'It will be a smaller business': Target store closures flagged in tough environment

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Target will become a 'smaller business' over time, shutting stores and pivoting to online, after another lacklustre performance

He also highlighted opportunities to improve profitability, including a push into higher-quality apparel and homewares products, with Mr Scott admitting Kmart and Target's offerings have not been different enough in the past.

"I think over time, we'll see e-commerce sales represent a very significant proportion of Target's total sales," he said. Jim Power, an analyst at large Wesfarmers shareholder Martin Currie, was confident the company would make the right changes to its department stores. As well at the Catch Group transaction, the past year has seen Wesfarmers make bids for resources companies Kidman and Lynas, and market watchers were keen to hear where Wesfarmers would look next to spend its healthy balance sheet."Something related to the core business, where they have insight and they bring something to the company they buy is perfect from our point of view," he said.

 

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