Wal-Mart, Target and Kmart Essay Example | Topics and Well Written Essays - 500 words

Wal-Mart, Target and Kmart - Essay ExampleKmart has a long history recently it is toilsome to emerge from bankruptcy reorganization. Kmart is slowly losing its nodes to Wal-Mart.Before being bankrupted Kmart was the second best retailer after Wal-Mart. Both companies used different strategies to outsmart each other. They attempt different strategies to woo the customers. After coming out from bankruptcy Kmart found that it has lost most of the customers to Wal-Mart and other retailers like Target. Its total net profit in like manner declined considerably. Target took this opportunity to its full advantage and started aggressive campaigning. Though the think tank of Target knew that most of Kmarts customers would go to Wal-Mart rather than coming to Targets stores, they started slashing the prices of the products and announce heavy discounts on them. They used innovative ideas to woo the customers.To maintain its top position Wal-Mart used to slash the rates so that when customer s come to purchase the items would bargain for other products also. These items were termed as loss leaders. Most of the middle class families are Wal-Marts customers. Target aimed at upper middle class. Because of this stiff competition between Wal-Mart, Kmart, Target, Costco, etc., customer has wide range of choices to choose. Customer can buy products at discount rates.