Mervyn's Mervyn's, the well-known retailer of the late 90's, found commonly in malls, went bankrupt in the year 2008. This business was originally founded on July 29th, 1949. The original owner was Mervin G. Morris, who started his company with only $25,000 and two employees. It is obvious where the title of the stores was derived from- his name. The only difference is that Mervyn's is spelt with a 'y' instead of an 'I', and that's merely because he was told it would be better for marketing. In 1978, the business was acquired by the Dayton Hudson Corporation, which is now the Target Corporation. This business deal was made in hopes to bring more attention to the store with better marketing techniques, promotions, etc. Although they were owned by Target, they kept their own Mervyn's identity to continue to their regular business, only now, with a larger known corporation's support and funds. …show more content…
They wanted to focus more on the Target stores, so they sought to get this portion of the company off their hands. Although, they had the best interest for Mervyn's in mind, business wise. The deal was that the Mervyn's chain was to be bought as a retail chain, not merely for the properties. The Target Corporation didn't want to put 30,000 people out of jobs, so they stuck to their plan. The Mervyn's chains were soon sold to private investors; some including Sun Capital Partners, Cerberus Capital Management, and Lubert-Adler Management Inc... This was the first decision to contribute to the downfall of the business. The first action taken under new management was to shut down multiple stores, starting in Minnesota. Their hopes were to focus more on the Southern and Western branches. Once again, here is another decision made that contributed to the downfall of Mervyn's. Store after store after store began to close, eventually limiting 62 Mervyn's across the