I don’t think targeting ethnic communities is a smart move. The whole point of people embracing these identities is that they have their own stuff and they reject outside stuff.
I disagree with this. Embracing my Indian identity doesn't mean I am not a proud Australian and that's the same with most people I know.
Woolworths Thornleigh recently had a Happy Diwali announcement with a deal on Ghee(clarified butter) so I bought the Ghee for Diwali from Woolies for the first time instead of the Indian store.
Bunnings at Sevo was handing out free Indian sweets and ice cream for Diwali. It didn't hurt anyone and everyone got a few sweets.
Everytime I go watch an Indian flick at Hoyts or Events, Commbank has an ad targetting the Indian community. The ad is in English as Indians speak nearly 20 languages but it is directly targeting Indians.
All these big businesses are targeting the Indian community simply so they will spend their money at these institutions. There's absolutely nothing wrong with target marketing to local customers.
P.S. - This happens on a much larger scale with the Chinese with the Lunar Festival being a big event in Sydney now.