Let's take the example of Walmart, which has the large presence in the United States and is an important part of the Consumer Services Industry.
Walmart began with just one store but has grown all over the country to many unique aspects of the American economy and demographics. The United States, in contrast to what many people assume, is a very diverse country.
The culture of New England is very different from that of the Bible belt. Similarly, the African American culture of Georgia is different from the casual California where there is a vast Hispanic population.
Walmart saw an opportunity in this diversity and has grown by catering to needs of all these consumers. Communities with highly dense Hispanic population stocked food items that were very different than can be found in Jewish neighbourhoods and vice verse.
This enabled Walmart to connect with each community and grow with them over the generations.
In all this, Walmart prides itself in providing benefits to US army veterans and provides jobs to women from low-income backgrounds and the disabled.
In all this, Walmart does face a number of different challenges, including:
- A slowing economy can hit the profits of the company
- Competition from other companies such as Costco and even international players like Aldi and Lidl can decrease their market share
- Online rivals such as Amazon have long been identified as a threat to the company and is one of the biggest challenges facing the consumer service industry.
- Companies like Amazon are not only involved in retail but also in selling movies, music, etc that can completely challenge the consumer service sector
