Target Usa Swot Analysis

Introduction

Target is one of the largest retail stores in the United States. With revenues estimating over 73 billion dollars in 2012 the mogul company has managed to transform its business into a leading merchandizing store. The company's first store opened in Minnesota in1962 (Target, 2012) since then, the company now operates 1,778 stores in 49 states and is estimated to employ more than 375,000 team members by the end of 2013" (Target, 2012). While Target is known to offer communities everyday essentials and stylish distinctive products at low prices the company also offers an assorted grocery selection in its SuperTarget chains. After careful examination of the companies 2012 Corporate Report and its universal cite, this paper will identify the company’s strengths, weaknesses, opportunities, and possible threats.

Strengths

One of Target Corporation’s greatest strengths has been the company’s ability to generate strong brand recognition. The company’s logo is a red bulls-eye and is one of the most recognizable symbols in the world. The company’s emblem represents the store brand promise, “Expect More. Pay Less” and reflects Target’s unique retail experience ("Target Through The Years ", 2013). The company’s commitment to market an iconic brand flourished with Target’s stylish and innovative approach to its marketing strategy. In addition to creating a recognizable brand Target also strengthened its partnerships with exclusively owned national brands including Gilligan & O’Malley, Prospirit, Circo, Threshhold, and Room Essentials” (Target, 2012). The merchandise ranges from apparel and accessories, household goods, home furnishings and décor, and food and pet supplies (Target, 2012). The combined strength of Target’s repute and well-known contemporary brands at reasonably low prices is what has set the company apart from its competitors.

Another strength Target possesses is the company’s launch of the REDcard, an exclusive credit card for Target customers that offers a 5 percent return when used in stores in the United States ("Target Redcard", 2013). In addition the REDcard offers holders free shipping on all online sales with no minimum purchase required ("Target Redcard", 2013). The REDcard strengthens the company’s commitment to offering low prices by contributing rewards to card holders.

Weaknesses

Target presently operates 1700 stores in 49 states (Target, 2012). While the company has a large presence in the United States Target’s international reach is almost nonexistent. The company’s scarce global presence creates a weakness in Target’s business. Thus far Target only has plans to open its first international store in Canada in 2013. The company’s absence in global markets creates an advantage for Target’s