The Implications of Wal-Mart's Takeover of ASDA

Abstract

Wal-Mart is the world's largest retailer. Within the United Kingdom, retailing has generally been considered as a local or national activity. Wal-Mart's purchase of ASDA in 1999 illustrates the global scale of much modern retailing. In this paper we consider the implications of Wal-Mart's takeover of ASDA. First, the key drivers of Wal-Mart's business success are analysed. Second, the impact of Wal-Mart in Canada and Germany is considered. Third, the match of Wal-Mart with ASDA is examined. Fourth, the key changes Wal-Mart is making to ASDA are reviewed. This consideration of Wal-Mart and ASDA is placed in the context of theoretical discussions of retailing and particularly the internationalisation of retailing.