International Business Walmart case study Essay Example | Topics and Well Written Essays - 500 words

International Business Walmart case study - Essay Example As such, it is worthwhile to analyze the prospective of Wal-Mart in South Africa by first considering the four dimensions of distance between the U.S. and South Africa as well as the disadvantages and disadvantages of Wal-Mart in South Africa using Eclectic Paradigm as it will be delineated in this discussion. The distance between the U.S. and South Africa can be considered through four dimensions: cultural, political, geographic and economic distance. Firstly, the cultural distance deals with the cultural attributes, which are very essential in determining the manner in which individuals will interact with each other as well as with companies (Ghemawat, 2001). Whereas the majority of the inhabitants of the U.S. are whites, blacks are predominant in South Africa. The U.S. is an English speaking nation, whereas South Africans speak isiZulu language to a greater extent in trivial English. Also, in the U.S., the Protestant, and Catholic religions are prevalent while, on the other hand, Protestant and other Christian religions are prevalent in South Africa. Secondly, the political distance between the U.S and South Africa is eminent in the sense that they do not share a common currency: U.S. dollar for the U.S. and the South African rand for South Africa. Thirdly, the geographical distance be tween the two countries exists in terms of geographical size, climate, and population. The U.S. covers a geographical area of 9,826,675 square kilometers (sq. Km) whereas South Africa traces the U.S. with 1,219,090 sq. Km in geographical size. Besides, the U.S. has a temperate climate, which is different from the semiarid climate in South Africa. Additionally, the U.S. has a population of 316,668,567 whereas South Africa has 48,601,098. Lastly, the economic distance between the U.S. and South Africa is apparent from the GDP per capita, $ 50,000 for the U.S and $11,400 for South Africa, the real GDP