Target is a huge box store with discounted and an immense selection of different products, ranging from every day household products to high-end technology. The goal of box stores is so consumers only need to do an “one-stop shop”. A fact that is very appealing to consumers due to its convenience.

Not too long ago, fellow student, Derek Kwan, added a blog entry regarding the big United States box store coming to Canada. He referred to Target as a “retail goliath”. I agree that the entry of Target will add heat to many of the existing Canadian box stores and increase rivalry.

The business’ first step was to acquire its rival’s location. Recently, Target bought out most of Zellers location. Target’s action has created a self-evaluating effect many Canadian stores such as Wal-Mart, Zellers, Sears, Canadian Tire and Old Navy are now facing. Each business is currently re-evaluating its business and future plans in order to “accommodate” to its next big competitor.

As Target now competes with other existing Canadian stores, consumers have a wider range of retail choices. Buyer power will thus increase, as a business’ success is now solely dependent on the sales each company makes. Will the American store beat the Canadian ones?