Walmart Fails in Germany

In: Business and Management

Submitted By edebont
Words 9016
Pages 37
INB400 – International Organization and Management
Term paper

Wal-Mart’s culturally and institutionally flawed entry into the German retail market

Joakim Holsten Leren s105710
Julianne Øien s106222
Mirko Wichmann s145433
Lara-Caterina Buggert s145400
Eloise De Bont s145611

22 pages

Table of Contents Introduction 2 Case presentation 2 The Wal-Mart concept 3 Institutional challenges [to be deleted] 4 Cultural challenges [to be deleted] 4 German market 5 Theoretical Background 5 The cultural perspective 6 The institutional perspective 9 Case Analysis 12 The cultural perspective 12 The institutional perspective 15 Recommendations 19 Cultural 19 Institutional 20 Limitations 22 Cultural 22 Institutional 22 Conclusion 23 References: 25

The purpose of this paper is to address and analyze the challenges Wal-Mart faced during its entrance into the German market in the late 1990s.

We have analyzed this with the following problem in mind:

“Which aspects, both cultural and institutional, led to Wal-Mart’s failure in Germany and what should they have done instead?”

We will approach this problem by outlining theoretical frameworks for analyzing cultural and institutional aspects of a company. We will then employ said theories in order to analyze the case of Wal-Mart’s failure in Germany. Finally, we will come to a conclusion concerning what they should have done as they entered into the German market.

Different forms of distance CAGE, Taste and deep-seated preferences, strong national identities, management lacks diversity, mismatch, handling cultural and institutional distances is the essence of international management.
Did Walmart start in culturally proximate markets? Customer bahaviour, culture. No one stop shopping.
Feel for german shoppers, who care more about price than having…...

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