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Going for growth or focusing on the core


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Old 01-10-2007, 11:48 PM
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Here is an interesting article talking about Wal-Mart and it's currrent situation. This is a great situation we could all reflect on. How often do we find ourselves searching for a way to branch out and grow and at the same time we neglect our core business?

The unending woes of Lee Scott - Staples founder Tom Stemberg thinks Wal-Mart should "quit trying to be a growth company, stop being distracted by [Europe and Asia], and focus on the U.S., Canada and Mexico," says Stemberg, now a partner with private-equity shop Highland Capital. That would free cash for stock buybacks and dividends. "Instead," Stemberg says, "they've decided they're going to defy the laws of gravity by expanding to half the world and trying to go upscale in fashion."
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