Wal-Mart Struggles in Japan

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:


Case Code : BSTR186 For delivery in electronic format: Rs. 400;
For delivery through courier (within India): Rs. 400 + Rs. 25 for Shipping & Handling Charges


International Business | Globalization Business
Case Length : 20 Pages
Period : -
Organization : Wal-Mart
Pub Date : 2005
Teaching Note : Not Available
Countries : -
Industry : Retail


The case focuses on how retailing giant Wal-Mart struggled in the Japanese market. It elaborates on the reasons for Wal-Mart's decision to go global in the early 1990s. The case discusses in detail Wal-Mart's entry strategy and describes its efforts to bring in its best practices in retailing like Every Day Low Prices (EDLP) and Rollback to the Japanese market through its joint venture with Seiyu.

The case details the problems that Wal-Mart faced in Japan because of the differences between the operational and cultural environment in its home market and the Japanese market. It finally ends with a discussion on the company's future prospects in Japan.


Nature and structure of the Japanese retailing industry including its size, scope, spread, and unique characteristics
Entry strategy for an overseas market
Impact of competition, culture, and unique environmental factors on the performance of a firm in the international market
Influence of regulation on the success of a company in such markets


  Page No.
Introduction 1
Background Note 2
Wal-Mart's International Operations 5
Wal-Mart's Entry Into Japan 6
The Wal-Mart-Seiyu Partnership 8
The Impact of the Partnership 9
The Future 11
Exhibits 13


Wal-Mart Stores Inc., Every Day Low Prices, Carrefour, Daeiei, America Online Inc., Sam's Clubs, Joint Venture, Wholly-owned subsidiary, Green Field Operations, Acquisitions, Costco Wholesale, Metro, Tesco, Japanese Retail Industry, Ito Yokado , Large Store Law

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