương
OUTLINE • Services • Geography • Global stimuli
Outsourcing definition • Outsourcing can be done domestically or abroad and always involves work done externally.
outsourcing • Benefit • Drawback
Benefit • Less capital expenditure • Less management headache • Focus on core competencies
Drawback • Less managerial control • Outsourcing company goes out of business • May be more expensive
OUTSOURCING FACT • manufacturers outsourcing • 70% merchandise Chinese component. • global leader of outsourcing.
Expansion Outsourcing profit
Content: Efficiency • Imports China Manufacturing. • > $11 Billion Of Textile Manufacturing To India. • Purchases India (30%). • Expects To Source Goods Worth $5 Billion (2010). • India’s Markets Not Come Without A Price.
Services • Financial services • Insurance and real estate • Transportation and communication
Financial services • Payroll check cashing • Money orders • Money Transfers • Bill payment • Walmart branded credit cards
Insurance and real estate • Credit card and billing services • Balance Protection Plan • Extensive Coverage through every Stage of your Life • Unbeatable Price for all this Protection • Additional Details of Coverage
Transportation and communication • Safety • Economic competitiveness, • State of good repair, • Livability • Environmental Stability
GEOGRAPHY • Wal – Mart: • _ comprise 4,263 stores ; 660,000 workers in 15 countries outside the US._ ranked No.2 (Fortune 500 list of largest companies in America 2009)_ add to the more than $400 billion in annual company revenues . _ sales were $100 billion, or 24.7% of total sales (2010). series of acquisition (Germany, Argentina, and Canada). Varied Strategy HOWEVER Wal-Mar hypermarkets (Mexico and China)
GEOGRAPHY How could Wal-Mart be so successful overseas ? • WAL-MART try to: • _ Satisfy customer’s needs. • _ Company’s unique culture and effective retailing concepts each new countries. adapt to local cultures Wal-Mart go overseas become involved in the local community
GEOGRAPHY - Wal-Mart has been able to run an international business, maintaining the advantages of huge economies scale and buying power, whilst at the same time being flexible on the local level. Glocalisation and the success
WAL-MART NORTH AMERICA Mexico Canada CENTRAL AND SOUTH AMERICA Chile Brazil
WAL-MART EUROPE Russia UK ASIA China Japan
Where? WHY?
CHINA • >= 80% of Wal-Mart’s Global Suppliers Are Based in China • Imports Could Be As High as $30 Billion A Year • 70% of Goods Sold at Wal-Mart Contain Components Manufactured in China • 8th largest Trading Partner.
Growth in technical education • Cheap Labor • Language • Labialisation of laws and government policies • Existence of offshore manufacturing and physical proximity to major markets
In March 2004, Business Line reported that Wal-Mart intends to outsource $11 billion in textile merchandise over the next few years. • Wal-Mart Operates an 80 Person Sourcing Office in Bangalore. • Wal-Mart Is Increasing Purchases From India By 30%. INDIA
High-quality and cost-effective services • High-end technology and best-of-breed infrastructure • Skilled, talented and experienced professionals • Wide range of services • Save on time, effort and infrastructure • Latest software and technologies
GLOBAL STIMULI • Distribution of labour: • The largest private sector recruits and uses the amount of employment all around the world. • Provide the great number of jobs. • For any position and hierarchy: manager, accountancy, research & development, marketing & advertising, public relations. • Decrease the proportion of unemployment and solve the career problem. • Enhance the world economy.
GLOBAL STIMULI • International Trade: • Leave with radical reductions in fixed assets and exuberant dark store expenses related to the discontinuance of the international stores • 60% of Wal-Mart products are imported from such countries as fast-growing South Korea, Philippines, Malaysia, Cambodia, Thailand and Vietnam. • The company's biggest trading partner is China. • Sales from stores outside the U.S. are growing faster than Wal-Mart's American retail operations.
GLOBAL STIMULI • Income of workers • Impact on Wal-Mart workers • Impact on Wal-Mart Shoppers
GLOBAL STIMULI • Impact on Wal-Mart workers: • What if Wal-Mart put in place a $10 per hour minimum wage for all its hourly employees in the U.S.? • How much would it cost Wal-Mart ? • how much of the increase would benefit workers in poor and low-income families?
GLOBAL STIMULI • Impact on Wal-Mart Shoppers
GLOBAL STIMULI • Not only concerned with the average Wal-Mart shopper, but also with the low-income Wal-Mart shopper • How would these low-income shoppers fare if Wal-Mart were to increase its prices to recoup the costs of a wage increase?
REFERENCE • http://en.wikipedia.org/wiki/Walmart • http://walmartstores.com/ • http://www.vnbrand.net/Cau-chuyen-doanh-nhan/cau-chuyen-cua-wal-mart-giau-nhat-nho-ban-hang-re-nhat.html • http://www.answers.com/topic/wal-mart-stores-inc • http://www.zerohedge.com/article/why-wal-mart-embodiment-economic-stimulus • http://www.businessweek.com/news/2011-04-02/wal-mart-said-to-plan-test-of-online-grocery-delivery-service.html