Kmart still sells things that are equal to what competitors like Walmart, Big Lots, and Family Dollar sell. Who is going to buy a Sears sweater for $20 when you can get name brand designers at outlet malls or other department stores for $20? At least with Kmart their toys, candy, snacks, decor, and clothing is the same you'd find at other discounters. Sears is trying to sell discount clothing at department store prices. Then on top of that, Sears just can't compete/doesn't offer anything better than Home Depot and Lowe's on the other front. At least with Kmart, they're selling the same things as other discounters at similar prices and sometimes even better with their points program.
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The Guam Kmart is like it's from a different planet, lol. https://dangerboyandpixie.wordpress.com/2011/07/11/worlds-largest-kmart/
The rest of the remaining Kmarts don't have as much potential all together as that one has.
Kmart is a direct competitor with Target and Walmart. There is no comparIson of the value proposition for the customer.
Klaatu Barada Nikto
Welcome intergalactic being! Please tell us more about this store from your world, which amazingly has the same name as one in ours, but appears from your description to be light years ahead of our own. What are the odds of 2 separate civilizations each naming a department store Kmart!