Dollar Tree Mergers

According to Miles and Snow, there are four strategic types: prospectors, defenders, analyzers and reactors. Prospectors are defined as those introducing new products and services to the industry, which provides them the advantage of setting the rules within a loose structure and flexibility. Defenders are those entering into a stable industry and controlled environment by focusing on one segment of the market. According to John Parnell (2014), defenders are categorized opposite of prospectors as they avoid early market entry and typically wait until the market is more predictable (Parnell, 2014). Analyzers are flexible as they take characteristics from prospector and defender strategy types. They are able to implement control over existing

Dollar Tree was not the first to enter their market, however they were able to benefit from those who successfully entered the market on a local and state level and turned their small success into a global empire. According to Brad Thomas (2012), the top three dollar store chains, Dollar Tree, Family Dollar and Dollar General are providing large chain stores, Wal-Mart and Target with great competition. While larger grocery stores like Wal-Mart and Target are seen as weekly one-stop shops, dollar or discount stores provide more convenience throughout the week. Dollar Tree has gained financially by following larger stores real estate plans, Brad Thomas details that Dollar Tree strategically place stores near major discounter locations like Wal-Mart and Target. Virtually, Dollar Tree, Family Dollar and Dollar General all sell similar items, Dollar Tree does so within larger selling spaces (Thomas, 2012). Similar to analyzers who follow a prospector’s lead while modifying the product or service to market more effectively, Dollar General has utilized strategic plans from local and large competitors to create and implement a more successful