Essay on Development and Analysis of Two Mini Case Studies

1257 Words Mar 25th, 2013 6 Pages
Development and Analysis of Two Mini Case Studies This is a SWOT analysis of Target Corporation and K-Mart, to be followed by a cross-case analysis of the two mini cases. The success and failure in these cases is based on volume of sales and recognition of the two companies.
Target SWOT Analysis Target is a mass merchandising store based out of Roseville, Minnesota and founded in 1962. Almost 50 years later, Target is still going strong. They have always been in direct competition with the world's largest retailer, Wal-Mart, and are still in business which is quite impressive. What makes target so different from most mass merchandising stores is that it focuses on the overall experience for the shopper, not just great prices (2009
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Kmart also exists in Australia and New Zealand although it now has no relation to the American stores except in name, after U.S. equity in the Australian business was purchased in the late 1970s. Kmart is the third largest discount store chain in the world, behind Wal-Mart and Target; all three chains were founded in 1962 (2010 Abhijeet S).
Strength: K-Mart has a Strong brand & loyal shoppers. Excellent customer service, operating margins 2x the average of most publicly owned supermarkets. They are supply chain efficiency and considered best-in-class amongst retailers. K-Mart is open to new ideas, great quality in food, perishables, and variety, selection of products. Employee benefits, compensation, work satisfaction and they create a unique and entertaining shopping experience (2010 Abhijeet S).
Weakness: Some of their weaknesses are they have very large grocery stores, not most efficient shopping experience. Very high prices on prepared foods. There are not a lot of stores and private ownership restricts capital raise for faster store expansion (2010 Abhijeet S).
Opportunities: K-Mart has a lot of store growth potential; they have growth in higher margin categories than some of the other stores. Expand services such as culinary schools, healthcare, others are developing and private label growth to enhance brand & margins (2010 Abhijeet S).
Threats: Some threats they face are the competition from

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