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  3. Dollar Tree SWOT Analysis

Dollar Tree SWOT Analysis

Published by MBA Skool Team in Lifestyle and Retail category Last Updated: December 08, 2023Read time:

Here is a detailed SWOT analysis of Dollar Tree covering strengths, weaknesses, opportunities and threats.

Dollar Tree Strengths

  1. Operates 4,400 stores throughout the U.S and in Canada
  2. A Fortune 500 company
  3. More than 55,000 employees
  4. Dollar Tree stocks a variety of products including national, regional, and private-label brands
  5. The company also operates a multi price-point variety chain under the name Deal$
  6. Operates in Party Supplies, Food and Snacks, Health and Beauty Care Products, Seasonal, Housewares, Toys
  7. The company began accepting manufacturer's coupons at all of its store locations in order to provide increased savings and value to its customers

Above are the strengths in the SWOT Analysis of Dollar Tree. The strengths of Dollar Tree looks at the key internal factors of its business which gives it competitive advantage in the market and strengthens its position.

Dollar Tree Weaknesses

  1. Turnover is very low and Margins are very less
  2. Despite strong presence in Americas, it lacks global penetration
  3. Case of recalled products affected image

These were the weaknesses in the Dollar Tree SWOT Analysis. The weaknesses of a brand are certain aspects of its business which it can improve.

Dollar Tree Opportunities

  1. Tapping the international market specially emerging economies
  2. Acquisition of smaller retail chains
  3. More visibility through advertising and customer focused services

Above we covered the opportunities in Dollar Tree SWOT Analysis. The opportunities for any brand can include prospects of future growth.

Dollar Tree Threats

  1. Increased threat of private labels
  2. Slow year on year growth
  3. High crude oil prices impacting raw material

The threats in the SWOT Analysis of Dollar Tree are as mentioned above. The threats for any business can be external factors which can negatively impact its business.

Hence this concludes the Dollar Tree SWOT analysis.

About Dollar Tree

The table below gives the brand overview along with its target market, segmentation, positioning & USP

Dollar Tree Overview
Parent Company

Dollar Tree, Inc.


Discount Stores


Lifestyle and Retail

Tagline/ Slogan

Everything’s $1


Sells every item for $1.00 or less

Dollar Tree STP

People seeking afforadable items

Target Market

Middle class households


An American chain of discount variety stores offering discounted prices

This article has been researched & authored by the Content & Research Team which comprises of MBA students, management professionals, and industry experts. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

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