This report provides a comprehensive strategic analysis of Kmart, an Australian retail chain, examining its current challenges and proposing solutions centered around innovation and new technologies. The analysis utilizes established frameworks such as Porter's Five Forces, Porter's Value Chain, PESTEL analysis, and SWOT analysis to assess Kmart's competitive landscape, internal capabilities, and external environment. The report identifies key issues, including the company's failure to meet evolving customer demands and the need for increased sales growth, and offers strategic recommendations for Kmart to leverage disruptive technologies and innovation to regain a competitive advantage and enhance customer satisfaction. The recommendations include focusing on economies of scale, differentiating products, strengthening supplier relationships, and embracing disruptive technologies to improve operations, marketing, and customer service.