As Growth in US Slows, Wal-Mart Puts More Emphasis on Foreign Stores

Wal-Mart, the world’s largest retailer, pursues ambitious foreign expansion to make up for lagging sales in the United States. While no single country could replace the US in terms of consumer power, developing nations are poised for economic growth. Wal-Mart caters to newly-empowered consumers in emerging economies, a business model much like the firm’s “early strategy of building stores in a rural America neglected by other retailers,” explains Ylan Q. Mui for the Washington Post. The company exports its mantra of low prices to Mexico, India, China and other regions accustomed to small vendors with inconsistent service and prices. The firm’s international sales are growing at nine times the rate of domestic sales, resulting in more than $100 billion in revenue. Despite global economic instability, Wal-Mart relies on globalization for growth – balancing consistent service with respect for local markets and tweaking old, reliable formulas for new markets. – YaleGlobal