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July 31, 2021

U.S. retailers land on Canadian soil

First we saw big box stores popping up everywhere in Canada.

Now we are seeing an invasion of U.S. and international retailers setting up shop on Canadian soil.

Forget Wal-Mart -- the Target empire is quickly spreading across Canada.

Our "Truly Canadian" Zellers stores have been taken over by the Americans and are transforming into the Target brand.

Since March, 48 locations have opened across the country with 20 more set to open this month. By the end of the year, Target is aiming to launch 124 Canadian retail stores.

Zara Home, the Spanish-based Inditex Group, is also setting its sights on Canada. The first location is slated to open next month at Toronto's Yorkdale Shopping Centre bringing its home furnishing brand to the Canadian market.

And now Hudson's Bay Company is banking on bringing luxury retailer Saks to Canada.

Believe it or not, Canadians love the luxe life.

According to a new report from American Express, Canadians are spending more on luxury items than their American and European counterparts.

What is even more interesting, though, is that it is young Canadians -- specifically Gen Y'ers -- who are dominating the luxury spending growth in the core areas of fashion, travel and fine dining.

I don't know about you, but I do love luxury items...that is, only when I can get them at a discount. It's like an adrenaline rush.

Each year, Canadians make the pilgrimage for cross-border shopping. But what is it that draws these shoppers to the U.S. market? Is it the American brand retailers themselves or is it how much bang you can get for your buck south of the 49th Parallel?

By Donna Donaldson, MSN Money

Does it matter to you if a retailer is Canadian or American-based? 




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Gordon PowersGordon Powers

A long-time fund company executive, Gordon Powers now heads up the Affinity Group, a financial services consulting firm. Gordon was a personal finance columnist for the Globe & Mail for many years, has taught retirement planning...