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Cost drivers for Wal-Mart

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Based on publicly available information for Wal-Mart, can you discern what the cost drivers are for Wal-Mart? If you can, what are they? If not, what cost drivers do you believe are relevant for Wal-Mart?

Why do you consider them cost drivers?

Based on Wal-Mart's publicly available financial information and other publicly available information about Wal-Mart's operations, determine what sort of indirect costs Wal-Mart has and why.

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Solution Summary

This discusses the cost drivers and indirect costs for Wal-Mart

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Founded in 1962 by Sam Walton, Wal-Mart followed an amazing pattern of success and growth, eclipsing all other U.S. department store retailers since 90s.
Its growth has been mainly organic. No major acquisition has been done by the Wal-Mart.

Sam Walton, the founder of Wal-Mart, opened the first Wal-Mart store in Rogers, Arkansas in 1962. The company is publicly traded at the New York Stock Exchange under the symbol WMT and has its headquarters in Bentonville, Arkansas.

Wal-Mart operates large discount retail stores selling a broad range of products such as clothing, consumer electronics, drugs, outdoor equipment, guns, toys, hardware, CDs and books. Its typical products are basic, mass-market equipment, rather than premium products stocked at specialist stores. Wal-Mart also operates "Supercenters" which include grocery supermarkets. SAM'S CLUB stores are also owned by Wal-Mart; ...

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