Swot Analysis for Walmart: Stock, Bonds, and Merging with Another Organization

SWOT compendium for Walmart: Stock, Bonds, and Merging with some other governing SWOT Analysis for Walmart: Stock, Bonds, and Merging with other Organization Colleen Felts, Catherine Scott, Brenda Serrano, Brian Smith, Clark Casada study Team A University of Phoenix Finance 370 Recently, Wal-Mart pertinacious to spread its presence in Japan with a excogitate to light 22 new stores in the next ii old age (Banjo, 2012). How should Wal-Mart finance this expansion? Capital structure intend would leave behind Wal-Mart to raise capital by selling roues, release bonds or unite with some other organization. This paper will converse the strengths, weaknesses, opportunities and threats of each filling, resulting in a decision on which option would be best for the mega company. There argon several strengths in Wal-Mart top capital by selling stock. Selling stock is slight risky than debt financing and it allows the company to raise specie without fine -looking up the amount of control it would relinquish from merging with another company. Wal-Mart is already a publicly traded company, so it would be unproblematic for them to issue more stock. Despite all the strengths at that dapple ar to finance projects through selling stock, there be some weaknesses.

The first weakness is that as more stocks argon outstanding, the amount of dividends payable increases. The value of the stock may similarly decrease if there are too umteen shares available. Another disadvantage is that stock financing is not tax deductible. Finally, as stocks are issued, there a re more shareholders to please. Organizatio! ns face more opportunities when selecting a means to meet capital needs. Mergers are one(a) method acting to meet capital needs for companies struggling as healthy as those looking for future growth. Walmart must divvy up into considerateness the strengths, weaknesses, opportunities, and threats of a merger. Strengths of Walmart merging with another company are the increase debt financing, increased tax benefits, and...If you want to get a total essay, order it on our website: OrderCustomPaper.com

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