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Operations Management Of The Target Corporation

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Approach this final segment of the project as an analyst for your company that is looking to merge with or purchase the company that you have been looking at throughout the course.




The main aim of this report is to critically highlight the operations management of the Target Corporation. The report also highlights the strengths, weaknesses of, threats, and opportunities for the company. Lastly, the report suggests, should Target merge with, acquire, or do business with its rival firm.


Operation management of Target

Operation management is that particular area of management that concentrates in controlling the process of production in and organization. It also focuses in the redesigning of the operation of the business in the production of services and goods (Slack et al, 2013).

The Target Corporation was established by George Dayton in the US and the company has it's headquartered in Minneapolis, Minnesota. It is a retail organization. The company operates whole across the United States by their retail format to include the hypermarket Super Target. It is a flexible format and discount store along with Target Express before consolidated under the Target branding. (Stephenkahle, 2012). The company is looking for passionate, creative and committed employees that can create innovation to get into the controlling team and product design of the Target Corporation. The company also started the designer partnership to introduce designer strategy in the retail stores (Pratt & Kulsrud, 2013). The company offers high-quality services and products at a low price. The company also offers a wide range of products to its customers, which includes clothing, baby equipment, toys, food, furniture, luggage and much more. Target Corporation also has several private level brands, which includes Embark, Circo, Archer Farms, Market Pantry, Truth, and Merona. The product helps in explaining the utility of the market positioning. The company also offers its customers with discount price services and product.

Analyzing the overall operation of the Target it can be inferred that Target is a fastest growing company due to its unique operations, outsourcing and positioning strategy in the market. It is number two to Wal-Mart because the operations outsourced the manufacturing products and positioning strategy as well as high ability to adopt the new approach in the Target Corporation which helps the company maintain its competitive position in the worldwide market. Target has carved out a niche for itself by being more upscale and trend-driven than its rivals. 

SWOT analysis of Target Corporation

Strength (Contributor, 2015)

  • Target is a well-recognized and established brand that is highly valued by the customers.
  • It is considered as a fun place for shopping, just like Wal-Mart.
  • The company has strong marketing expertise in the retail market; it also includes household furnishing and fashion.
  • The company maintains a good relation with the customers, helping them in building a high level of brand loyalty.
  • The company also has the capacity to attract younger customers.
  • The company presents itself as a middle-class brand, which helps in attracting customers that are of the view that discounts stores such as Wal-Mart are distasteful and lower class.

Weaknesses (Contributor, 2015)

  • The business model of the company is based on big box stores and other supercenters, which fails to attract customers who prefer shopping from neighborhood stores that are small.
  • The company is also unsuccessful in changing its business model with the changing market demand.
  • The company has recently forwarded its first step towards e-commerce and is lagging behind competitors like Wal-Mart and Amazon.
  • The company is not that diverse and large like its competitors like Wal-Mart, Costco, Amazon and Kroger Inc.
  • The company has also failed to capture some important areas of retails, which includes financial services and filling stations.

Opportunities (Contributor, 2015)

  • The company has a good reputation as a fashion retailer, which is appealing for the online customers.
  • The middle-class income in the US is declining, which will force people with low income to shop at discounted stores.
  • The company has also initiated new channels for sales, which includes small neighborhood, same day delivery of the online purchase products, pull and click, helping the company to increase its customer base.
  • The company is an expert in retailing activities in the urban areas, where most of the young Americans prefer to live.

Threats (Contributor, 2015)

  • Falling income in the US may reduce the profitable purchase of the company
  • Increasing growth of small discounts retail stores and dollar store
  • Increasing competition from the online retailers like Amazon
  • Increasing competition from the competitors like Kroger Inc, Wal-Mart store, and Costco Wholesale


            After analyzing the Target Corporation thoroughly it can be concluded that it will be better for the Target Corporation to merge with its competitor firm.  Merging helps a company from shutting down, diversification, increasing its efficiency and increases investment in R&D of the company. 



Contributor, P. (2015). SWOT analysis of Target Corporation. PESTLE Analysis. Retrieved 13 June 2016, from https://pestleanalysis.com/swot-analysis-of-target/

Pratt, J., & Kulsrud, W., (2013). Corporate, Partnership, Estate and Gift Taxation 2013. USA: Cengage Learning.

Slack, N., Brandon-Jones, A., & Johnston, R. (2013). Operations management.

Stephenkahle, (2012). Target Corporation Strategic Marketing Plan. Retrieved from: https://zenportfolios.ca/stephenkahle/project_showcase/target-corporation-strategic-marketing-plan/ 


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