MAN4720 Section 22 -Wednesdays 7:30pm
Team: Risky Business
The purpose of this analysis is to inform the board of team Risky Business’ strategic proposal related to Target Corporation’s Health & Wellness category. Target is already a multi-million dollar company, but after analyzing the company, our team has come up with a few strategic recommendations to aid in the continued success of Target. We have found that Target strives to combine top of the line innovation, excellent customer service, and unparallel value at attractive prices to customers using their Expect More. Pay Less® brand promise. The Target Corporation has many strengths that will help our recommendation succeed including a wide scope of products and brands, strong internal logistics, convenience of online shopping, and an already strong brand and financial position. We feel that Target creates a sustained competitive advantage by leveraging the different aspects of their integration strategy to attract customers. Target is able to keep volumes high, driving costs down to offer lower prices on the differentiated products that Target’s guests have grown to love and expect. Team Risky Business’s strategic recommendations for the Health & Wellness sector include expanding initiatives and educational programs associated with organic and gluten free lifestyles. Target already has brand exclusive organic lines and our team recommends making consumers more aware of the products offered as well as benefits their guests can reap from changing their lifestyles. We suggest increasing advertising in order to promote these product lines to a market that is increasingly more health conscious than ever before. As with any strategic option, there are fall out risks associated to this plan that include increased costs and a potential lack of interest or demands. The full analysis gives a more in depth look at the current position of the company and future problems it could face along with the strategic recommendations we have chosen, and potential fallout risks associated with our solutions.
Identify your client’s current vision and mission and analyze your client’s strategy Target’s ultimate goal is to become the most favored shopping destination for customers throughout all existing channels. The company plans to achieve their overall vision by continually being a top innovator in the industry, delivering outstanding customer experiences and terrific value at attractive prices, and by constantly fulfilling their brand promise of Expect More. Pay Less®. Target tries to live up to their statements and this can be seen throughout many areas of the company. In March, 2013, Target received one of only 13 ratings of “excellent”, the highest available, from the Forrester Customer Experience Index, which measures customer experiences by survey (Target Brands, Inc., 2013). As far as innovation is concerned, Target has made a positive imprint within the industry. Target has received many awards for its innovative excellence and is continuously reinventing its stores, layouts, and product assortments to better serve the ever-evolving needs of their guests (Target Brands, Inc., 2013b). Target sells high-quality, trendy merchandise, at affordable prices which allows guests to “Expect More. Pay Less®” when they shop at Target. Target combines innovation, value, and commitment to their brand promise through their actions, such as partnering with popular fashion designers to create affordable lines specifically for Target. This combining of differentiated products with lower prices is one way that Target incorporates its mission statement into their everyday operations. Target is still working on reaching its end goal of becoming the preferred outlet, as shown by its #2 market share position in the discount department store industry. Target is surpassed in market...