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Wal-Mart: Germany Failure

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Provided below is an article link describing Wal-Mart failure in Germany. Do you think that culture had a direct impact on the success/failure from organizational change? Is there anything they could have done to prevent the problems that arose?

Explain why.

http://www.nytimes.com/2006/08/02/business/worldbusiness/02walmart.html?pagewanted=all&_r=0

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Solution Summary

This solution explains how Wal-Mart failed in Germany because of cultural mismatch. The sources used are also included in the solution.

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Step 1
Culture has direct impact on the success or failure from organizational change. In Germany, Wal-Mart tried to impose its company culture on employees. This led low motivated workforce and contributed to failure. The other problems were that habits of German customers were not taken into account. They want to spend as little a time as possible in a tore but the Wal-Mart stores were arranged in such a way that customers would have to spend more time. The greeters smiled and the checkout clerks were trained to smile. ...

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