Target, however won't be alone in Canadian territory; Wall Mart Stores Inc. has already been established there for 10 years and other stores such as Khol's Corp. and Victoria's Secret also have plans to open stores in Canada.
This is another example of the ever increasing presence of globalization. Corporations are not limited to any one area and are becoming recognizable on almost all of the world's continents.
Could this stretch across the northern border hurt Target Corp? The Wall Street Journal expresses that some problems are "great distances between large Canadian cities and, in some cases, the need for labeling in both English and French." Moving up north to Canada, however "costs less and carries fewer logistical risks than overseas expansion."
This may be a good way for Target Corp to see how it can operate in another country and to measure if it would be successful over seas.
http://online.wsj.com/article/SB10001424052748704689804575536273265184134.html?mod=WSJ_Retailing_leftHeadlines
Is anyone else just surprised that Target is finally moving into Canada? I mean there are countless articles about WalMart's buying of MassMart in Africa, which kind of makes the news of Target's new stores look kind of silly. Obviously, this still means big bucks for Target as it opens up to a new market. Hopefully, the retailer finds an accommodating and competitive niche among domestic and American retail brands.
ReplyDelete-Colin