Document Review

 Article Assessment Essay

The article I chose to review is in the September 26-October 2 Bloomberg Businessweek. It is " Why Target's Cheap-Chic Glamour is Diminishing. ” This content explains how Target can be beginning to seem very similar to rival Wal-Mart, and it is being affected by the industry.

In the article, it opens with explaining just how discussing Target‘s 2011 same-store sales, Key Financial Expert Douglas Scovanner pointed out that Wal-Mart had been struggling with " weakened retailing functionality. ” The content then points out that for years Target has been seen as the trendier, hipper version of Wal-Mart. But since of late that hasn't been the truth.

Target has been struggling a simlar amount and with the same issues because Wal-Mart. Their share price has dropped 14 percent this year. Many are noticing the fact that employees for Target are certainly not as content as one would expect, and many comparisons of the wages and benefits associated with employees are almost similar to opponent Wal-Mart. Goal used to be known as a leader in cheap-chic clothing. Today, the cheap-chic idea that Concentrate on had started out is being duplicated by additional stores as well. As the economy tightened, persons left Focus on for Wal-Mart.

Wal-Mart offers low prices. That is about it. All their service sucks, their personnel are disappointed, and for one of the most part, low prices is the simply thing they provide. As the economy tightened up, Target was no longer the go-to shop. It was forecasted by Wall Street that after the economy rose, persons would go back to Target, although this has yet to happen. People are still buying at Wal-Mart. Fewer stores are becoming opened lately by Target.

In order to enhance sales by less retailers opening, household goods have become part of the product lineup. Target also offers 5% off from purchases when you use their credit rating or debit cards. Although this creates revenue and increases the amount a customer consumes, it hurts the bottom line. Once you take out the low-margin household goods and the 5% discount, Focus on and Wal-Mart report having very...



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