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It is not a secret this goal ((TGT)) He has been suffering from the transformation of consumer trends over the past few years, which has gradually had a significant impact on its sales.
The retail giant has been constantly involved in the controversy. First, in 2023, boycott calls from consumers conservatives faced the PRIDE group, which received a violent reaction to contain the elements that are marketed towards children.
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Target also faced auditing last year due to the presence of diversity, fairness and inclusive policies in place, and when he finally removed it in January this year, consumers threatened to boycott.
Related: The targeted voices alert to the unexpected customer behavior
Amid the controversy, the target has been revealed in the latest report of his profits that it is expected that its net sales this year will increase by 1 %, which reflects comparable sales growth.
During a profit call in March, the target financial manager Jim Li said that the company’s 2025 sales predictions reflect a “wide range of potential scenarios and uncertainty” in the market, including the threat of customs tariffs.
He told me during the call: “We will focus on controlling what we can control.” “What we do not know is the request of potential consumers in all fields, through – based on how the customs tariff is crowned through the economy, for example. But we have this wide range for some reason.”
The definitions are the taxes that companies pay to import goods from abroad, and the additional cost is often transferred to consumers through high prices.
On March 4, President Donald Trump imposed 20 % on all goods imported from China and 25 % on all goods imported from Mexico and Canada.
The goal makes the controversial step, as definitions threaten high prices
Amid the threat of definitions that raise prices, which harms sales of further concealment from consumer consumers, it is said that the goal is required by some Chinese suppliers to reduce prices on goods, according to Modern report From quartz.
MDoculus & Sol; Getty Images
This change would transform the burden of definitions into these suppliers.
A Chinese supplier told quartz that the goal asked them whether they could “pick up half of the definitions.” When the supplier tried to negotiate with target, it was claimed that the retail giant stopped working with them.
The last transition from the goal is followed in Costco and Walmart’s ((WMT)) The steps of both retailers recently requested their Chinese suppliers to reduce prices.
Related: Walmart does an unexpected action to reduce the threat of definitions
Wall Mart faced the audit from China to submit such a bold request. Last month, CCTV published China TV on its official social media account, Yuyuantantian, saying that Walmart’s request was “unreasonable”.
“Wall Mart’s request for Chinese suppliers bears the burden of complete tariff and disrupts fair competition and international trade order,” says The Post.
Chinese manufacturers have also moved to social media to demand that Chinese companies “have no room to reduce prices in response to American definitions.”
The target CEO reveals the explicit truth about the Trump tariff
Target negotiations behind the scenes with suppliers come after the target CEO Brian Cornell warned consumers last month that Trump’s tariff is likely to increase prices in stores.
During the annual investor meeting in Target, the chief trading officials in the target Rick Gomez confirmed that the company is going with caution when it comes to amending its prices due to the customs tariff.
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“We have to think about this from the consumer perspective and make sure that our pricing structure is logical and puts us in a place that we are competitors and we have reasonable options,” Gomez said.
Many consumers around the country were getting more anxious about the effect of Trump’s tariff on prices, and these concerns may negatively affect consumer spending.
According to the last market pulse reconnaissance From Inmome, 56 % of the respondents expect the poll to increase the prices of goods and services due to the Trump tariff.
In response to these expected price increases, 60 % of the respondents said they are considering changing their shopping behavior, with an expectation that it will shop more.
Related: The Veteran Fund Director reveals the prediction of the S&P 500
