Target Corporation Research Paper Example | Topics and Well Written Essays - 2000 words

Target Corporation - Research Paper Example Upon this foundation, Target is expanding its business operations internationally. It hopes to start retail chains in Canada by 2013. By moving across borders, Target will follow and provide competition for Wal-Mart. Consequently, it will continue to grow and fund additional projects such as expansion through acquisitions. The success of Target is largely attributable to the culture of the organization, which stresses honesty and community (Rowley 145). In this examination of Target Corporation, we hope to accomplish a comprehensive look at the company’s history, financials, capital, reputation, marketing, and future. This all-inclusive view of the company can thus be evaluated in terms of how Target would like to perceive and how the public actually sees Target Corporation as an asset (or a liability) in their communities. Human Capital Target Corporation employs roughly 355,000 employees throughout the United States, who take part in a variety of operational functions such as managing stores, marketing, and customer service (SEC). Employees at Target are generally happy; however, there is some criticism of compensation and benefit packages offered by the company. For instance, it is alleged by labor groups and current employees that Target, based out of Minneapolis, pays less in some cases than their competitor Wal-Mart. does According to a recent survey by UFCW, Target pays entry-level positions a salary of about $6.25 per hour to $8 per hour, depending on qualifications (Serres). This is below- or at-the-market in terms of large retail chains. Therefore, even though Wal-Mart is often the subject of criticisms and community rejection, it seems that Target has a similar pay scheme for low-level employees to their competitor. In terms of benefits, union groups see Target as less equitable than its competitors do. In the early 2000s, Target dropped all health care insurance coverage for part-time workers, while Wal-Mart has maintained its medical plan available to all workers (Serres). However, many employees still agree that it is a better place to work than some other large retail chains, despite the weaknesses in the health care insurance pr ogram. Target’s benefits packages rate high in terms of flexibility for higher-level employees. The 401(k) plans offered by Target considered some of the best in the industry insofar as it matches dollar for dollar up to five percent of contributions made by employees. In addition, Target offers many other programs including the â€Å"Take Charge of Education† program that allows Target credit-card holders to donate 1 percent a year of their purchases to a school of their choice. This is in line with Target’s explicit commitment to the value of family (Rowley 146). Union Involvement Target Corporation is like Wal-Mart in the fact that they are not unionized. In fact, Target sees unionization as a potential threat to their corporate success (Rowley 141). For that reason, the company has published anti-video literature and videos in order to warn their employees about the dangers of a union. Deborah Weinswig, an analyst with Salomon Smith Barney, said that,  "Target is not a union, so it can charge lower prices than other food retailers. In the Northeast, SuperTargets have done extremely well† (Rowley 174). This lends credence to the view that Target would be negatively affected by a unionization of its employees. These efforts were increased in 2009 in response to