Service Innovation in Retail Industry: What Can We Learn from Target?

Abstract

Retailers have been facing a new height of competition ever since the birth of e-commerce disrupted the conventional, brick-and-mortar business model. With the success of turning a disastrous security incident into a financial success, a case study is built to analyze Target’s innovative approach using Lawson and Samson’s model of organizational innovation capability, which then linked with the concept of customer and brand loyalty. An insight from consumers was also analyzed through the concept of consumer behavior that provides a deeper discussion over the overall service innovation initiatives.