Compare the five Business functions in two organisations (SEE Essay

Compare the five Business functions in two organisations (SEE INSTRUCTIONS) - Essay Example Business functions are structured and operate differently in different contexts. With this in mind we shall consider here the success or failure of two competitors namely, Wal-Mart and Kmart, both of who are general merchandise discounters. While Sam Walton (CEO Wal-mart) did start off with the basic idea borrowed from Kmart but his strategy was unique. At the outset it was the marketing strategies of Wal-Mart that fetched them a smooth take off. While Kmart opened up shops in large metropolitan cities like New York, Wal-Mart opened good sized stores in smaller towns. Wal-Mart chose isolated rural towns where more than one retailer could not survive and hence in no time all the local shops had to down their shutters. While Kmart wanted to supply private cheaper brands to the affluent, Wal-Mart chose the national brands at low prices. This could be possible because of bulk purchase. He managed to keep the prices so low that people could shop from home rather than make trips to the cities. They understood the needs of the customer. Human resource management was another stronghold of Wal-Mart as right from the inception they did not believe in allowing or forming a union (Mitchell Levy and Paul A. Losch 2002). They felt it was detrimental to the interest of the company and the union only fed itself from both the management and the labors. They believed in exhorting their own people, motivating them through incentives and awards such as company stocks by which they could also make up for the low wages. A corporate culture was set which encouraged the employees and managers to consider the customer the focus of business. The customer is the king was the policy at Wal-mart whereas at Kmart customer service was poor. Staffing is a perennial challenge for any business. They should know when and where to employ the right number of people. This is another sector where Kmart lost