First Super Target Stores example essay topic

Our group, upon much deliberation, decided to conduct our research on the Target Corporation. This decision was based partially on the interesting class presentation done by one of its Wisconsin store managers, and also a genuine interest in the company. We have all been to a Target store or one very similar in our lives. A great number of Americans shop there on a weekly or bi-weekly basis, purchasing anything from a loaf of bread to a flat screen television. The broadness of its product and the way they conduct their business is what first appealed to our group. Digging deeper, we found that Target is more than just convenient shopping and friendly service.

They are a multi-million dollar corporation that hasn't forgotten about their community or their employees. Target Corporation was founded in 1902, though it was not known as Target Corp. at the time. George Dayton opened Good fellows in downtown Minneapolis, which remains at the same location today. In 1903 the company changed their name to Dayton Dry Goods Company. This name did not last long either as it was shortened in 1910 to The Dayton Company. In 1946 The Dayton Company began a tradition of giving 5% of their profit back to the communities and continues to do so today.

In 1953 The Dayton Company adopted a new logo cutting out the word "company", and just having the word Dayton's as the new logo. In 1954 Hudson's was opened in Detroit Michigan by J. L Hudson who opened the store in Northland Center, the largest shopping center at the time. In 1956 South dale was opened by the Dayton Company in Minneapolis; this signified the opening of the world's first fully enclosed two-level shopping center. The Dayton Company began to venture into discount merchandising with the opening of the first Target store in 1962. Surprisingly, it wasn't until 1967 that Dayton Corporation first had a public offering of common stock out on the market. The name of the Dayton Corporation changed yet again with the merger of the Dayton Corporation with the J.L. Hudson Company.

These ties form the new Dayton Hudson Corporation (DHC). In 1971 revenues top $1 billion for the first time. Mervyn's is acquired in 1978 as the 7th largest retailer in the nation. Starting in 1979, Target stores are the number one revenue producer for DHC. In just over 10 years revenue goes from $1 billion in 1971 to over $5 billion in 1982. These numbers do not compare with the over $10 billion in revenue that the company reached five years later in 1987.

One very important event was in 1990 when DHC acquired Marshal Fields. Four short years later revenue doubled yet again to $20 billion. In 1995 Target Stores launch the very first discount store credit card known as the Target Guest Card while at the same time opening the companies first Super Target stores. All this work paid off in 1996 when the company's revenues reached $25 billion.

In 1999 DHC jumped into the e-commerce capabilities with the new website of target. com. This brings us to where we are today, as we watch the Target Corporation continue to increase revenue and attract new customers. The Target Corporation has increased its revenue by a nice percentage for as far back as we could find. They have gone from a 1971 revenue of just over $1 billion to over $48 billion in 2003.

Here is a chart that tracks the progress the company has made in just the last 7 years. Keep in mind that these numbers are in the MILLIONS of dollars. It was listed at $50.74 per share as of 4/7/05 and dropped to $49.13 as of today. The Wisconsin store representative that came to class, unfortunately we couldn't remember his name, told us that it would be a good idea to invest in the Target corporation if one had the available funds. We discussed and came to the consensus that indeed it would, since we see the company still actively trying to increase sales and productivity. When it comes to social responsibility, the Target Corporation really pulls its weight.

As mentioned previously, Target has given 5% of its total profit back into their community for the last 59 years. They give to various charities and organizations across the nation. They give over $2 million a WEEK to education, the arts and social service, as well as local neighborhoods. They launched a program in 1997 entitled 'Take Charge of Education', where 1% of all purchases in a Target with the Target Visa were donated, as well as 1/2% of all purchases anywhere else. Since this program was instituted, over $120 million has been raised to help fund schools. Target funds more than just education.

Target gave $1 million to aid the Tsunami Relief efforts through the Red Cross. They also support and donate generously to the men and women responsible for the protection of our country. The donate to military organizations regularly and have given money to support memorials such as The Wall That Heals and the WWII memorial in Washington D.C. Target also has a food donation program, where unsold groceries are given back to their respective communities. In 2003 they gave over 1.3 million pounds of food product to those in need. Finally, Target sponsors what they like to call 'Target Free Nights' at the Museum of Modern Art.

Admission is free for all visitors to come down and experience the beauty of this museum and all it has to offer. We called our local Target to get their policies on how an employee is trained and educated, as well as the code of ethics. We talked to a team leader, Chrissie, and she explained the process. She said an everyday cashier is explained his / her duties by one of the managers and is then 'watched' by that manager for a period of one week. Any questions a cashier has are answered by that manager and after completion of that week they are out on their own. Chrissie told us that most of their employees are very motivated to begin with but are also give much verbal praise and really treated like equals in the company.

Raises and promotions are not uncommon and help to keep employees going. Anyone with manager intentions must have a 4 year business degree and undergo an 8 week formal training program. As far as ethics is concerned, Chrissie stressed the word RESPECT. She said that the managers try to really focus on developing a metal respect between all employees and their subordinates. Any incidents that may be unethical are to be brought to a team leader and all those involved would have a chance to explain their sides of the issue. A managerial consensus is come to and the appropriate actions would be taken.

As most of us already know, Target offers a wide variety of goods in each of its many locations. Its a place where you can purchase a new patio set, shower curtain, and fishing rod all in one trip. It offers both men's and women's clothing, toy's for the children, and video games for the child in all of us. It also offers more practical items such as laundry detergent and dishrags.

Its basically a one-stop store that carries just about anything you need in everyday life, and many items you don't. They also carry many seasonal items. For example, Target is a great place to purchase a fake Christmas tree or a Halloween costume when the respective time comes. As many of us already know, the main competitor of Target is Wal-Mart. They sell similar items at similar prices and are often located within miles of each other.

They have been fierce competitors for years and it doesn't look like that will be ending any time soon. Target also faces some competition from the likes of the few remaining K Marts across the nation as well as Kohl's. All of these companies pride themselves in offering a wide variety of items at reasonable prices. As mentioned in class, Target does little to no international business.

They have considered expanding to Mexico and / or Canada in the near future, but as of right now business is done primarily in the States. This business is conducted in a number of ways. We have all seen the colorful weekly booklet of savings in our Sunday papers. Target gives its customers a chance to browse all the weeks upcoming sales and lets them know what new products are coming to their stores. Target also advertises on television and radio, with catchy commercials and the Target logo appearing just about everywhere. Even our Minnesota Timberwolves play in the TARGET center in downtown Minneapolis.

Advertising is everywhere. They also conduct back to school specials and offer special discounts on items over the holiday seasons. These strategies all prove to be effective in bringing in customers and keeping customers loyal. Overall, the Target Corporation has grown from a one store location to a multi-billion dollar monster in the world of department stores. We feel they will continue to grow and eventually branch out to other countries, creating more revenue and jobs for anyone involved in the company.