By Amrit G.
Recently, Target has had a big downfall of income in the Canadian market and is pulling out of Canada. Target promised Canadians big results and oh boy, did they not deliver. Consumers who have been to a Target in America say that these Canadian Targets were a big let down.Target shot themselves in the foot by not researching the Canadian market and spending habits, but also by expanding too quickly.
With Target moving out, roughly 17,300 employees are being laid off, and this doesn’t just affect those people. With 133 empty facilities, Canadian citizens are wondering what is going to happen to them. This would be a great opportunity for businesses who are trusted and loved by Canadians, to jump in, such as Walmart. Since moving to Canada, Target has cast over 2.1 billion dollars down the drain. Target has liquidation sales now for all Canadians, making line-ups outside the door hours long. “Personally, this was a very difficult decision, but it was the right decision for our company,” Target CEO Brian Cornell said in a statement.”After a thorough review of our Canadian performance and careful consideration of the implications of all options, we were unable to find a realistic scenario that would get Target Canada to profitability until at least 2021.”(Huffington Post)
How does this affect Canadians? For Canadians working in grocery businesses this is going to help them because they have now eliminated some competition for their business. Canadians who are benefiting from the discounts are happy even though the shelves are already empty. Some Canadians lined up hours on opening discount day but were disappointed with the lousy sales. The discounts keep racking up because, everything must go. Canadians laid off should be optimistic, as other businesses are willing to hire them and they received large packages for a short term period.
Although this has been a disappointing experience for Canadians there will be good at the end of this. Eventually reliable Canadian businesses will move in and people will be hired once again.