Wal-Mart de México S.A.B. de C.V.
Type Sociedad Anónima Bursátil de Capital Variable
Traded as BMV:: WALMEXV
Industry Retailing
Founded 1958
Headquarters Mexico City,, Mexico
Key people Jerónimo Arango,, co-founder
Scot Rank, ((CEO))
Eduardo Solórzano Morales, ((Chairman))
Parent Wal-Mart
Website www.walmartmexico.com American multinational retailer corporation that runs chains of large discount department stores and warehouse stores. The company is the world's 18th largest public corporation, according to the Forbes Global 2000 list, and the largest public corporation when ranked by revenue. It is also the biggest private employer in the world with over 2 million employees, and is the largest retailer in the world. The company is controlled by the Walton family which owns 48% stake in Wal-Mart.
The company was founded by Sam Walton in 1962, incorporated on October 31, 1969, and publicly traded on the New York Stock Exchange in 1972. It is headquartered in Bentonville, Arkansas. Walmart is also the largest grocery retailer in the United States. In 2009, it generated 51% of its US$258 billion sales in the U.S. from grocery business .[4] It also owns and operates the Sam's Club retail warehouses in North America.
Walmart has 8,500 stores in 15 countries, under 55 different names. The company operates under its own name in the United States, including the 50 states and Puerto Rico. It operates in Mexico as Walmex, in the United Kingdom as Asda, in Japan as Seiyu, and in India as Best Price. It has wholly owned operations in Argentina, Brazil, and Canada. Walmart's investments outside North America have had mixed results: its operations in the United Kingdom, South America and China are highly successful, whereas ventures in Germany and South Korea were unsuccessful.
Over the last decade or so Walmart has become involved in thousands of lawsuits for a variety of reasons. The majority of the suits are class action lawsuits in which employees are suing for unpaid wages. They have also run into many discrimination cases in which employees are suing for being profiled out of money or out of jobs. For instance, there were two separate cases, one in 2004 and one in 2005 in which African Americans were suing two different Walmarts for denying them jobs based on race. These became so popular that the reverend Jesse Jackson spoke during both of the proceedings. There are also many lawsuits in which women are suing Wal-Mart for discriminating against them. In one article written in 2004 USA today mentioned 32 different lawsuits that involved women suing Walmart. But still walmart has prevailed. All of this has not affected Walmart financially however, according to Fortune 500, Walmart still had $351 billion in revenue ($11 billion in profit) in 2007, a new high for the corporation.
On December 3, 2008, the family of Walmart service worker Jdimytai Damour, who was killed by a stampede of shoppers frantically entering a Valley Stream, New York Walmart store on Black Friday(November 28) , filed a wrongful death lawsuit against the corporation; Damour's family alleged Walmart of encouraging a mass number of customers to come to the store simultaneously. In addition, the Occupational Safety and Health Administration cited Walmart for "...inadequate crowd management following the Nov. 28, 2008, death of an employee at its Valley Stream, N.Y., store. The worker died of asphyxiation after he was knocked to the ground and trampled by a crowd of about 2,000 shoppers who surged into the store for its annual "Blitz Friday" pre-holiday sales event." The company went on to spend an estimated $2 million in legal fees fighting OSHA's $7,000 fine, because it apparently wished to prevent OSHA from establishing a precedent that would enable OSHA to influence Walmart's crowd control measures in the future.
As of October 2009, Walmart stores operate in Argentina, Brazil, Canada, Chile, China, Costa Rica, El Salvador, Guatemala, Honduras, India, Japan, Mexico, Nicaragua, Puerto Rico, the United Kingdom, Pakistan,and the United States, ( Nepal) The only store with old features is the one in Antioch, California until its remodel in November 2010. Criticism of Walmart
Wal-Mart has been subject to criticism by various groups and individuals. Among these are some labor unions, community groups, grassroots organizations, religious organizations, environmental groups and Wal-Mart customers. They have protested against Wal-Mart, the company's policies and business practices. Other areas of criticism include the corporation's foreign product sourcing, treatment of product suppliers, environmental practices, the use of public subsidies, and the company's security policies. Wal- Mart denies doing anything wrong and maintains that low prices are the result of efficiency.
In 2005, labor unions created new organizations and websites to influence public opinion against Wal- Mart, including Wake Up Wal-Mart (United Food and Commercial Workers) and Walmart Watch (Service Employees International Union). By the end of 2005, Wal-Mart had launched Working Families for Wal- Mart to counter criticisms made by these groups. Additional efforts to counter criticism include launching a public relations campaign in 2005 through its public relations website, which included several television commercials. The company retained the public relations firm Edelman to interact with the press and respond to negative media reports, and has started interacting directly with bloggers by sending them news, suggesting topics for postings, and sometimes inviting them to visit Walmart's corporate headquarters.
Economists at the Cato Institute suggest that Wal-Mart is a success because it sells products that people want to buy at low prices, satisfying customer's wants and needs. However, Wal-Mart critics argue that Wal-Mart's lower prices draw customers away from other smaller businesses, hurting the community
Major Brands Sam's Choice Sam's Choice, originally introduced as Sam's American Choice in 1991, a retail brand in food and selected hard goods. Named for Sam Walton, founder of Walmart, Sam's Choice forms the premium tier of Walmart's two-tiered core corporate grocery branding strategy that also includes the larger Great Value brand of discount-priced staple items.
Compared to Great Value products and to other national brands, Sam's Choice is positioned as a premium retail brand and is offered at a price competitive with standard national brands. It typically offers either competitive items in a given product category, or items in categories where the market leader is an "icon" (for example, Coca-Cola in the soft drink category).
Most Sam's Choice beverage products (excluding Grapette and Orangette) are manufactured for Wal- Mart by Cott Beverages. Other products in the line, including cookies, snack items, frozen meals, and similar grocery items are made by a variety of agricultural and food manufacturers.
Competitive pricing of the Sam's Choice brand and store branded and generic goods is possible because of the minimal expense required to market a retail chain's house brand, compared to advertising and promotional expenses typically incurred by the national brands.
Recently, most Sam's Choice-branded products have been replaced by either the relaunched Great Value brand, or the new Marketside brand. Great Value Great Value was launched in 1993 and forms the second tier, or national brand equivalent ("NBE"), of Walmart's grocery branding strategy.
Products offered at Walmart through the Great Value brand are claimed to be as good as national brand offerings, but are typically sold at a lower price because of minimal marketing and advertising expense. As a house or generic brand, the Great Value line does not consist of goods produced by Walmart, but is a labeling system for items manufactured and packaged by a number of agricultural and food corporations, such as ConAgra, Sara Lee which, in addition to releasing products under its own brands and exclusively for Walmart, also manufactures and brands foods for a variety of other chain stores. Often this labeling system, to the dismay of consumers, does not list location of manufacture of the product. Wal-Mart contends that all Great Value products are produced in the United States otherwise the country of origin would be listed.
As Walmart's most extensively developed retail brand, covering hundreds of household consumable items, the Great Value line includes sliced bread, frozen vegetables, frozen dinners, canned foods, light bulbs, trash bags, buttermilk biscuits, cinnamon rolls, pies and many other traditional grocery store products. The wide range of items marketed under the Great Value banner makes it Walmart's top-selling retail brand.
The Great Value brand can also be seen in Canada, Costa Rica, Mexico, Argentina, Chile and Brazil and some Trust Mart stores in Xi'an, Shaanxi Province, China through a partnership with Walmart. Bharti Easy Day retail grocery stores sell Great Value brand products in India as well.
By mid-summer 2009, Walmart had redesigned the Great Value labels to be predominantly white. The new redesign also includes over 80 new items including thin crust pizza, fat free caramel swirl ice cream, strawberry yogurt, organic cage-free eggs, double stuffed sandwich cookies, and teriyaki beef jerky. Walmart changed the formulas for 750 items including: breakfast cereal, cookies, yogurt, laundry detergent, and paper towels. The new brand was tested by over 2,700 people. Other retailers are following suit with their private label packaging as well. Equate Equate is a brand used for consumable pharmacy and health and beauty items, such as shaving cream, skin lotion, over-the-counter medications, and pregnancy tests. Before its takeover by Walmart, the formerly independent Equate brand sold consumer products at both Target and Walmart at lower prices than those of name brands. Equate is an example of the strength of Walmart's private label store brand. In a 2006 study, The Hartman Group marketing research firm issued a report which found that "Five of the top 10 "likely to purchase" private label brands are managed by Wal-Mart including: Great Value, Equate, Sam's Choice, Wal-Mart and Member's Mark (Sam's Club), per the study." The report further noted that "...we are struck by the magnitude of mind-share Wal-Mart appears to hold in shoppers' minds when it comes to awareness of private label brands and retailers."
In mid-2010, the brand underwent a logo redesign, as well as packaging changes similar to the Great Value brand. Mainstays Mainstays is a brand marketed by Walmart for its low cost alternative of beddings & ready-to-assemble furniture. Ol' Roy Ol' Roy is Walmart's store brand of dog food. Its namesake comes from Sam Walton's bird dog, and has become the number-one selling brand of dog food in the United States, surpassing Nestlé'sPurina. Ol' Roy was created in 1983.
Walmart's Ol' Roy brand is a commonly cited example of the success of private label store brands at the expense of traditional ad-driven brands. The brand manager of a competing product said, "Wal-Mart has made a national brand out of Ol' Roy. Nutritionally, it's substantially the same as national brands at significantly less cost." Another commentator said, "It's a dry dog food made especially for Wal-Mart, which is the only place you can buy it, and its attributes have been extolled in not a single TV commercial. Yet Ol' Roy is the top-selling dog food in the US by an annual margin of at least 20 percent, according to Wal-Mart."
In 1998, samples of Ol' Roy (together with various other brands) were subject to qualitative analyses for pentobarbital residue by the U.S. Food and Drug Administration Center for Veterinary Medicinedue to suspicion that the anesthetizing drug may have found its way into pet foods through euthanized animals, including cats and dogs. DNA test for all the samples failed to detect cat and dog DNA but multiple Ol' Roy samples tested positive for the drug, presumably from rendered cattle. The CVM has said that due to the low level of exposure, the risk of adverse effects was low.
Parent's Choice
Parent's Choice is the Walmart store brand for baby products, including food, diapers, formula, and accessories. Like other Walmart store brands, its design and packaging was relaunched in 2010. The brand has pages on both Facebook and Twitter, for mothers to interact and share opinions about the brand. White Stag
White Stag is a brand for women's clothing, footwear, and basic jewelry. Originally founded in 1931 as a skiwear manufacturer in Portland, Oregon, the company was purchased by the Warnaco Groupin 1966, which after the company exited bankruptcy, later sold the brand to Walmart in 2003. George George is a brand of more formal clothing for men, women and children. It also consists of dress shoes, wallets, belts, and neckties. It was created by the British retailer ASDA in 1990, and since Walmart acquired ASDA in 1999, it has maintained and expanded it to other markets, notably the United States, Canada, and Japan. The George brand was named after George Davies, who was its original chief designer. Davies is no longer associated with the brand, although ASDA and Walmart have aimed to remain true to the low price business model that he established Apparel
Baby George is a clothing brand for children, organically manufactured for Wal-Mart. The brand is popular because it is organically produced in a chemical free environment.
Faded Glory is a brand for basic men's, women's, and children's clothing and footwear. It is Walmart's primary clothing brand.
No Boundaries, usually abbreviated as NOBO, is a line of apparel targeted at teenagers and young college students.
Simply Basic was previously a brand used for health and beauty items, but is now used primarily for women's sleepwear.
Homelines
Better Homes and Gardens is a product line with designs inspired from the popular magazine of the same name.
Canopy is a home product line that features coordinated solutions for rooms and other domestic goods. Some Canopy products are made with organic cotton.
Hometrends products include small furniture, tableware and various home decor accessories, such as rugs and faux plants.
your zone is a home product line that tailors toward teenagers and college students
Others
@ the Office is a brand used for office supplies and stationery.
Best Occasions is a brand used for party decorations and accessories, such as candles and hats.
Clear American is used for carbonated and flavored water. Was previously known as Sam's Choice Clear American .
Color Place is the brand used for paint and painting tools. Color Place paint is made by AkzoNobel.
Douglas is the brand used for budget priced tires. Models include Xtra-Trac and Touring. Some models are made in a Goodyear plant.
EverStart is the brand for automotive and lawn mower batteries. The brand is also used for battery related accessories, such as jumper cables.
Fire Side Gourmet is used for pre-cooked burgers and steaks, and was previously under the Sam's Choice label.
Gold's Gym is used for athletic and exercise equipment such as weights. Named after and licensed from the chain of fitness centers.
Holiday Time is used for Christmas items such as Christmas trees, decorations, and wrapping paper.
Kid Connection is used primarily for children's toys, but was also used for children's clothing and shoes.
Marketside is a brand of fresh foods usually found in Walmart's deli, produce, and bakery departments, such as salads, soups, breads, and sandwiches. Oak Leaf is a brand of low cost wines produced and bottled for Walmart selling at approximately $3 a bottle.
ONN is a brand used for entry-level electronics (mice, speakers, cables, etc.).
Ozark Trail is a brand used for outdoor equipment and footwear. (The Walmart Home Office is located in the Ozark mountain region in northern Arkansas.)
Protege is a brand consisting of luggage and travel accessories.
ReliOn is a brand of diabetes care products including blood glucose and blood pressure monitors.
Special Kitty is a brand of cat food and litter.
SuperTech is Walmart's brand of motor oil. The brand is also used on other consumable automotive products, such as oil filters, windshield wiper fluid, and transmission fluid.
Walmart Family Mobile is Walmart's exclusive cell phone (postpaid) service provided through the T- Mobile cellular network.[11]
World Table is a brand consisting of foods inspired by international cuisines, such as sauces, snacks, and frozen foods.
Former brands
Athletic Works was a brand for athletic clothing until mid-2010, such as gym shorts and running shoes, and has been partially replaced by the Gold's Gym brand and Starter. The brand was also used for sports equipment and watches. The brand was also on men's and women's socks, and men's underwear.
Durabrand was a brand used for home electronics such as televisions and DVD players. The brand was also used on various small kitchen appliances.
ilo was another brand of home electronics, consisting of more upscale items such as televisions, small electronics and digital music players.
Metro 7 was an upscale brand of women's apparel, that was originally released in the fall of 2006, and eventually phased out.
Puritan was a brand for men's basic clothing including shirts, pants, undergarments, socks, ties, and some accessories. In late 2010, the brand was phased out completely and replaced by Faded Glory (with undergarments and socks and casual clothing) and George (with ties, shirts, and pants and formal clothing).
Existo was a brand for young men's clothes.
United States
[1] Walmart Stores U.S. - 4,468 total units as of December 31, 2011
Walmart Discount Stores (633)
Walmart Supercenters (3,016)
Supermarkets (195) - includes Neighborhood Market, Amigo and Supermercado stores Small Format Stores (14) - includes Walmart Express, Walmart on Campus and Super Ahorros stores
Walmart.com
Sam's Club (610)
Logistics
Walmart Transportation LLC
Distribution Centers/Transportation Offices (130)
Walmart Realty
Walmart Vacations (no longer available)
Claims Management, Inc.
Walmart Portrait Studios was rebranded as PictureMe! Portrait Studios in late 2006. The Portrait Studios are operated by CPI Corp, Inc. under an agreement with Walmart. Space is leased and they are independently owned and operated and only pay rent to Walmart and a license fee to use the Walmart brand. Also, most Doctors of Optometry are independent contractors and are not employees of Wal-Mart Stores, Inc. but instead pay rent to use space in Walmart and Sam's Club Vision Centers.
The Walmart Money Center (Formerly Wal-Mart Financial Services Network) is a tradename for financial services provided in their stores, including the Walmart Money Card™, Money Transfers, Bill Payments, Money Orders, Check Cashing and Check Printing.
International
Walmart International - 5,552 total units as of December 31, 2011 Note: Some international unit totals include distribution centers which are not listed here. Walmart Stores Inc no longer lists units in Puerto Rico as international, Puerto Rico's numbers are included in the US totals.
Walmart Argentina S.R.L.
31 - Changomás (supermarket) Argentina 9 - Changomás Express Entered August 1995 (77) 7 - Mi Changomás
28 - Supercenter
2 - Walmart Supermercado
Massmart Holding Ltd Botswana 2 - Game Entered June 2011 (11) 8 - CBW
1 - Builders Warehouse Walmart Brazil
36 - BIG (Sonae)
36 - HyperMarket (Bompreço)
1 - Magazine (Bompreço)
Brazil 54 - Maxxi Atacado (Sonae)
Entered May 1995 21 - Mercadorama (Sonae) (509) 69 - Nacional (Sonae)
26 - Sam's Club
63 - SuperMarket (Bompreço)
152 - TodoDia
51 - Walmart Supercenter
Walmart Canada Corp.
Canada 172 - Walmart Discount Store Entered November 157 - Walmart Supercentre 1994 (329) Sam's Club (all closed on March 1, 2009 due to recession and competition with Costco)
Walmart Chile
48 - Acuenta
Chile 132 - Ekono Entered January 1 - El Buen Corte 2009 (307) 56 - Lider Express
69 - Lider Hiper
1 – Revive
Walmart China
2 - Discount Compact Hyper
2 - Neighborhood Market China 6 - Sam’s Club Entered August 1996 (357) 3 - Smart Choice
241 - Supercenter
103 - Trust-Mart Hypermarket - Walmart has a 35% interest in Trust- Mart
Costa Rica Walmart de México y Centroamérica Entered September 27 - Más X Menos 2005 18 - Maxi Pali (199) 147 - Palí
7 - Walmart Supercenter
Walmart de México y Centroamérica El Salvador Entered September 50 - Despensa Familiar
2005 25 - La Despensa de Don Juan (77) 2 - Walmart Supercenter
Germany
Entered January Walmart Supercenter; disposal announced July 2006. 1998 Ghana Massmart Holding Ltd Entered June 2011 (1) 1 – Game
Walmart de México y Centroamérica
2 - Club Co Guatemala Entered September 137 - Despensa Familiar
2005 19 - Maxi Despensa (195) 30 - Paiz
7 - Walmart Supercenter
Walmart de México y Centroamérica
Honduras 52 - Despensa Familiar Entered September 8 - Maxi Despensa 2005 (68) 7 - Paíz
1 - Walmart Supercenter
India Bharti Walmart Private Limited (Bharti and Walmart hold a 50:50 stake) Entered May 2009 (14) 14 - Best Price Modern Wholesale
Seiyu Group
Japan (see note) 1 - Seiyu GM
Entered March 2002 116 - Seiyu Hypermarket (416) 251 - Seiyu Supermarkets
48 - Wakana (South) Korea Walmart Supercenter - sold May 2006 Entered July 1998 Lesotho Massmart Holding Ltd Entered June 2011 (2) 2 – CBW Malawi Massmart Holding Ltd Entered June 2011 (2) 2 – Game
Mauritius Massmart Holding Ltd
Entered June 2011 1 - Game
Walmart de México y Centroamérica
372 - Bodega Aurrera
560 - Bodega Aurrera Express
1 - Medimart Mexico Entered November 227 - Mi Bodega Aurrera
1991 124 - Sam’s Club (2,037) 93 - Suburbia
84 - Superama
364 - VIPS Restaurants
212 - Walmart Supercenter
Massmart Holding Ltd Mozambique 1 - Game Entered June 2011 (17) 1 - CBW
15 - Kangela/Kawena
Nambia Massmart Holding Ltd
Entered June 2011 2 - Game
1 – CBW
Walmart de México y Centroamérica Nicaragua Entered September 8 - La Unión
2005 5 - Maxi Pali (71) 58 – Palí
Nigeria Massmart Holding Ltd
Entered June 2011 1 – Game (1)
Massmart Holding Ltd
89 - Game (general merchandise discount store)
4 - Game Foodco (supercenter)
14 - DionWired (consumer electronics)
South Africa 16 - Makro
Entered June 2011 27 - Builders Warehouse (302) 30 - Builders Trade Depot
25 - Builders Express
64 - CBW (supermarkets)
6 - Jumbo
27 - Cambridge (supermarket)
Swaziland Massmart Holding Ltd Entered June 2011 (1) 1 – CBW
Tanzania Massmart Holding Ltd Entered June 2011 (1) 1 – Game Uganda Massmart Holding Ltd Entered June 2011 (1) 1 – Game
Asda
27 - Asda Living United Kingdom 32 - Asda Supercentre Entered July 1995 (552) 174 - Asda Supermarket
309 - Asda Superstore
10 - Netto Supermarket
Zambia Massmart Holding Ltd Entered June 2011 (1) 1 – Game Acquisitions
PACE Membership Warehouse (converted to Sam's Club)
Woolco Canada (converted to Walmart)
Asda (UK)
Amigo Supermarkets (PR)
McLane Company (acquired in 1993, later sold to Berkshire Hathaway in 2003)
The Seiyu, Ltd.
Wertkauf hypermarkets (Germany)
Interspar hypermarkets (Germany)
Bompreco (Brazil)
Walmart.com (started as a joint-venture, it has since been fully acquired and is a wholly owned subsidiary of Wal-Mart)
Sonae Distribuição Brasil (Brazilian operations) - now WMS Supermercados do Brasil.
Seiyu Group - Walmart acquired a 6.1% stake in Seiyu beginning in May 2002. A majority interest (53%) was acquired in December 2005, giving Walmart effective control of the company. Walmart's stake in Seiyu was increase to 95% in December 2007, and by June 2008 the remaining shares were acquired, making it a wholly owned subsidiary.
Walmart de México y Centroamérica - In December 2009, Walmart Mexico acquired Walmart´s operations in Central America from Walmart Stores and two minority partners. In early 2010, the transaction was completed and Walmart México became Walmart México and Central America. Walmart holds a 68.5% stake in the combined company.
Central American Retail Holding Company (CARHCO) - formed as a joint venture in 2001 with three equal partners: Royal Ahold NV and two Central American groups: the Paiz family, the major shareholders of La Fragua; and Corporación de Supermercados Unidos (CSU). In September 2005, Wal-Mart acquired a 33 1/3 % interest in CARHCO from the Dutch retailer Royal Ahold NV. In March 2006, Wal-Mart made an additional investment, bringing its share of the firm to 51 percent and changing its name to Wal-Mart Central America.
Cifra - Walmart's operations in Mexico started as Walmex, a joint venture between Cifra of Mexico and Wal-Mart Stores, Inc. Wal-Mart later bought a majority interest in Cifra and changed the name to Walmart de Mexico. Walmex is independently traded on the Mexican stock exchange, although Wal-Mart Stores, Inc. holds a majority interest.
In January 2009 Walmart completed the acquisition of 58.2% of the leading Chilean retailer D&S, adding brands of major importance in that market such as Híper Lider. By March 2009, Walmart had increased its stake in D&S to approximately 73%.
In June 2011 Walmart completed the purchase of 51% of Massmart, which operates stores primarily in South Africa but also operates in various Sub-Saharan African nations. Brands added to the Walmart family include Cambridge Foods, Game, Dion Wired, Makro, Builders Warehouse, Builders Express, Builders Trade Depot, CBW, Jumbo Cash and Carry, the Shield buying group, etc.