PESTEL Analysis of Walmart Inc.

By post-t | Updated: Oct. 14, 2024, 9:04 a.m.

Loading...

Slideshow Video

Sign up for free!

SHARE THE AWESOMENESS

This video was created as part of University Canada West's MBA program and looks at the political, economic, sociological, technological, environmental and legal challenges Walmart is dealing with.

Business

create your own animated videos for free

_abc cc

* Powtoon is not liable for any 3rd party content used. It is the responsibility of each user to comply with 3rd party copyright laws.

Embed code

Select a size, the embed code changes based on your selection.

_abc Powtoon Transcript

WALMART INC.
PESTEL Analysis
Pranab Balan Neyyoth, Rajkumar Nagesh Darpelli, Shayan Sadeghi Bakhsh, Tobias Post
Political influences on Walmart
Explanation of PESTEL
P
E
S
T
E
L
External economic develop-ments surround-ing Walmart
Legal implica-tions on Walmart
Environ-mental influences on Walmart
Techno-logical impact on Walmart and its business model
Socio-logical influences on Walmart
Slightest changes in political scenarios affect the business inexorably, however, it can also bring competitive advantage
Political
50% French-speaking employee population
Branding in French in the province 
Walmart got an advantage in political lobbying to influence policies in its favour due to the enormous size of the organization
Walmart has been pushing for better import taxes and easing labour laws in Canada 
Bill 101 by the Quebec government in 2001 and 2012 demanded 
Economic
Walmart operating in versatile economies results in vulnerability to the  factors that influences financial conditions.
"An economic downturn can impact Walmart adversely"
Resulting in decrease in spending capacities of the population

The increase in interest rates may result in increased product prices, driving the competitive advantage over the local markets

In turn produces losses in terms of goods shelving 
Sociological
Walmart must stay close to any movements and trends in societies worldwide. The growing demand for organic foods, for example, must also be met in Walmart stores.
Technological
it is essential for Walmart always to stay updated with technological developments and use those to its advantage. Particularly in the automation field, plenty of untapped potentials still exists to cut Walmart’s operating expenses even further
it is essential for Walmart always to stay updated with technological developments and use those to its advantage. Particularly in the automation field, plenty of untapped potentials still exists to cut Walmart’s operating expenses even further
Environmental
Climate change is the single biggest environmental threat for Walmart

Extreme weather events increasingly put pressure on global supply chains

Walmart aims to cut 18% of its Green House Gas emissions by 2025 (compared to 2015 levels)
Powering its premises with 50% renewable energyIncreasing its overall energy efficiencyUsing more efficient refrigeration and transportation systems 
Climate change is the single biggest environmental threat for Walmart

Extreme weather events increasingly put pressure on global supply chains

Walmart aims to cut 18% of its Green House Gas emissions by 2025 (compared to 2015 levels)
Legal
Walmart needs to meticulously comply with (changing) labour laws across various jurisdictions. In order to comply with data privacy regulations, massive investments in data protection systems is needed.
COMPLIANCE
INVESTMENT
Recommendations
If Walmart wants to retain its status as one of the world's largest and most successful companies, it must take on a leading role in the fight against climate change and be a front-runner in implementing new technologies
The Way Forward
Adapting an innovative mindset while complying with legal and political influences will allow Walmart to continue to dominate the retail industry

PESTEL Analysis of Walmart Inc.

Copy this link to share with friends and colleagues:

WELCOME TO POWTOON!