Amazon and Walmart follow somewhat different strategies. Suggest reasons for these differences in operating profitability.

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Question:

Amazon.com is the largest retailer on the planet, with Walmart not far behind.  The third-largest retailer on the planet is Chinese e-commerce giant Alibaba.

Required:

  1. Amazon and Walmart follow somewhat different strategies. Suggest reasons for these differences in operating profitability.
  2. Amazon and Alibaba follow somewhat similar strategies.  Suggest reasons for the differences in operating profitability.
  3. Rank-order these firms in terms of their short-term liquidity risk. Do any of these firms appear unduly risky as of the end of fiscal 2018? Explain.
  4. Rank-order these firms in terms of their long-term liquidity risk. Do any of these firms appear unduly risky as of the end of fiscal 2018? Explain.

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