TARGET CORPORATION __________ __________ Adrienne Dutton Kari Moore

1. TARGET CORPORATION __________ __________ Adrienne Dutton Kari Moore

2. AGENDA • History • Strategy • Company Growth • Store Layout • Employment • Internship Experience

3. HISTORY & INFO • Target is an upscale discounter that provides quality merchandise at attractive prices in clean, spacious and guest-friendly stores. • Target's first store opened in Roseville, Minnesota, in 1962 • First Super Target opened in Omaha, Nebraska, in 1995 • Guest: Median age of 46; median household income of approximately $55K; approximately 38% have children at home; about 43% have completed college. • The average Target guest visits about 12 times a year

4. STRATEGY • “At the heart of our strategy is our commitment to delight our guests by consistently delivering the right combination of innovation, design and value in our merchandising, in our marketing, and in our stores. This is the essence of our “Expect More. Pay Less.” brand promise.” ~ Bob Ulrich, CEO of Target • Sustaining a competitive advantage requires a dedication to great design, innovation and continuous improvement.

5. Store Timeline 977 (2000) 1,053 (2001) 1,147 (2002) 1,225 (2003) 1,308 (2004) Now Operate close to 1,400 Stores in 47 states 158 Super Targets in 21 States 23 Distribution centers 3 Import Warehouses Goals 2010 stores by 2010 3015 stores by 2015 STORES & GOALS

6. The hot spots for 2006 50 Target Stores 5 Super Targets NEW STORE OPENINGS

7. STORE LAYOUT • 1940-1959 Designed as a shop within a shop, the Field’s 28 Shop opens in 1941 to recreate the Paris boutique experience. Two years later, Dayton’s opens the Oval Room, offering European quality, style and exclusivity to Midwestern shoppers. • This underlies Target’s efforts to develop affordable, stylish products that are: • Simple • Functional • Timeless

8. Experience: Boutique • The one-of-a-kind experience comes from our department store roots and ongoing commitment to great prices and stylish innovations; the one-of-a-kind feeling is why millions of guests visit every year. • More than creating an easy-to-shop environment, the focus on design means that the way a product or a display makes a guest feel is as important as any other criteria.

9. London Double-Decker Bus Reassigned as Mobile Boutique • Its newest collection hits the streets of New York as a traveling boutique in a trademark red, London double-decker bus. • GO International is the newest initiative for Target, designed to delight its guests with affordable fashion created by designers from around the world. • Will feature the launch collection of GO International by British Designer Luella Bartley.

10. “Embracing Design, Innovation, and Continuous Improvement” • Design stores to be easy and intuitive to shop • Concentrate on the aesthetics • Work hard to make sure your experience is consistently enjoyable • Strive to exceed guests’ expectations, try to provide the perfect blend of style, substance and oh-so satisfying shopping. • A company-wide focus on creativity and innovation that leads to extraordinary products, processes and experiences.

11. P2004: Target’s New Prototype • Our newest iteration, P2004 enhances our guests’ shopping experience and highlights our store’s design evolution and innovation • 50 percent more space for food selection • Consolidates departments (boutique) • Wider shopping aisles • Brighter Lighting Target invests about $400 to $500 million annually on store remodels, and every few years we re-invent our store to incorporate major new design elements and merchandise adjacencies.

12. Current Statistics 200420032002Number of Stores 1,308 1,225 1,147Number of Employees 292,000 273,000 245,000 PROJECTIONS 223 X 2010 = 448,223 223 X 3015 = 671,230 *also depends on store type and store size EMPLOYMENT

13. Internship Experience • General Information • $12 a hour • 10 weeks; approx. a week in each area • Assets Protection, Guest Service, Sales Floor, Replenishment, Logistics, Human Resources and Pharmacy, while receiving hands-on training in your area • Take on a special project in specific area of the store • Gain a significant understanding of Target stores • Work closely with members of the store’s leadership team and with store team

14. Positives: 40 hours a week @ $12/hour - you cannot go wrong that! And 10% off at Target! They are flexible in the location of your choice Great experience for learning management skills and styles Continuous Feedback/Improvement Upon completing the internship, you will know if Target is a good fit and if you want to be a retail manager Internship Group Fun Days – Away from the store and paid! You get to develop relationships and network with other management, interns, team members Great experience and highly renown company to put on your resume $42,000 salary after graduating Competitive benefits/ 401K Negatives: One word: retail... Red and Khaki everyday and everywhere Intern Experience/Schedule varied by store Working every other weekend and at least one night a week. Somehow they tried to turn this into a “positive” thing Getting up at 2:45 am for Logistics Stocking shelves even as an ETL. Is that really a life goal? (it comes with the job) ETLs were not always prepared during their week of training Projects did not have as much impact as was emphasized STL conducted evaluations even if s/he was not at the store very often Our Feedback - Pros? Cons?

15. ANY QUESTIONS???References • http://sites.target.com/site/en/corporate/page.jsp?contentId=PRD03-001085 • http://www.target.com/gp/browse.html/601-6515509-3068967?&node=16317011 • http://sites.target.com/images/corporate/about/pdfs/2004_annual_report.pdf • http://www.signonsandiego.com/news/business/20040518-9999-1b18target.html