Target Corp., a US retailer, plans to cut down thousands of jobs mainly in the US and India in an aim to eliminate $2 billion costs over two years. Target is having a tough battle after their sluggish performance and huge data breach.
CEO Brian Cornell has planned a revival outline in which the retailer will now shift its focus only into a number of product lines that it believes has greater edge on quality and price.
Cornell believes that Target needs to change the corporate culture from a single focus to the one that will actually meet the demand of customers. The retailer has been revamping its merchandise in an attempt to drive future sales growth by attracting both the millenials as well as Hispanics.
Target has stated that the job cut will be mainly from its corporate offices in the Minneapolis area and India where there are more than 26,000 people employed. It will not cut down jobs from the 1,800 stores that operate across the United States.
Target plans to make an investment of around $1 billion in technology and upgrade its supply chain as well. The retailer expects a steady profit margin at between 9.5 to 10 percent for the next five years.