Target Teetering On The Brink Of Financial Collapse
The boycott against Target over its bathroom policy is costing the retailer more than anybody expected, as a record share price plunge and weak sales drive the big-box retailer to the brink of financial collapse. In April last year after Target announced that it would welcome transgender customers to use any bathroom or fitting room that matched their gender identity. Since then a determined grassroots boycott campaign has dug its heels in, and the company is having trouble hiding the financial damage. Target’s already disappointing stock price plunged a further 13 percent in early trading on Tuesday, putting the embattled retailer on pace for its worst day in almost twenty years and dragging the company dangerously close to the financial abyss. Target also reported sales and earnings that missed Wall Street’s expectations, in what was a devastating holiday quarter for the big-box retailer. Target’s dismal outlook for fiscal 2017 has industry experts warning if results don’t turn around – and soon – the company will go to the wall. “Our fourth-quarter results reflect the impact of rapidly changing consumer behavior, which drove very strong digital growth but unexpected softness in our stores,” Target CEO Brian Cornell said in a statement, basically admitting the boycott has had [...]
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