n to make the consumers aware of the changes. It will let consumers know that the department stores and Mervyn’s will not appear to change, but they will be run more efficiently. The actual changes in the business will not change much, and those employees will not need much training. The upper level management will have to make the changes to make their companies operate more like Target. These changes will generate more costs at first. The funding will come from internal sources and marginally increasing debt. The goal for the new change is that within a few months the change will be in full swing. After a year the companies should be making not only more revenue but also more profit. Unfortunately, if the changes do not work as planned, Target Corporation will not be able to keep the businesses. The downside to that situation is that undoubtedly many jobs would be lost and it may take Target Corporation a few years to adapt to the changes. In the long run it would be better for the company. Obviously it would be far more beneficial for the company if it were to find a buyer for all or some of the companies rather than just closing them.Exhibit 1 Exhibit 2 (dollars in millions)199919981997 Revenues$26,080$23,014$20,298Pre-tax Segment Profit$2,022$1,578$1,287Stores 912851796Retail Square Feet*102,94594,55387,158* In thousands, reflects total square feet less office, warehouse and vacant space. Exhibit 3 (dollars in millions)199919981997 Revenues$4,099$4,150$4,219Pre-tax Segment Profit$205$240$280Stores267268269Retail Square Feet*21,63521,72921,810* In thousands, reflects total square feet less office, warehouse and vacant space. Exhibit 4 (dollars in millions)199919981997 Revenues$3,074$3,064$2,970Pre-tax Segment Profit$296$279$240Stores 646365Retail Square Feet*14,06013,89014,090* In thousands, reflects total square feet less office, warehouse and vacant space. Exhibit 5...
