By: Daria Laycock
The economy is rebounding but some companies are still being hit hard. Here are five companies that made the Fortune500 list this year but might not next year.
A big box store that that sky rocketed to be on of the worlds largest companies, Wal-mart is now trying to cater to a different type of costumer. Trends show that consumers are being more attentive to what they eat. Walmart’s low low prices on boxed and frozen foods are no longer in high demand. The marketplace is now geared towards quality, nutrient dense foods for reasonable prices. In addition to a changing market place Wal-mart is suffering because of it’s poor customer service. The department store is struggling to keep up with competitors such as Target which offers the same shopping experience with cleaner stores and more attentive customer service, and amazon which completely cuts out the physicality of shopping and allows patrons to have groceries sent straight to their homes.
Due to cuts in oil prices, gas giant Exxon Mobil, might be on the chopping block. Oil prices are plummeting due to conditions in the middle east and influxes of the product from other sources. Oil prices have been slashed in half over the last year and Canada and Russia are now the bosses of the oil industry. In attempts to keep the company afloat Exxon is now launching new projects in Indonesia, Canada and the Middle East.
Recall is the word that best describes General Motor’s 2014-2015 fiscal year. Multiple addresses to congress and multiple driver deaths have left the once iconic motor giant in hot water. Though revenue for GM was as predicted economists did not account for the $400 million in compensation for victims GM had to hand out.
- Berkshire Hathaway
It’s not the company, it’s the owner. Warren Buffett the media mogul’s Berkshire Hathaway is doing well, almost too well. The company is expanding rapidly and is growing more quickly than the economy. The company is diverse with hands in Fruit of the loom and the Brazilian investment firm 3G. Despite all it’s successes certain sectors are not doing as well as they could. Investments in IBM and Coca-Cola are not preforming as predicted.
Everyone needs electricity and General Electric has the market cornered. Their misstep occurred when GE ventured into the big banking business. Banking ate into the company’s revenue and ended up being more trouble than it was worth. GE is trying to offload its consumer lending business to lower the company’s risk.