Target Case Study
| Target Corporation | Market Research | | Jon A Goad | 9/25/2011 |
Oklahoma Christian University
ABSTRACT
The purpose of this paper is to summarize the considerations that Target Corporation must take into account to determine the market feasibility of opening gourmet restaurants inside its stores. A brief history of the corporation will provide the reader with some general information about the company’s early years. A situation analysis will then address much of what the Marketing Department must consider, including trends, product life cycle stage, opportunities and threats, as well as potential strengths and weaknesses. The paper goes on to discuss Target’s customer profile, and how that will be a determining factor in the decision. A summary concludes the paper by discussing a couple of options, why they should or should not be considered, and what the author thinks is the best option in the current environment. |
Background of Target Corporation
Target Stores, since its founding in 1962, has been a dynamic leader in the American retail industry. A division of Target Corporation, its office is headquartered in Minneapolis, and the company currently operates over 1,700 stores in 49 states with over 355,000 employees (http://sites.target.com). It is known, along with Wal-Mart and K-Mart, as one of the “Big Three” in US discount retailing. The company is known for its offerings of brand-name merchandise at discounted prices, and its famous “bulls-eye” logo is indeed synonymous with the idea of bargain shopping.
A look back at Target’s early years indicates that the chain had anything but humble beginnings. Dayton’s department store chain, during the early 1960’s, was looking for ways to re-emerge as a top retailer, as well as to enhance the shopping value for its customers. So it began moving towards a new concept at the time: mass-market retail. The idea was to combine the fashion, quality, and service of a department
Oklahoma Christian University
ABSTRACT
The purpose of this paper is to summarize the considerations that Target Corporation must take into account to determine the market feasibility of opening gourmet restaurants inside its stores. A brief history of the corporation will provide the reader with some general information about the company’s early years. A situation analysis will then address much of what the Marketing Department must consider, including trends, product life cycle stage, opportunities and threats, as well as potential strengths and weaknesses. The paper goes on to discuss Target’s customer profile, and how that will be a determining factor in the decision. A summary concludes the paper by discussing a couple of options, why they should or should not be considered, and what the author thinks is the best option in the current environment. |
Background of Target Corporation
Target Stores, since its founding in 1962, has been a dynamic leader in the American retail industry. A division of Target Corporation, its office is headquartered in Minneapolis, and the company currently operates over 1,700 stores in 49 states with over 355,000 employees (http://sites.target.com). It is known, along with Wal-Mart and K-Mart, as one of the “Big Three” in US discount retailing. The company is known for its offerings of brand-name merchandise at discounted prices, and its famous “bulls-eye” logo is indeed synonymous with the idea of bargain shopping.
A look back at Target’s early years indicates that the chain had anything but humble beginnings. Dayton’s department store chain, during the early 1960’s, was looking for ways to re-emerge as a top retailer, as well as to enhance the shopping value for its customers. So it began moving towards a new concept at the time: mass-market retail. The idea was to combine the fashion, quality, and service of a department
References: 1. Dow Jones. (2010). McDonald’s plans upgrades to Wal-mart based restaurants. Dow Jones News. Retrieved September 20, 2011 from http://www.imagesfood.com 2. Wall Street Journal. (2007). Wal-Mart makeover favors Subway over McDonald 's. MSN News. Retrieved September 23, 201 from http://articles.moneycentral.msn.com 3. Target Corporation Website. (http://sites.target.com)