Powerful branding indeed induces desire, value, and loyalty. To differentiate themselves from competitors, these organizations need to establish differentiators that provide a substantial competitive advantage. Therefore, companies are creating plans to be the longest survivors in the world market. Thus, Aldi and Walmart are the companies that have an increased possibility of being competitive over the next 50 years.
One reason these companies need to be competitive in the next 50 years is to offer high-quality commodities at the best prices. In particular, the reduced prices have enabled the three companies to maintain a leading position in the global retail market. Aldi, for instance, boasts 8,500 stores under its name, with 1,400 located in the United States, spread across 36 states. Some of the remaining stores are based in 17 other nations, the US excluded (“Mini-Case the Ripple Effect of Supermarket Wars: Aldi Is Changing the Markets in Many Countries,” 2017). A similar scenario is observed with Walmart, which has attracted numerous customers.
Aldi’s store portfolio originates from private labels. In other words, Aldi’s private brands enable it to control its marketing and distribution prices. Aldi, therefore, can maintain its only way of operation, as it relies on itself for survival.
Walmart’s operations differ from Aldi’s, as they employ a different approach, purchasing commodities in bulk, which enables them to offer reduced prices. Most companies that build low-cost approaches utilize economies of scale to establish this advantage (Toma et al., 2022). Thus, Walmart satisfies the needs of its customers by offering commodities at low prices, which will aid it in remaining competitive in the next 50 years. It is challenging for both Walmart and Aldi brands to stay on top in this century due to various factors, such as changing customer needs and the emergence of more developed brands that offer commodities and services, thereby filling the market and providing customers with multiple options.
References
Mini-Case the Ripple Effect of Supermarket Wars: Aldi Is Changing the Markets in Many Countries. (2017).
Toma, S. G., Catana, S. A., & Gradinaru, C. (2022). Competitive Business Strategies in Global Retailing: The Case of Wal-Mart. Annals-Economy Series, 1, 106-112.