Good article on Target’s experience in Canada.
From stores to mannequins: Target’s post-Canada wish list
It’s going to cost a big chunk of change, but less than two years after opening its first store in Canada, Target has decided to close the profit-sucking operation there.
While the news will initially be a blow to the big-box retailer—which through third quarter 2014 had lost $2.1 billion on the venture—it should deliver a long-term benefit to the company’s U.S. business, said Belus Capital Advisors analyst Brian Sozzi.
Sozzi said he expects Target to use its savings to repurchase shares (something it hasn’t done since 2011), lay the groundwork to open more of its urban stores and create a store of the future for its full-size locations.
