Can Target’s Stock Rebound?
T = Trends for a Stock’s Movement
Target operates general stores in the United States as well as online, where it sells merchandise at discounted prices. It operates in three segments: U.S. Retail, U.S. Credit Card, and Canadian. Target’s online presence is designed to enable consumers to purchase products either online or by locating items in one of its stores with the aid of online research and location tools. Groceries, clothing, household items, and general merchandise can be found at Target, making it an efficient shopping experience for consumers throughout the nation.
Target interim Chief Executive Officer John Mulligan, who took the helm just over a month ago, is claiming some victories in his fight against bureaucracy. Mulligan has moved the company’s entire leadership team to the 26th floor of its headquarters in Minneapolis, allowing for faster decisions and more clarity, he said in a memo to employees. Target also is scaling back on its four governance meetings, which have focused on the supply chain, marketing, design and capital expenditures. Mulligan even changed the name of the executive committee to the “leadership team.”
“As we continue to focus on accelerating our transformation, everything matters — including what we call ourselves,” he said. “All across Target, we need more ‘leadership’ and less ‘committee.’” Mulligan, an 18-year veteran of Target, became temporary CEO last month after Gregg Steinhafel was ousted — a move that followed a massive hacker attack and a botched expansion into Canada. Even before the data breach, which exposed the personal information of millions of customers, Target had lost its way by becoming too cautious and bureaucratic, Mulligan said in an interview last month. At a test store in Minneapolis, Target is reworking the baby, electronics, toys and clothing sections because presentations had become stale, he said in the interview. The changes include opening up floor plans, improving lighting and introducing mannequins, which were used for the first time two years ago with the debut of its smaller CityTarget locations. Target also announced the hiring of a top data-security executive today. Brad Maiorino, who joins from General Motors Co. (NYSE:GM), will serve as chief information security officer starting June 16.