Strategic Initiative Paper – Wal-Mart Stores
FIN/370 - FINANCE FOR BUSINESS
September 9, 2013
Strategic Initiative Paper
Wal-Mart has become the world’s biggest retail and grocery establishment in the United States. Some people are wondering how big the Wal-Mart Corporation can grow. Well, if only there were a crystal ball one can tell them the future of the Wal-Mart Corporation. On the other hand, why does one need a crystal ball to tell the future outcome of Wal-Mart? People who shop at Wal-Mart know what the corporation has to offer their customers, and the community. On this week assignment the team will determine the relationship between the strategic initiative and the financial planning of the Wal-Mart Corporation to foresee the future. Let us see what the Wal-Mart Corporation has in store for the up and coming year of 2014. In point of fact many people will be surprised about how far the Wal-Mart Corporation would go to ensure that they value their customers ‘demands and input.
Relationship between Strategic and Financial Planning
In today’s market, the Wal-Mart Corporation must understand the relationship between a strategic and financial plan to incorporate a sound growth plan while maintaining the financial responsibilities of the business. According to Beckett-Camarata (2003), “The findings for practitioners indicate that strategic planning and capital budgeting are a major influence on financial performance and that the combination of capital budgeting and strategic planning constitutes a strategic decision-making process” (p. 23). This means an organization’s success contributes to the strategic and financial planning of the corporation. A strategic plan is the process of an organization defining the direction to take the corporation, the goals of the business, and the objectives the organization wants to achieve. On the other hand, a financial plan is the process...