An Analysis of Retail Organizational Structure Essay

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Organizational Structure

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The organization that I chose is Wal-Mart. Wal-Mart is one of the largest retailers in the world. In order for an organization as big to function as properly has to run with very few flaws. Wal-Mart uses a divisional structure when operating. They divided it into three primary division structures. You have Wal-Mart, Sam’s Club, and their international stores. Now this approach is successful because the divisions can focus their effects or attention on achieving their goals or helps even improve customer relations. This style of organizational structure better allows the company to pinpoint any problems and to improve those problems areas as needed. Let’s take a look at another organization that is popular among consumers. Starbucks is a very large organization structure. As Starbucks has grown, they have had to adapt and change the organizational structure to help better manage all their stores. They use the matrix organizational structure. Under the matrix structure, they are split into four different divisions. The CEO believes that the main advantage of this organization structure is that it will help open up the communication channel to better get the word out or make it easier to receive different resources for the different stores. Within Starbucks organizational structure, they also have a different support function which allows the stores to operate independently but they still share the same goals and visions of the rest

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