The inventory process management in Wal-Mart as discussed above is improved through the RFID technology. Radio Frequency Identification is an innovative technology that utilizes electromagnetic rays to identify each product. It is actually a small microchip that is placed in the product. This chip houses a large amount of data in digital format. These microchips are encapsulated with protective covering in order to prevent physical damage of the original chip. This aids in easier identification. This identification will enable the product to be tracked right from the production, when it enters the supply chain, reaches the distributors, retailers and finally it can track till the product reaches the end customer. By enabling this technology businesses can profit a lot in terms of money and time. This also leads to fewer errors. This enables the retailer to know the exact need of the inventory. They need not over stock or be under stocked i.e. it helps in inventory control of products. They can easily assess the potential of a product and can make decisions accordingly. Apart from this technology also aids in quality control processes. It is a fully automated system and by enabling this technology the businesses need not employ personnel in each stage. The people can easily monitor each stage of the product. Wal-Mart deployed this RFID technology in its business process. By enabling this process they are able to maintain a cost effective supply chain. They were able to deliver to the customer low cost prices and were able to stay true to their policy of everyday low prices. This application of RFID technology in their supply chain also enabled this corporation to lead its competitors. They are able to garner more profits than its closest rival competitors. The analysts had also predicted that the potential of embedding RFID technology is huge. However the problems soon started in inventory management with the rise in demands.