I clearly remember how big influence Target had brought to people when it announced that it would expand into the Canadian market. Shortly, many big retail stores like Zellers were replaced by Target. Initially, customers were excited about the entrance of the new American retail store. However, when people found out that Target’s price in Canada is different from its price in America, their passions went out.

I totally agree with what Junwei says “Target fails to compete against its rivals in Canada in price”. Cheaper price is Target’s point of differentiation in States. However, since it cannot maintain its low price in Canada, Target loses its competitive advantage making it the same as other retail stores in Canada.

What Junwei mentions in the blog that Walmart creates difficulties for Target to get supplies is also a reasonable cause. Both Walmart and Target are American retail stores. Walmart has expanded into the Canadian market much earlier than Target does. Walmart has a solid customer base and stable supply chains. Thus, the barriers created by Walmart for new entrants are really high.

Target’s future is worrying, if it cannot establish a stable supply chain and attract more customers soon.

Source: https://blogs.ubc.ca/junweisu/2013/11/17/target-misses-its-target/