As we know, Walmart is one of the biggest retail company in the world. Walmart has become the largest chain retailer in America after the forty years development and it gained  many praises and awards with its superior and unique enterprise culture from its debut. Since 1996 Walmart began to expand market in China and at that moment, all people thought that would be a huge surge to the local retailers. However, after these years, Walmart did not shows prosperous development in China. What caused that?

One of the reason is the logistics problem. Unlike America, China’s public transit is usually crowded due to the huge population and undeveloped structure. This situation makes Walmart’s supply chain does not work well in China. For now, Walmart only have two supply center in Tianjing and Shenzhen therefore Walmart cannot build its shop intensively near the supply center. In conclusion,Walmart do not express its superiority in logistics, instead, it increase its operation cost.

The main reason Why Walmart China is not as successful as it in America is because Walmart meet the local problem.Walmart used to image copy its operation strategy in every place in the world include China, but it failed again and again. The fact is, a company can copy its own strategy but the local culture cannot be copied as simple as that. The company culture cannot only be posted on the handout or scream some slogans, apparently it must go deep in every staff’s heart.The fact had already told the truth: do not only pay attention on expansion, or you will forget the basic culture development.

According to the analysis above, Walmart China still have a long way to achieve its goal.When it combine its system and technology with the reality in China, the combination will shock everyone in the word.

Source:

http://www.cnbc.com/id/46009614

http://marketresearchernote.blogspot.ca/2012/08/how-can-walmart-succeed-in-china-lesson.html