1. Potential competitors of the company (Medium pressure): grocers have the authority to enter in the retail market. The barriers to entry are high because of active presence of Wal-mart. Wal-mart has the cost advantage that is stopping the competitors for entering in the market. Good will of Wal-mart is high compared to other companies (Moore, 2006).
2. Rivalry among the companies (Medium pressure): Wal-mart has high status in the market but still many companies are becoming threat for Wal mart. Seers and K mart are showing to be a competition for the company. These companies are gaining the market by providing better prices and products (Mills, 2002).
3. Bargaining power of buyers (Low pressure): individuals buying from the company have little pressure because they are not the only customers of Wal-mart.
4. Bargaining power of suppliers (Low to medium pressure): suppliers are important for wal-mart because they are part of the business. Wal-mart is offering its suppliers with many advantages and this is the reason why Wal-mart is not facing high pressure from them. Wal-mart deals with small suppliers and this gives an advantage to the company (Osterwalder and Pigneur, 2010).
5. Substitute products (High pressure): market has welcomed many retail outlets that are giving many products to the customers. In this way, the company is facing pressure from other products sold by other retailers. Online shopping is becoming an alternative choice for many customers. People are concerned about their time and energy and they do not want to spend their time doing physical shopping. Companies offering these services are gaining attraction in the market (Sollecito and Johnson, 2011).
6. Complementors (Low pressure): Wal- marts Sams wholesales club are an important indicator for the company. These complementors are not disturbing the business model of the company.