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Retail giant Wal-Mart is testing home delivery in California. The move is in response to similar tests by Amazon and Sears. Wal-Mart already has a successful home delivery business in Europe and recently brought a top-level executive from that subsidiary to the United States. In addition, the company purchased Kosmix to help develop a new division aimed at using social media for marketing.

QUESTIONS:

  1. Is Wal-Mart’s test of grocery delivery creative? Why or why not?
  2. Should Wal-Mart decide to adopt home delivery, what type of innovation would it be?
  3. What model of change leadership does Wal-Mart appear to be using in this case? If implemented, would the change be incremental or transformational?

SOURCE: M. Bustillo, “Wal-Mart Tests Home Delivery of Groceries,” Wall Street Journal (Retrievable online at http://online.wsj.com/article/SB10001424052748703567404576280922297538578.html)

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