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Two world-class retailers have made a fortune in China. They are all successful. Enterprises, however, have their own characteristics in business strategy, procurement strategy and supplier management. Here is a comparative analysis of Carrefour and Walmart in the above aspects. If any organization ...

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Running head: Strategy Analysis and Research Project

Strategy Analysis and Research Project TEAM 2 Chuyuan Peng Yiyi He Zhiming Liu Qi Xu Jinchan Gu Jiaqi Deng BUSI_740

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Strategy Analysis and Research Project Two world-class retailers have made a fortune in China. They are all successful. Enterprises, however, have their own characteristics in business strategy, procurement strategy and supplier management. Here is a comparative analysis of Carrefour and Walmart in the above aspects. If any organization or enterprise chooses a way to realize profits, it will be strengthened and solidified in the actual operation through the process, thus forming the differences between different organizations. Carrefour advocates low price every day, but in fact, it is a hi-low (high-low combination) price strategy. The price of goods that customers often buy and often compare prices is very low. The normal price of other goods is generally higher than that of Walmart, which actually uses low price every day. Inside and outside the store, the purchase news, the advertisements at the door of the store, the hanging flags in the store, and the shelf marks are all in bold red letters to remind you which products are being promoted; in the store, the stacker and end shelf display are vivid and attractive, and the marks for new products, promoted products, recommended products, etc. are clear; Carrefour supermarket's business philosophy is a commercial comprehensive store, which is characterized by: Membership system, one-time purchase, self-service, free parking, low price every day, the goal of department commodity display is to facilitate customers to choose and take, and improve the purchase efficiency. If Carrefour is trying to attract experience customers, Walmart is trying to attract rational customers. The display in the store is not as well arranged and constantly changing as Carrefour, with less busy shop promotions, customers can easily find products in familiar locations. The characteristics of marketing activities are reflected in the selection of products and the implementation of daily low prices.

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For Carrefour, centralized procurement can obtain better conditions, improve the company's profit margin, and demonstrate the ability to order in large quantities to suppliers; the first standard of Walmart is good quality and low price, the products should be competitive, and the products can be delivered on time, the second standard is to cooperate with enterprises of a certain scale, if Walmart finds that it is cheaper They will transfer orders immediately. Carrefour's profit model is to make money from factories, not consumers. They use strong throughput to increase bargaining chips with factories, but this undoubtedly increases internal management costs. Walmart adopts exclusive supply, which can reduce procurement costs, but if suppliers have problems, it will affect enterprises. Carrefour, founded in 1959, is the largest retailer in Europe, the second largest retail chain group in the world, and the initiator of hypermarket format. Since entering the international market in 1969, it has opened 11000 stores in more than 30 countries, serving more than 2 billion people. At its peak, it has more than 500000 employees. In 2004, Carrefour was ranked 22nd in the global top 500. In 1995, Carrefour was introduced into China. There was no accident. In just a few years, Carrefour opened hundreds of stores, which were so popular everywhere. However, Carrefour's performance in China began to decline by 2009. At a rate of about 10% per year, every year since then, Carrefour China's performance and profits have been retrogressive, falling by more than 10% every year. Up to now, Carrefour's performance shows no sign of improving. 1. First of all, it lost in the counterattack with e-commerce. In 2013, Carrefour China established an e-commerce "Carrefour online mall", focusing on door-to-door delivery, because they believed that the decline in performance was only due to the fact that the

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current consumers are too lazy. As long as they can deliver goods to door, with the potential of Carrefour's reputation for many years, the victory can be expected. In addition, Carrefour's delivery is too slow. It can be delivered the next day as soon as possible in Beijing, and a few areas in Shanghai can enjoy 3-hour rapid delivery service. Moreover, users need to buy 129 yuan to enjoy the package, which is compared with tmall's 88-yuan package supermarket and Jingdong's 99-yuan package supermarket, the time price has been lost. 2. Second, link to take out platform. Carrefour can also be seen in the mass comments, meituan and Baidu takeout. But compared with other big guys, Carrefour's figure is particularly thin and small. Although these platforms can bring hundreds of orders to stores every day, they are just a drop in the bucket for the hypermarket with an annual turnover of over 100 million. 3. Carrefour has also tried to grab jobs at convenience stores. In 2015, Carrefour first launched the "easy Carrefour" convenience store in Shanghai, taking advantage of the land price and cost of its hypermarket to seize the business of community convenience stores. However, there are only 30 Carrefour easy stores since it opened its first store. Even Carrefour is trying to adjust its format ratio. Since 2017, all newly opened stores have reduced their own stores and expanded the proportion of experience businesses to retain customers. The plan, which was implemented for a year last year, still failed to stop Carrefour's decline in China. 4. Core services have been questioned. In the same chain brand, some stores still have good business for 10 years, while some stores have to turn to bargain sale or close down within a few months. It can't be said that there are no reasons. There are many factors that

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determine the operation time of a supermarket. Product, marketing, price, management and other factors will cause great differences. But the supermarket is also a service industry after all. The quality of service determines whether customers will come to your restaurant or not, which will also affect the operation of the restaurant. Based on the above problems in Carrefour's global business, enterprises should follow the pace of the times from the beginning 1. According to the development of peers and the Internet of the times, investigate the needs of consumers; at the same time, analyze the data of peers using e-commerce distribution, so that enterprises can have more chips to compete with others. For example, Carrefour has no attraction compared with tmall and Jingdong package prices. Secondly, Carrefour's time to enter e-commerce is slower than that of its peers, which means that the enterprise is out of the market. It needs to better smell the changes of the whole market and cater to the public's taste. It is not easy for Carrefour to survive in the competitive atmosphere of meituan takeout and Baidu takeout in combination with the takeout link. Although Carrefour has seized the business of the community convenience store, it is out of the track of time and has increased its business burden. 2. The biggest difference between Carrefour and Walmart is that they are unable to make products according to the needs of consumers in the process of founding. In the process of Walmart’s global strategy and Carrefour's operation, we can understand that there are different consumers in some regions, and the conditions of human culture and geographical environment have created different food culture and product habits. High quality enterprises need to negotiate with different customers' cultural habits according to

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big data research, so as to meet consumers' purchase needs and achieve the supply of procurement and supply chain. With the progress of the times and the development of the economy, people are no longer satisfied to work for others to reflect their own value. More and more people join the huge team of starting their own businesses. Wu Zhong, people hope to experience the pleasure and passion of their own entrepreneurship through their wisdom and efforts, and also better reflect their own value. So, more people choose to start their own businesses. However, not everyone who starts their own business can succeed, and even some people suffer from bankruptcy. Therefore, how to choose entrepreneurship is a crucial issue. So, how to choose entrepreneurship? Which project should be chosen as our entrepreneurial dream? What problems should we pay attention to in the process of entrepreneurship? First of all, regardless of your specific situation, if you want to start a business and choose a business project, you must follow these general principles: 1. Choosing a project to start a business is like setting up a partner, and the feeling of starting a business can be compared with that of first love. 2. The importance of choosing entrepreneurial projects can be compared with that of setting up partners. In any project, there is a process of conception, pregnancy, birth and development, which is a natural process. The project has a process of understanding, understanding, comprehending and grasping which is a historical process. Therefore, the process of entrepreneurship is a long-term process of mutual integration between people and projects, and also determines the options. 3. The aim must be long-term.

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With the progress of the times and the development of the economy, people are no longer satisfied to work for others to reflect their own value. More and more people have joined the huge team of starting their own business. People hope to experience their own pleasure and passion through their wisdom and efforts, and also better reflect their own value, so more people chose to start their own businesses. However, not everyone who starts their own business can succeed, and even some people suffer from bankruptcy. Therefore, how to choose to start their own business is a crucial issue. So, how to choose entrepreneurship? Which project should be chosen as our entrepreneurial dream? What problems should we pay attention to in the process of entrepreneurship? First of all, regardless of your specific situation, if you want to start a business and choose a business project, you must follow these general principles: 1. When choosing a project to start a business, it is necessary to analyze different consumer groups, so that satisfying consumers can bring profits to its own project. 2. To choose a corresponding project, you must be familiar with the process, be proficient in the business scope, and have a thorough understanding of the project you choose, and be able to accept the incubator brought by the whole project. 3. The project must be suitable for operation and management for a certain period of time, which is not an idea that can be achieved overnight. Our company's name is C-Market. Registered capital 10 million dollars and registered in the United States. It's an online shopping platform. C-Market adhering to the heart-centered core, adheres to the principle of service first, always adhere to the creative brand and leading quality, not drift with the tide.

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Scope of Operation Instant fast food, microwave food, dessert jelly, candy, biscuits, preserved plum, rice, oil, salt, vinegar, sauce and spices, hot pot special zone, special pasta, classic meat, canned food, grains and cereals, drinks, health and birthday products, life entertainment, massage series, special gifts, flowers, table games, etc. All the products are brand products of China, Japan and South Korea. After the whole process of selection, quality inspection, shelf life inspection, shelf sales, every link has been carefully handled by professional staff, to ensure that the product is genuine, quality assurance, defective goods within seven days returned for replacement. Prospects for Development Every year, 500 thousand of Asian students go to the United States to study. More than 90% of Asian students have the habit of shopping online. Asian students spend an average of $50 a month on online shopping. Our goal is to capture market share of 5% and total revenue to US $15 million. C-Market is an online shopping platform, and our target customers are Asian students studying in the United States. This article will segment the market from different aspects to meet target customer needs, so that our products can be sold in the shortest time. C market is based on the comparison of Jingdong and Taobao in China, Amazon and other cross-border platforms in foreign countries. The whole project supplies different products by analyzing the hobbies and consumption habits of overseas students in different regions. At the same time, there are also high-quality distribution services and gifts for orders. In the early stage, we will focus on how to introduce customers and increase customer stickiness after the transaction Based on a large group of international students, I believe this platform will only get

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better and better. Through SWOT, I hope all investors will be optimistic about the potential of this platform.

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S (Strengths)

Different audiences, we provide different kinds of products. We will introduce some famous network anchors in our website and it according to the customer’s interests. So, it will extend customer’s time on our website. This plat will motivate customer's desire to purchase. We can get more profits.

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W (Weaknesses) For consumers, our platform is not very different from other large platforms. At the

beginning, there will be many customers who are unable to transfer to the new platform to place orders

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O (Opportunities) With the outbreak of the epidemic, most consumers can only rely on e-shopping. On the

basis of many e-commerce platforms, consumers are more likely to accept such consumption patterns

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T (Threats) I believe there will be more platforms that are similar to the C market and will be more

competitive. Although the advantages and disadvantages of this project coexist, I can gradually improve my market through different strategies and policies. If we want to compete with Chinese software, we must consider Taobao and JD, because they monopolize the Chinese market. Fortunately, they don't have an overseas warehouse, so it's impossible for Asians to buy their

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services from the U.S. and they need direct overseas mail, so they'll be limited to a few categories. Mail sent directly overseas is inefficient, and the food and drug administration controls products such as cosmetics and food. It's too bad for big companies. We can give customers a free shipping while the total price reaches 49 dollars as we are aiming at Asian people so we will add Korean and Japanese as for distribution we would like to build up storages in some eastern certain states and the south to decrease the shipping date. Our app will adopt the same way of Taobao to sell goods with various categories u can choose from but for our app. every time and whatever the commodity you click (choose) will triggers a special video and photos about that which enables you to have a better shopping experience and we will try our best to beautify the app's pages, and then they will be more motivated to buy and for the customer service we have 24 hours guests to work for customers and we promise to deal with the issues immediately and solve them within 1 day. As for our supply we will purchase goods from China, and when they arrive us by sea we can take a priority to send them to those storages which are out of stock or are short in supply. As we are Chinses it is not easy for us to start up our app management as well as the company, we would like to give local investors 40% making him as our partner to better deal with our transactions. As for propaganda we will advertise in the ins or Facebook while it charges us with the CPM so the cost can varies through the mass media as our target people are Asians while Chinese account for a significant proportion WeChat can be used to advertise for its little cost but with large population making our app known by more people and we will also send out advertisements in most schools. We can set 40 dollars as our minimum value but for Mid-eastern

Strategy Analysis and Research Project part will rise to 60 dollars the reason will be shown in the storage part languages in C-market: Chinese and English as well as Korean and Japanese.

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