Threats -Plastic ban: Potential plastic ban significantly hinders its operations as it is a valued retailer which offers products at a significant bargain to price-sensitive consumers, with most of its inventory made from plastic. -Fluctuations in Forex: It is exposed to forex rates as it imports major product offerings from China. Volatile forex rates can impact a company’s financial health. -Labor Shortage: Canada is facing a widespread labour shortage which can lead to increased workloads among employees ultimately affecting store operations such as difficulty in restocking shelves and longer checkout times. Core Strategic issue: The company’s core strategic issue could be “Enhancing Digital Presence.”
During the year of 2004, Dollar Tree opened a store in North Dakota and the company at the time had a store in each state in the United States mainland (History of Dollar Tree,
Nowadays this company has presence in five provinces in Canada with 226 stores in Canada and 13.500 in U.S It has a big potential since it’s new in Canada but with a lot of experience in the neighbour country. The Vice president plans to create up to 1000 stores with the expansion to Montreal and Quebec City. Miniso, a Chinese retailer of value-based goods similar to Dollarama, is another recent entrant to the Canadian market that is looking to expand further into Dollarama’s home turf. It has up to 500 new locations targeted for the Canadian market at a rate of 35-50 over the
This paper will be an MSA 603 postgraduate student’s attempt to provide a strategic plan for the retail company, Dollar Tree, Inc. The information will include its history, development, growth over time. This writer will also identify and explain the nature of its external as well as its internal strengths, weaknesses, opportunities and threats (SWOT) plus the company’s business and corporate level strategies. Finally, recommendations will be provided for the company moving forward into the third decade of the 21st century (2020-2030).
1. In the broader context (not specific to Dollar General), what is KKR’s investment strategy? What are the challenges KKR will encounter to make its investment in Dollar General successful? How could KKR add value to Dollar General?
I visited Costco and Target, and the fie criteria I chose to asses the stores were cleanliness, store decor, location of returns desk, selection of goods, and size of goods sold. At Costco the floors were clean and shiny, yet they displayed only shined concrete. At target, the floors had a white tile on the main walkways and carpet where people normally stop to look at clothes. In regards to store décor, target had lots of decorations and pictures on the wall to create an inviting environment. On the other hand, Costco had industrial, warehouse like shelving with products on the bottom.
The industry is marked by low cost, differentiated or focus, whole market. Dollar Tree and other smaller market players such as Dollar General are low end without focus, because they rely heavily on no frills items, with a marginal price that have limited research and development and other quality standards a differentiated product may have. Larger discount retailers such as Costco or Sam’s club too offer discounted items but the differentiation is in quality along with the membership one must have to even enter the stores. Sam’s club membership gives it a niche focus for differentiating its products and members have become accustom to the large warehouse feel from the store itself, but the idea of buying bulk (cheaper per item) and not needing to be a business. The consumer can get wholesale pricing and superior items through this type of service and that is something Dollar Tree and Wal-Mart for that matter will are not trying to achieve.
As of 2023, Costco has 850 total warehouses with 158 of them being outside of the United States and Canada (Costco, 2023). Costco is able to scale partially because of their hiring and product selection, but also because they slowly build up their store counts in the same countries over the years by capitalizing and adjusting to each countries cultures and catering to it. For instance, Costco entered Japan in the 1990’s and they currently have 31 stores their which is the most outside of North America (Costco, 2023). This is due to their growth strategy (Parnell, 2014).
There are many risks involved with the price beat store in taralgon these include the fact that managers meetings and training sessions go on quite late and a lot of the managers live in melbourne so they normally are not getting home until quite late which could in turn affect overall performance. Due to the fact that the central warehouse is quite far away from the store it makes same day deliveries impractical thereby affecting stock maintaining and inventory. A good way to look at solving this risk would be maybe to look at delivery times and find a way around it that would be more practical and better suit all parties involved.
Dollar Tree Stores is a domestic retailer that sells a variety of low cost items for $1.00 and is designed to capture the business of consumers who desire instant savings. Furthermore, Dollar Tree competes in the dollar store and low-end retail markets with the national chains Big Lots and Dollar General together with regional chains such as 99 Cents Only Stores, which was purchased by Dollar Tree, Fred's and many independent dollar stores nationwide, such as Dollar General and Family Dollar. Also, the company uses a low cost strategy in order to attract consumers and built customer loyalty. Nevertheless, the organization operates over 13,000 stores nationwide and offers extremely low prices for all of its products. Also, each
Dollar General and Walmart are Dollar Tree’s major competitors. In order
Dollar General – Varied Variety Chain of Supermarkets in US Dollar General is amongst the largest discount retailers in the United States by number of stores. It has over 12,575 stores located in 43 states. They offer a broad selection of merchandise, including consumables, seasonal, home products and apparel. With all its hard work, it is emerging as a key force that is changing the landscape of variety retailing within the country. The headquarters of the company is at Goodlettsville, Tennessee, United States.
As long as consumers still want this convenience, Amazon will be able to grow due to this opportunity. However, a threat they must be aware of is competition from other large retail firms. For example, Amazon’s biggest competitor is Walmart. While Walmart is having to compete against Amazon’s online retailing, Amazon must compete against Walmart’s brick and mortar retailing. For now, Amazon is leading the way in market cap at
Most of the Dollar Tree stores are located in high traffic areas in strip malls,
Office Depot Merger with OfficeMax Wins U.S. Approval Ochuko Asibelua Micro Economics American InterContinental University August 19, 2015 Abstract This paper will discuss office depot merger with office max wins US approval. This paper also show how this two companies relate or similar and also explaining or showing what they are really based on. Introduction This paper will discuss the recent merger of office depot and office max.
