Journal of Business Cases and Applications - Volume 17 - Decision case：Target Corp. making work fun, fast and friendly

Sep 14, 2026

Decision case focused on Target Corporation, grounded in a field study of a Target store in Houston, Texas. The case draws on interviews with Human Resources and store leadership, plus supplemental pay data from Target and other compensation sources. It explores how retail employee turnover affects the need to maintain high customer service while increasing participation in the “REDcard” program. Although lower cashier pay is identified as a perceived driver, turnover is shown to be near the national average, prompting a search for non-monetary retention rewards and incentive approaches.

LanguageEnglish

CategoryForms

FormatPDF

Pages7

Reading Time3 min

AccessFree to download

ABSTRACT

COMPANY INFORMATION

Target’s mission and customer service promise

Company scale and 2015 developments

EMPLOYEES AT TARGET

Fun, Fast and Friendly motto

Hiring and training approach

Continuous evaluation and feedback

Pay structure and total rewards

Journal of Business Cases and Applications Volume 17 Target Corp.: making work fun, fast and friendly 1 Alix Valenti University of Houston-Clear Lake ABSTRACT This is a decision case involving Target Corporation. It is based on a field study of a Target store in Houston, TX, including several interviews with its Human Resource Team Leader, its Store Team Leader, and two Executive Team Leaders. Additional data were obtained from Target’s website as well as two other websites providing pay information. High turnover among employees in the retail industry is well-known. In this case study, the problem was illustrated by Target’s need to maintain high levels of customer service and its desire to increase customer participation in its “REDcard” credit card program. The Human Resource Team Leader noted in the case study that Target paid its cashiers less than what they could earn at other nearby retail stores. However, the facts of the case indicated that turnover at Target was not greater than the national average. Thus, students are asked to consider other non-monetary rewards that would attract and retain workers at Target. Key words: compensation and benefits, total rewards, incentive pay, employee motivation, employee turnover Copyright statement: Authors retain the copyright to the manuscripts published in AABRI journals. Please see the AABRI Copyright Policy at [http://www.aabri.com/copyright.html](http://www.aabri.com/copyright.html) 1 An instructor’s manual is available upon request to the author only from authorized instructors. Target Corp., Page 1 Journal of Business Cases and Applications Volume 17 Martin White,2 Human Resources Team Leader for a Target store in Houston, sat at his desk on a Monday morning in February, 2015, and read the termination report from the previous week. Three cashiers had quit and only one newly hired cashier was scheduled to start that week.“Pay at Target is the main complaint that employees raise,” said White.“It is difficult to retain good employees when we pay only $9.00 an hour and employees know that they can go across the street and earn $10.00 an hour.” White was convinced that the lower than average pay at Target was the main reason why cashiers, especially the part-timers, quit. Yet, when he read a recent report on turnover of part-time employees in the retail industry, he realized that turnover at Target was about the same as the national average. He began to think that perhaps he needed to think outside the box to improve retention of his employees.“How can we make work fun, fast and friendly for all our employees,” White wondered. COMPANY INFORMATION Target Corp. was a U.S. based retailer headquartered in Minneapolis. In 2015, it employed over 360,000 people in the U.S. in over 1,900 stores. However, in that same year, Target announced that it would close the 133 stores it had opened in Canada just two years earlier, suffering a $5.4 billion loss. Previously, Target had grown steadily, especially in 2007, when total revenues increased sharply by opening 118 new stores, including 33 Super Target stores. Martin White’s store had approximately 200 employees. In addition to being one of the fastest growing companies in the United States, the company earned rave reviews for employee and customer satisfaction. In 2015, Target was ranked number 29 in Fortune’s list of “World’s Most Admired Companies.” Target also won numerous accolades for its diversity and inclusion policies; [for example DiversityBusiness.com](for example DiversityBusiness.com)[ ](for example DiversityBusiness.com)ranked Target number 18 on its 2014 list of the Top 50 Organizations for Multicultural Business Opportunities. Target highlighted the importance of customer service in its mission statement on its website. It read: "Our mission is to make Target your preferred shopping destination in all channels by delivering outstanding value, continuous innovation and exceptional guest exper

FAQs

What problem does the Target case primarily address?

It examines how employee turnover challenges Target’s ability to maintain high customer service and increase participation in the “REDcard” credit card program.

Why did the HR leader initially believe pay caused cashier turnover?

He believed employees quit because Target paid cashiers less than nearby retailers, making it difficult to retain good employees.

What alternative direction does the case suggest after comparing turnover rates?

Since Target’s turnover was about the national average, students are prompted to consider non-monetary rewards and other retention mechanisms beyond compensation.

Sep 14, 2026

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