Walmart Is Doing More Better Than Target

With the down turn in the economy, many consumers have turned to Dollar General and Dollar stores; this has caused a decrease in Target’s revenue. Another threat is Wal-Mart and their ability to offer lower prices on their products compared to Target which makes them the low cost leader. (ehow.com)

A snapshot of the Net Margins for Wal-Mart Stores Inc. is shown below: Net Margin Wal-Mart 2010 3.90% 2011 3.50% 2012 3.60%

Wal-Mart and Target are both great retail stores to go and find a good bang for your buck shopping experience. After researching both companies, it appears they have the same ideas as a mission, saving the customer money. Wal-Mart Mission statement reads;

When we compare walmart.com with amazon.com. Two of the biggest names in the industry are Amazon.com and Walmart, the latter of which has moved beyond its physical stores and begun to offer a variety of merchandise online. Amazon.com is one of the most recognizable names in the online retail industry. The site’s marketplace allows customers to purchase a wide variety of items online. And with a slew of third-party merchants in its roster, Amazon.com is a formidable presence indeed. Walmart is just as widely known of course, albeit in the real world. The company is a familiar name in the

The companies I am studying are Wal-Mart and Target. Both are major discount retailers, general merchandisers who compete as cost leaders. These companies both very large, big enough to execute on their strategies effectively. Yet one has chosen the path of international growth and the other has not yet, pending expansion into Canada in 2013.

Amazon.com has successfully managed to make its customers to feel that anything they could possibly want could be found on their website. Additionally, its products are marketed at a competitive price. Another important factor is their speedy delivery with their usage of UPS and FedEx (United States) and Royal Mail (United Kingdom). The company also caters for people that prefer online shopping with extra services such as Amazon Prime - a service with a yearly payment, customers are eligible for free next day delivery. Even though Amazon.com is known to be an online seller of most things, it still excels in its original market of book selling. Evidence of such is

When it comes to Services, Wal-Mart also has the upper hand. In many stores they offer: a Bakery, Meats, Photo Centers as well a on site photographers, Automotive services, Hair Salons, Banks, Optical Offices, Pharmacy, Nail Salons as well as restaurants such as McDonald's, and Subway. Target has rivaled many of these services providing in store Starbucks, Taco Bell/Pizza huts, and the most recent advance is an in store clinic. Even with these amenities it is still far behind Wal-Mart in the services department.

Kohl’s is a family-focused, value-oriented department store and website. Kohl’s mission: “To be the leading family-focused, value-oriented specialty department store offering quality exclusive and national brand merchandise to the customer in an environment that is convenient, friendly, and exciting.”1 In fact, the last fifteen years Kohl’s has remained true to their mission of operating as a family oriented department store featuring quality, name brand merchandise at an excellent value to its customers.2 By opening other stores throughout the U.S. during years 2000–2010 Kohl’s sales grew by leaps and bounds. Kohl’s strategy again, was simple and true to its core mission: affordable clothing, great customer service, easy to navigate stores

The retail industry is one of the largest industries in the world, by business numbers and employees. Plunkett Research Ltd. As of 2011 Wal-Mart was still the giant of the retail market. As Wal-Mart nearest competitor Target heats up the market, Target seems to be gaining in customer loyalty and has picked up on Wal-Marts grocery strategy. According to the Plunkett report, recession ravaged consumers not only want dry goods at a discount, but they also want groceries discounted (PlunkettResearch.Com, 2012). Target also has been gaining customers who want stylish well organized stores that appeal to their senses.

Target may have a bigger selection on some products, but their store is such a big hassle. To have a well managed store you need good customer service, a good atmosphere, and low prices. That’s something Target has none of and Wal-Mart has plenty of.

Wal-Mart has an increase on per share of common stock, between 2005-2007. Based on the annual report of Wal-Mart for 2007, the company generally has a working capital deficit due to the

In 2016, Wal-Mart’s income came in at $117.5 billion, which increased 1.4%, from the previous year.

Many Retail chain stores are struggling to get customers to walk in and shop in their stores as much as they did before. People seem to enjoy shopping online (for commodity, convenience, and other valid reasons), and this has affected many conventionally-operating retail chains.

Kroger competes with Neighbor market and supercenters of Wal-Mart especially on the grocery product line. Target competes with Discount stores and supercenter shopping formats of Wal-Mart with Target commanding a small premium on prices as it follows fashion trend. Market segment of Target is the high-income customers leading to higher margin realization. ($ 50,000 of target vs. EDLP strategy of Wal-Mart by leveraging purchasing scale has pushed down prices compared to other retailers.

Kohl 's Corporation possesses and controls “family-oriented department stores. It offers exclusive brand apparel, shoes, accessories and home & beauty products through its department stores. The company 's stores offer apparel, footwear and accessories for women, men and children; soft home products, such as sheets and pillows and housewares targeted to middle-income customers. Its stores generally carry a consistent merchandise assortment with some differences attributable to regional preferences. In addition, it also offers on-line shopping through its website www.kohls.com that is designed to provide a convenient, easy-to-navigate, on-line shopping environment that complements in-store focus. Kohl 's was founded in 1962 and is headquartered in Menomonee Falls, WI.”