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Wal-Mart has used different strategies till now for every country, depending on the local market and their needs. Like in Mexico, Wal-Mart went with huge product assortments and low pricing strategy as the market demanded that. Its philosophy of “Every Day Low Price” was an instant hit. Their multi format strategy, where multiple group of customer can be served simultaneously was completely unique. They came up with different versions of store ranging from small outlets to huge serving rural area to urban area.
Similarly in Canada, Wal-Mart used novice strategy where each and every product had clear distinction from its competitors which eventually left a positive feedback in consumer’s mind. In China, Wal-Mart went with cost leadership and low pricing strategy, thus focusing on middle class consumers with huge discounts and great value on the products.
Thus for Vietnam, Wal-Mart can use the following strategies:
1. Lower Pricing – Wal-Mart is a leader in its field, and with its huge supply chain practice, it can sell the goods at very low price. It has been using this strategy in most of the ASEAN countries, and is very successful in it. Offering huge discounts and providing great value for money is what attracts customers, and with such promotional campaigns coupled with lower price, Wal-Mart will be able to cater to huge base of population of Vietnam. Also, it will be able to maintain profits, due to its cost leadership.
2. Wide Product Range – To cater to the market and attract many customers, Wal-Mart should have a wide range of products, thus giving their customers huge choices and also not giving any option to go to competitor.
3. Use of RFID tags – Use of Radio Frequency Identification has been made famous by Wal-Mart to find out the out of stock inventory. First used in US, it has been used in other countries as well. Such usage will not only improve supply chain but also improve the customer service.