They'll never be able to cut enough headcount or skus to be as efficient (and thus cheap) as Aldi. Their stores are just too big for that sort of efficiency. And their stores are a fixed resource. So that's a big problem for them.
If it were me, I would pare back apparel and home to basic goods and ensure there are no logos on any of it. I'd expand food and carry more assortment but make it case stocked.
And I'd stop trying to be high fashion with these acquisitions. It won't work. People who buy fashion brands won't buy brands associated with Walmart. That's just not the way the fashion world works.
Walmart needs the middle class to be healthy again to succeed. With the middle class gone they're getting squeezed by higher end grocery stores that do specialty and shopper experience better than Walmart. And at the low end you have Aldi and Lidl with efficiency that Walmart is structurally unable to match.
Finally with the erosion of incomes and the erosion of the forty hour work week, people are moving away from buying things as a past time and towards frugality and life experiences.
All of these things are bad for Walmart.