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Since a giant retail store, Kmart, has been collapsed by Wal-mart, Wal-mart has been the largest retailer in the USA and also in the world. The key strategy of Wal-mart’s success is EDLP strategy, which stands for Every Day Low Price. According to marketing term dictionary of MarketingPower.com, EDLP is “1) (retailing definition) A policy or strategy of retail pricing whereby presumably low prices are set initially on items and maintained, as opposed to the occasional offering of items at special or reduced sales prices. 2) (sales promotion definition) A pricing approach in which the product is offered to retailers and consumers at a consistently low cost rather than reducing price periodically through sales promotion activities”. However, Target as second mover in the retailer market points out the weakness of EDLP; customer’s perception of the retailer which sells cheap products. In fact, many products are relatively cheap at Wal-mart; but, it’s also true that the quality of the product is not good. There are still a lot of people who are willing to shop at Wal-mart; however, many people are thinking that shopping at Wal-mart is a kind of cheap. According to my research about Target, Target stores intend t(중략)
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