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Case Report for Walmart

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Submitted By wonderingy
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Short Case Report

CASE 2 – LAND-RESERVES TO SUPPORT WAL-MART´S GROWTH IN LATIN AMERICA

Objective – Analyze Wal-Mart’s growth in Latin America to anticipate company´s needs for land reserves and evaluate potential gains and risks for Baja-Land Co.

Situation – You are working for Baja-Land, a real state agency operating in Latin America (Mexico City based). Your company has been contacted by Wal-Mart (International Division) to look for new cities in Latin America where new stores units can be installed. The CEO of Baja-Land is unsure about getting involved in this project because Wal-Mart has created a reputation as a hard-to-deal giant company in Latin America. The project will require Baja-Land to invest in the entire search in eight Latin American countries plus all the costs of pre-negotiation arrangements with land owners before presenting adequate options to Wal-Mart´s executives who will decide whether or not to consider Baja-Land’s proposals.

You have been assigned to this project by the CEO of Baja-Land. Your first task would be to analyze Wal-Mart’s recent growth in Latin America. Your boss has the impression that Wal-Mart’s growth in the region has decreased substantially in the last years. So you need to determine the importance of Latin American markets for this giant multinational and anticipate potential company´s needs for land reserves in the region. You also are asked to consider other significant factors of Wal-Mart’s business model mainly types of business facilities, relationships with suppliers, and tactics for expansion into new geographic markets. Your job is to evaluate potential gains and risks for Baja-Land to get involved in this business opportunity. Report your findings and conclusions.

Report Requirements – Start by reading Case 13 in your text book (pp. 420-436). Look for additional information as needed to solve the

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