Target Corporation Finance Essay

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Corporate Finance-BUS 350 By: Taylor English & Yomar Torres For most Americans Target is the go-to store for almost anything from bedding and house ware items to notebooks and school supplies. Target Corporation turned 50 years old in 2011, while their financial results represent a single-year’s achievement, it’s an achievement based on their five decades in business. In 2011, Target reached a new high of $68.5 billion dollars; most of their sales come from household essentials. In 1962, Target opened their doors for the first time in Roseville, Minnesota. During the early years, Target was stocked with a full grocery assortment, for the 1960’s discount stores was a whole new concept. Today, Target differentiates itself from other retailers by combining the best department store features like fashion, quality and service, with the low prices of a discounter. Target’s offers large, general merchandise and food discount stores, and a fully integrated online business called Target.com where people can purchase from the comfort of their homes. The Company currently operates 1,767 Target stores in 49 states. Target is #38 on the Fortune 500’s annual ranking of America’s largest corporations. While Target Corporation is the second-largest discount retailer in the United States behind Wal-Mart it still does pretty well for itself. Chairman, President, and CEO Gregg Steinhafel expressed how well they were doing and continuing to grow in his letter to Target’s shareholders in the 2011 annual report. Steinhafel discusses their differentiated product assortment, ambitious store remodel program, increased investment, and their fun and aspirational marketing approach. Steinhafel goes on to say that they have set goals for the future. In the next year, Steinhafel wants to increase annual sales to $100 billion or more and grow their earnings per share to at least $8 by
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