What Is The Cause Of Target's Dilemma
In today’s consumer driven economy, Target is facing a dilemma. Many consumers, even myself, have discovered deep discounts while online shopping. The only problem with online shopping is you can’t inspect the item until you’ve already purchased it. Target is now experiencing a “showrooming” problem, as many consumers will review a product in store, then return home to purchase it online at a cheaper price (Kinicki & William, 2013). While competing with online only rivals, such as Amazon, Target discovered they had to act as these stores don’t have the overhead expenses, therefore can offer cheaper prices.
Target’s first step was working with their suppliers. Unique, limited time only products is one way the retailer felt they could increase