10th September 2013
Target: From “Expect more” to “Pay Less”
Group 10 Section: A, 1st Semester
Bachelor of Business Management (2013-2016)
Q.1: What micro environmental factors have affected Target’s performance over the past few years?
The factors that have affected Target’s performance:
Micro environmental factors that affected them would include Company, competitors, media, and intermediaries. Target itself, is a discount retail store, but is known to carry designer wears. Since Target is known for style, fashionable and slightly higher priced clothing and appliances, and in the end, they hurt themselves. Target should have done a lot better of a job in providing customer value and satisfaction then Wal-Mart or others. Customers would have stayed loyal if valued and satisfied. Wal-Mart had a huge microenvironment affect as a competitor is the low cost store, which lures customers in and would normally get most of the attention, through the consumers assuming that they have a cheaper and better buys.
Q.2: What macro environmental factors have affected Target’s performance during that period?
The macro environmental factors that affected Target's performance during the period were related to the demographic, economic, natural, technological, political, and cultural. The shifting dynamic between Target and Wal-Mart was the change in economic conditions such as Unemployment, sliding GDP growth which created an environment where most of the customers had less income. They should have followed their word "Pay Less" in their slogan. Target should have incorporated a feedback customer survey number online for consumers for feedback in case they needed to fix any external issues that buyers have had and why they choose to do business elsewhere.
Q.3: By focusing on the “Pay Less” part of its slogan, has Target pursued the best strategy? Why or why...
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