Target company
There have some challenges which affect Target in Singapore
Demographics:
Singapore has small population and the aging problem become serious. Target's scope of consumers concentrated on young and middle-aged people while Target's consumers overall income level is slightly higher than Wal-mart's level of consumer groups. So relative to the U.S., the number of consumer groups is lower than the United States, Target is not conducive to open up new markets in Singapore.
Physical infrastructure: Physical infrastructure is an important parameter for setting up shops. Perfect infrastructure will provide a large development space for shops. Target group consists of “super target” and “city target”. The company pay more attention on “super target”. If company set up the “super target”, it needs large space—around 17400 square feet. Singapore has higher cost of land, setting up larger store constrained by resources. If the stores open in the more remote areas, inconvenient transportation facilities, resulting in fewer number of customer. If company open “city target”, it needs quite large area of loading and unloading. It will have some logistic problems when shop stock in the city center. There have larger flow of people, less space, crowded traffic in the center of Singapore city. It is not conducive to the storage and delivery of the shop goods.
Economics:
Singapore national has a significant level of income, the high income is higher, low income is lower, resulting in a large gap between rich and poor. According to the Gini coefficient shows that the gap between rich and poor in Singapore index has exceeded the warning level, which means that the unequal social distribution in Singapore, thus contributing to the national consumption level is limited. Since Target has a certain level of consumer spending requirements, it need a larger part of the middle-high level consumers, so in the aspects of market considerations, to enter the Singapore market, we still
Demographics:
Singapore has small population and the aging problem become serious. Target's scope of consumers concentrated on young and middle-aged people while Target's consumers overall income level is slightly higher than Wal-mart's level of consumer groups. So relative to the U.S., the number of consumer groups is lower than the United States, Target is not conducive to open up new markets in Singapore.
Physical infrastructure: Physical infrastructure is an important parameter for setting up shops. Perfect infrastructure will provide a large development space for shops. Target group consists of “super target” and “city target”. The company pay more attention on “super target”. If company set up the “super target”, it needs large space—around 17400 square feet. Singapore has higher cost of land, setting up larger store constrained by resources. If the stores open in the more remote areas, inconvenient transportation facilities, resulting in fewer number of customer. If company open “city target”, it needs quite large area of loading and unloading. It will have some logistic problems when shop stock in the city center. There have larger flow of people, less space, crowded traffic in the center of Singapore city. It is not conducive to the storage and delivery of the shop goods.
Economics:
Singapore national has a significant level of income, the high income is higher, low income is lower, resulting in a large gap between rich and poor. According to the Gini coefficient shows that the gap between rich and poor in Singapore index has exceeded the warning level, which means that the unequal social distribution in Singapore, thus contributing to the national consumption level is limited. Since Target has a certain level of consumer spending requirements, it need a larger part of the middle-high level consumers, so in the aspects of market considerations, to enter the Singapore market, we still