While the dust continues to settle from Walmart’s disappointing showing in the second quarter, it is worth noting positive developments and intriguing initiatives in key areas that got lost in the shuffle.
Walmart lowered its full year profit forecast early Thursday after reporting weaker that expected second quarter same store sales at its U.S. division and suggested global economic conditions remain challenging.
Doubling sales in any category within a four year time span would be an audacious goal for any retailer, but that was the objective Walmart set for itself in the beer category last fall, according to Bloomberg.
There is a euphoria surrounding Amazon and the moves the company is making these days that is reminiscent of the phase Walmart went through in earlier decades when it was viewed as the ascendant growth company that could do no wrong. Supercenter expansion was rampant and Walmart was viewed as the company that was going to dominate everything it touched.
With rising expectations that Walmart’s sales for the recently ended second quarter will be weak when it reports on August 15, the company once again has naysayers doubting its growth prospects with some questioning its long-term viability.