Restructuring, Poor Sales Hurt Best Buy Profits - Page 3 - AVS Forum
Forum Jump: 
Reply
 
Thread Tools
post #61 of 87 Old 03-26-2011, 05:46 PM
Member
 
eatapeach's Avatar
 
Join Date: Oct 2005
Posts: 113
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Liked: 10
Quote:
Originally Posted by Ralph1950 View Post

Someone should send this thread to BB executives.

trust me...they already know about it. They know about all forums, threads, post about them.

Do they truly care?
eatapeach is offline  
Sponsored Links
Advertisement
 
post #62 of 87 Old 03-26-2011, 05:53 PM
AVS Club Gold
 
jdskycaster's Avatar
 
Join Date: Mar 2006
Posts: 669
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 13 Post(s)
Liked: 22
They should and I have a feeling they probably do. Most major manufacturers get that they cannot ignore commentary positive or negative.
jdskycaster is offline  
post #63 of 87 Old 03-26-2011, 06:30 PM
Advanced Member
 
irfan's Avatar
 
Join Date: Jul 2005
Location: Columbus, OH
Posts: 604
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 7 Post(s)
Liked: 16
enjoy the no sales tax of online shopping while you can, the IRS will be more aggressive on claiming "use-tax" from now on.

You guys do know that legally you have to claim a use-tax on online, out of state purchases right? youre hurting your state when you dont, but no one really pays it. they will be getting more strict on it though.
irfan is offline  
post #64 of 87 Old 03-26-2011, 06:41 PM
Advanced Member
 
irfan's Avatar
 
Join Date: Jul 2005
Location: Columbus, OH
Posts: 604
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 7 Post(s)
Liked: 16
Quote:
Originally Posted by 2+2=5 View Post

My point exactly. There is a cynicism in society that 'people' are out to make a quick buck and take advantage of people. The word professional on almost every level has less meaning.

When concerning electronics; research is usually taken from forums from random names (diyaudio1978), all reviewers are of course 'bought'. The worst B&M dealer might sell you what he/she has but the worst random forum information is simply a recommendation of what that person already owns. Usually suggested to work out an internal conflict he/she made the right purchase in the first place based on information they've acquired from other people.

I digress. It all comes back to price. Nobody wants to pay for service, instead complain about it when it's no longer an option. I'm as guilty as the next guy.

Very well said. As a small business owner/healthcare professional I know first hand how it can be difficult to deal with patients who think they know it all, and think im out to screw them. Most are pleasant and a joy to work with, but 10-15% are some bad apples.

My girlfriend works in retail and the stories she tells about their customers are absolutely insane. the best was the lady who bought a $100 christmas tree on clearance in january for about $5... didnt pick it up until november, then wanted a price adjustment... of course the lady declined the adjustment after she found out the price was back up to full in november.

Too many consumers feel entitled, like they have god given rights to a return policy of their choice, and until the last year or so I felt the same way... now i can see things from the business owners standpoint, and its a completely different view.
irfan is offline  
post #65 of 87 Old 03-26-2011, 09:02 PM
Member
 
Flatnate's Avatar
 
Join Date: Oct 2006
Location: Minnesota
Posts: 75
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 1 Post(s)
Liked: 11
Some quick but interesting observations on Best Buy.

One I have definitely noticed a decline in media sales. Fewer DVDs and even less Blu-ray selection as of late. I know they had hoped to get in to the streaming movie business by partnering with CinemaNow.

Second, they just inked a deal to partner with LightSquared to provide 4G satellite augmented internet to pretty much everyone in America. But as a professional pilot I'm keenly aware how Lightsquared may interfere with GPS integrity and the FAA and the DOD will pull the rug out from under their feet and fast if they don't get those issues resolved prior to implementation.

It seems like they need to focus on their core business model because losing t.v. sales to Wal-Mart while over extending themselves in to other areas is ultimately what will do them in.
Flatnate is offline  
post #66 of 87 Old 03-26-2011, 11:14 PM
Advanced Member
 
Terminator840's Avatar
 
Join Date: Sep 2004
Location: Frankfort, KY
Posts: 852
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 1 Post(s)
Liked: 13
Quote:
Originally Posted by klbird View Post

The last time I was in a Best Buy the area where the AV products were displayed was so dark you could not see the markings on the equipment much less the rear input and out puts. On line I can see them all and even print out a picture for reference. I purchase all my big ticket items on line and as an electronic hobbyist I no longer go to Radio Shack. All they want to sell are cell phone and batteries. You can't even buy a raw speaker there anymore.

I really miss the old Radio Shack, back when they had brands like Realistic and Optimus. I've still got a couple of old catalogs from Radio Shack, just to bring back the memories of all the cool stuff they use to have.

Best Buy could be so much better, as the biggest electronics retailer. Over the years there selection of brands of A/V products has dwindled especially in the audio dept. Now they don't even have speaker listening rooms. I still go into BB and look over the clearance tables they have set up occasionally. Last summer I picked up a Pioneer Elite SC-25 for $600 on a clearance table which was a great deal.

I've only been to Fry's a couple of times, usually on vacation. The nearest store is like 3 hrs. away. I was really impressed, I wish there was a store closer to me. Lots of different brands, items you don't see in other stores, lots of gadgets, almost like a super Radio Shack. Best DVD/Blu-ray selection I've ever seen. They still even had a seperate rack for DVD-A and SACD. Maybe its time for a road trip!
Terminator840 is offline  
post #67 of 87 Old 03-27-2011, 09:13 AM
Advanced Member
 
irfan's Avatar
 
Join Date: Jul 2005
Location: Columbus, OH
Posts: 604
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 7 Post(s)
Liked: 16
Quote:
Originally Posted by Flatnate View Post
Some quick but interesting observations on Best Buy.

One I have definitely noticed a decline in media sales. Fewer DVDs and even less Blu-ray selection as of late. I know they had hoped to get in to the streaming movie business by partnering with CinemaNow.

Second, they just inked a deal to partner with LightSquared to provide 4G satellite augmented internet to pretty much everyone in America. But as a professional pilot I'm keenly aware how Lightsquared may interfere with GPS integrity and the FAA and the DOD will pull the rug out from under their feet and fast if they don't get those issues resolved prior to implementation.

It seems like they need to focus on their core business model because losing t.v. sales to Wal-Mart while over extending themselves in to other areas is ultimately what will do them in.

I wonder if they regret heavily pushing netflix subscriptions a few years ago?
irfan is offline  
post #68 of 87 Old 03-27-2011, 01:47 PM
Senior Member
 
TheGigaShadow's Avatar
 
Join Date: Dec 2006
Posts: 315
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Liked: 18
Quote:
Originally Posted by Doug O View Post

Does what happens to BB in the USA also reflect what is going on in other countries like Canada? Online isn't developed like in the states so most people still buy their product from B&M stores. Right within a 2 KM radius of where I live are: The Source (Radio Shack), Future Shop (Best Buy), Leons (Furniture store), Sears, Wal-Mart, Staples (computers and stationary), local B&M specialty stores, the list goes on and on. We'll have to wait and see what sales figures in my country (Canada) have to say about the state of such stores but from past numbers many things are regional. Our Wal-Mart for instance used to be the sales leader for all of Ontario because it was isolated and had no competition. That included the biggest stores in the Toronto region and was only outmatched by the distribution center in Barrie. Pretty good for an area of only 150,000 people. I've seen franchises that were viable up where I am go under because the parent company down in the Toronto region had a bad time of it. Actually seen lots of that happen over the past 20 years. Most folks up here buying TVs for instance now shop at Wal-Mart for the best price followed by Future Shop and for high end gear, one of the last electronics specialty stores in the city. Don't know how it is in other areas since I seldom travel outside of mine...

Best Buy owns Future Shop. All of them.
TheGigaShadow is offline  
post #69 of 87 Old 03-27-2011, 01:54 PM
Senior Member
 
TheGigaShadow's Avatar
 
Join Date: Dec 2006
Posts: 315
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Liked: 18
Quote:
Originally Posted by Flatnate View Post
One I have definitely noticed a decline in media sales. Fewer DVDs and even less Blu-ray selection as of late.
The Blu-ray section in my BB is clearly growing.
TheGigaShadow is offline  
post #70 of 87 Old 03-27-2011, 02:27 PM
Member
 
Flatnate's Avatar
 
Join Date: Oct 2006
Location: Minnesota
Posts: 75
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 1 Post(s)
Liked: 11
Quote:
Originally Posted by TheGigaShadow View Post

The Blu-ray section in my BB is clearly growing.

Weird, mine lost like an entire two isles of media in general.
Flatnate is offline  
post #71 of 87 Old 03-27-2011, 02:47 PM
Advanced Member
 
irfan's Avatar
 
Join Date: Jul 2005
Location: Columbus, OH
Posts: 604
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 7 Post(s)
Liked: 16
Quote:
Originally Posted by Flatnate View Post

Weird, mine lost like an entire two isles of media in general.

most around here cut media aisles.. the one i dont mind going to, which at least used to be one of the highest rated in the region, still has a huge media section. seems the newer ones are just smaller overall
irfan is offline  
post #72 of 87 Old 03-27-2011, 03:18 PM
Senior Member
 
TheGigaShadow's Avatar
 
Join Date: Dec 2006
Posts: 315
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Liked: 18
Quote:
Originally Posted by Flatnate View Post

Weird, mine lost like an entire two isles of media in general.

There are less audio CDs at mine, that's for sure but the Blu-ray section has expanded.
TheGigaShadow is offline  
post #73 of 87 Old 03-28-2011, 08:23 AM
Member
 
Flatnate's Avatar
 
Join Date: Oct 2006
Location: Minnesota
Posts: 75
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 1 Post(s)
Liked: 11
Maybe the blu-rays are the same, but it just seems like I always strike out when I go there looking for something specific. Maybe I just am in to too much non mainstream stuff. Like Harry Brown they say "whats that, hairy wha?" and last week Rob Roy (Rob who?). If I have the hots for something I need same day I find myself in Barnes and Noble a lot now.
Flatnate is offline  
post #74 of 87 Old 03-28-2011, 10:02 AM
Member
 
Exterous's Avatar
 
Join Date: Oct 2007
Posts: 167
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Liked: 11
Quote:
Originally Posted by mavrick240 View Post

I go to bestbuy for all big ticket items like TVs and such for I just cannot see having a 55 inch tv shipped when I can pick it up local.

I do enjoy being able to go and view/hear something before I buy it. Return shipping is something I like to avoid if I can. Then there is always the - "Oh Crap - I forgot that/it broke and need it tonight/Sunday" situation

Quote:
Originally Posted by jdskycaster View Post

Not sure I agree that the Internet will be the death of the CE industry. It has leveled the playing field for consumers who have the ability to become more knowledgeable about the gear they are looking to purchase without having to get into a car, drive and then hope someone in a B&M store will be gracious enough to spend more than 5 minutes of their highly valuable time imparting so called expert advice just before pressuring them into purchasing what they have on the shelf not because it is the best solution for the customer but is instead what they have to sell. These are usually the same people bitching about how Internet commerce will be the death of everything good. Could not be further from the truth.

JD

Internet stores have a huge advantage over B&M stores in terms of overhead and over all efficiency. B&M stores have to pay for realestate for their stores and regional shipping centers. (They typically have more regional shipping centers) Then there is the paying for the shipping of inventory to and from local stores. They have to estimate the needs of the local store inventories and can't just rely on a ship when bought method. Of course - all these places need to be staffed with workers who need training, pay, benefits and retirement options, plus the necessarily expanded management, HR and store support departments. They have significantly higher losses due to theft and fraud. There is also the issue of Sales Tax vs Use Tax and the lax enforcement that makes a lot of people view online purchasing 'cheaper because I don't have to pay tax on it'

Do I think the internet is the death of CE? No. What I do think we will see is significantly more consolidation/closing of stores as the B&M business mdoel struggles with the inherint cost of business differences from primarily internet only competitors.
Exterous is offline  
post #75 of 87 Old 03-28-2011, 11:38 AM
Senior Member
 
jcbaggins's Avatar
 
Join Date: Oct 2005
Location: Carrollton, TX
Posts: 223
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Liked: 11
I usually do not purchase anything at Best Buy, but lately I've discovered they seem to have the best deals on cell phones. A few months ago I got a Samsung Fascinate with Verizon for free when I renewed my 2 year subscription with their Friday promotions. This would have cost me $199 at Verizon.

My wife is now due her phone renewal and wants the same phone as me and Best Buy still has the best prices when we went there yesterday. Costco's new add this week promotes the white Samsung Fascinate for $99, but at Best Buy it's only $49. Verizon still is asking $199.

So, for cell phones, I think Best Buy has great deals.
jcbaggins is offline  
post #76 of 87 Old 03-28-2011, 01:22 PM
AVS Special Member
 
[Irishman]'s Avatar
 
Join Date: Nov 2007
Posts: 1,495
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 64 Post(s)
Liked: 67
Quote:
Originally Posted by gremmy View Post

I'm a subscriber.

Me too. 7 years!

COMING SOONFinding the Ark of the Covenant by Brian Roberts, in the iBook Store on iTunes, a new investigation into the Hebrew’s Most Sacred Relic!
[Irishman] is online now  
post #77 of 87 Old 03-28-2011, 02:25 PM
AVS Club Gold
 
jdskycaster's Avatar
 
Join Date: Mar 2006
Posts: 669
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 13 Post(s)
Liked: 22
Since BB also sells appliances I'll give another recent example as my wife and I are installing a second full kitchen in the basement. We need to purchase a complete set of appliances so we head off to BB as well as a couple of larger appliance only stores near us. We could not find a single appliance that we were looking for in any of the showrooms. Of course, they crack out the catalog to show us a picture. This is after we had already done our research online and of course had all of the same specifications they did.

None of these outlets had anything constructive to add to actually help us make a decision. I am no appliance expert but from the research I had done online I already came into their stores with more knowledge of what I was looking for and what was available from each of the manufacturers. To top it off the price versus just buying it all online and having it white glove delivered and installed is about 15-30% higher before adding any sales tax to the total B&M bids. Made the decision to purchase it all online an easy one.

JD
jdskycaster is offline  
post #78 of 87 Old 03-28-2011, 02:29 PM
AVS Special Member
 
Hksvr4's Avatar
 
Join Date: Nov 2008
Location: NY
Posts: 3,406
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 17 Post(s)
Liked: 34
The BB by me, (Union Sq., NYC) has a new gaming section. Similar to Gamestop where you can sell and buy used games. Too bad there are two GS not too far from each other. Also a PC-Richards down the block. I mean, why would they put a BB there in the first place. The store is cluttered. I can't find anything. They even sell $900 bikes. Why the hell are they selling bikes!! They have an instrument section. Guitars, drum sets, and keyboards. Stuff like that you can get down the block at Guitar Center.

The last time I brought something there was the Fighter on Blu-ray for $23. That was a bargin. After that who would pay full-price for a blu-ray anyways. I don't understand the mind set when they opened the store 3yrs ago. I guess they look at what and who lives around the area and cater to them. They don't carry appliances though. Btw, it was a Curcuit City store before.
Hksvr4 is offline  
post #79 of 87 Old 03-29-2011, 04:34 AM
Advanced Member
 
gostan's Avatar
 
Join Date: May 2003
Location: Boston
Posts: 937
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Liked: 11
I went to BB last evening looking for a Canon OEM battery for a Canon point & shoot camera as well as a Class 6 SDHC card. The battery was $65.99 @ BB. Same battery was $24.99 from Amazon with free 2 day Prime shipping. BB had no Class 6 cards, only much more expensive Class 10 cards. BB seems to mark up smaller gotta have it accessories much higher than they should be priced. I think that this pricing policy is encouraging more purchasers to migrate to WWW purchasing.

And, the first sales associate had no clue as to the fact that SD cards came in different speeds. Imagine the poor person who walks in and purchases a Class 2 card and try's to use 1080P video on his or her new Video cam and thinks that the cam is defective.

I also happened to listen to another sales associate push a potential iPad purchaser to a touch. It was obvious that this was being done because BB has no iPads in stock. Just plain bad.

Stan
gostan is offline  
post #80 of 87 Old 03-30-2011, 01:01 PM
AVS Special Member
 
graphicguy's Avatar
 
Join Date: Jun 2002
Location: Ohio Valley
Posts: 3,646
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 1 Post(s)
Liked: 12
For a couple of years there, they were really stepping up their game in the customer service dept. Sales people actually had product knowledge. Their employees actually acted like they cared about the customers. They were always in stock of the tings I wanted. Their reward zone perk was worth shopping them, too.

Now....not so much. They can't seem to get reward zone to live up to their "perks" if you spend a lot of money there (like getting reward zone dollars to cash in, or keeping your account straight). I know whenever I went in to buy some product that was the least bit "in demand" (thinking iPhone, Bose headphones and iPad), even after a long wait (literally weeks and weeks) after giving a deposit, they still couldn't deliver in a reasonable fashion.

In short, their customer service has slipped dramatically, as has their stocking of items most people buy.

Given that Reward Zone can't get straightened out, so it's no longer an advantage, I go to HHGregg for most of my electronics purchases now. if it's an Apple product, I go directly to the Apple store as they stock what I want.

Music so high you can't get over it....music so low you can't get under it!
graphicguy is offline  
post #81 of 87 Old 03-30-2011, 01:52 PM
Advanced Member
 
irfan's Avatar
 
Join Date: Jul 2005
Location: Columbus, OH
Posts: 604
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 7 Post(s)
Liked: 16
They are still good for camera shopping which doesnt have a huge variation from online (i just bought a canon s95 from there... $399 plus 5% discover cashback is right on par with Amazon's $428).

I dont see them dying out as long as most people are still paying for overpriced accessories. They have been able to capitalize on add-on sales like cables, but thye need to understand that consumers are getting smarter. I'll pay $15-20 for a 20foot HDMI from best buy even tho i can get it much cheaper online, but im not spending $80. Thing is, most consumers arent educated about this stuff (and really, most consumers have better things to do with their time than study pricing patterns of accessories they are buying one time). For the uninformed, its a decent store, and most are uninformed.
irfan is offline  
post #82 of 87 Old 03-30-2011, 08:21 PM
AVS Special Member
 
[Irishman]'s Avatar
 
Join Date: Nov 2007
Posts: 1,495
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 64 Post(s)
Liked: 67
Quote:
Originally Posted by jdskycaster View Post

Since BB also sells appliances I'll give another recent example as my wife and I are installing a second full kitchen in the basement. We need to purchase a complete set of appliances so we head off to BB as well as a couple of larger appliance only stores near us. We could not find a single appliance that we were looking for in any of the showrooms. Of course, they crack out the catalog to show us a picture. This is after we had already done our research online and of course had all of the same specifications they did.

None of these outlets had anything constructive to add to actually help us make a decision. I am no appliance expert but from the research I had done online I already came into their stores with more knowledge of what I was looking for and what was available from each of the manufacturers. To top it off the price versus just buying it all online and having it white glove delivered and installed is about 15-30% higher before adding any sales tax to the total B&M bids. Made the decision to purchase it all online an easy one.

JD

Unbounded arrogance! It's the best shopping tool ever!

COMING SOONFinding the Ark of the Covenant by Brian Roberts, in the iBook Store on iTunes, a new investigation into the Hebrew’s Most Sacred Relic!
[Irishman] is online now  
post #83 of 87 Old 03-30-2011, 08:45 PM
AVS Club Gold
 
jdskycaster's Avatar
 
Join Date: Mar 2006
Posts: 669
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 13 Post(s)
Liked: 22
No secret what the Irishman does for a living
jdskycaster is offline  
post #84 of 87 Old 04-01-2011, 11:48 AM
Member
 
goksucats's Avatar
 
Join Date: Sep 2007
Posts: 80
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 0 Post(s)
Liked: 10
I think the dumbest opening I've seen Best Buy pull is in Kansas City out at the Speedway right across the street from the ginormous Nebraska Furniture Mart that sells ten times the amount of product at generally a much better price. Needless to say, that Best Buy which has been open about a year looks like it's always about to close.
goksucats is offline  
post #85 of 87 Old 04-01-2011, 06:00 PM
AVS Special Member
 
[Irishman]'s Avatar
 
Join Date: Nov 2007
Posts: 1,495
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 64 Post(s)
Liked: 67
Quote:
Originally Posted by jdskycaster View Post

No secret what the Irishman does for a living

I just pride myself on professionalism in my job and it irks me when someone who admits they're not a professional still thinks they know more than the salesperson.

Now, granted, I don't know the caliber of salesperson you got. But keep in mind that reading a few online reviews does not an expert make.

COMING SOONFinding the Ark of the Covenant by Brian Roberts, in the iBook Store on iTunes, a new investigation into the Hebrew’s Most Sacred Relic!
[Irishman] is online now  
post #86 of 87 Old 04-02-2011, 09:38 AM
Member
 
DA1745's Avatar
 
Join Date: Dec 2008
Posts: 168
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 1 Post(s)
Liked: 11
Quote:
Originally Posted by dnoyeB View Post

I'm not surprised. Their prices were always worse than Circuit City. When CC folded, BB prices and policies seemed to get even worse. I go in there only when they have a strong sell. Even at Christmas time they are not competitive.
Since BB has chosen to "restructure" as opposed to cut prices, its not likely they will survive. They will need another CEO that institutes different prices and policies, IMHO.

Quote:
Originally Posted by PanteraGSTK View Post

I worked for Circuit City when their stock was that low. ...I don't want to see the day when Wal-mart and sears are the only big box stores left.

Hello my name is DA1745 and I too used to shop at Worst Buy. (Hello DA)... Whenever I venture into BB it's either bc I stack a deal or they mad a mistake or in some why I feel I can screw them...like they do to others (me in the past). Or it's to play with a TV/something I intend to buy online.
Ok so I have no love for either The Empire (Wally-world) or The Huts (Worst Buy) - And Sears is simply on shaky ground so to the second poster you won't likely have to worry about them being a B&M option in the projected future.

But I'm not sure you are fully reading what was written. Best Buy to my dismay is doing quite well considering the economic times. Comparable (non-internet-retailer-electronic-sales where down double what BB was). They took a hit but that won't be on the books the next quarter and the next quarter etc. If you ask me those who control and own the majority of BB stock used this as a maneuver to buy back shares of the company at a lower price, just wait and watch as long as the economy stays status quo in a lackluster slow growth state their earnings will be up into the high $1.80-$1.90 next few quarters netting those that bought stock lower a nice investment.
====================================================
BB looked at other stores that have done the lower prices / lower profits route and at this point have data to show that while sales of course increased the volume necessary to make that a viable business plan simply were not supported. BB is screwed either way for the management I think for non-a$$#ole management who will lose their jobs I think and that I felt the other thing. But continuing on their current path is simply a slower death!

Scenario one: close some overseas, maybe some domestic restructure, trim workforce same pricing structure... this is what I think of as the running out the clock strategy. Internet with it's ultra low overhead (no store rental location - chains to staff, to heat or cool etc.) grab more and more of the market every year. BB simply will lose more and more market share as people get clued into internet electronics.

Scenario two: they try to compete with the like of Newegg, Amazon, Fry's, Tigerdirect. They can't because of their overhead (warehousing, fuel costs shipping to stores, staffing employees, utilities, rent, state taxes) their sales go up but still their prices are $20, $30, $40+ more than the best deals found online ---> better than the $200-$300 previously but the volume necessary to compete at that level they fall so far from that within the first year after restructuring stocks fall, confidence is shaky, unlike in the past before other established retailers fell, knowing what awaits them like CompUSA, CC, Bed Bath & Beyond investors head for the hills. Company fails at an accelerated 1-2 year timeframe. That would be as my re-re nephews say an EPIC FAIL!
DA1745 is offline  
post #87 of 87 Old 04-02-2011, 10:28 AM
AVS Special Member
 
RobertR's Avatar
 
Join Date: Dec 2000
Location: California
Posts: 6,254
Mentioned: 0 Post(s)
Tagged: 0 Thread(s)
Quoted: 237 Post(s)
Liked: 424
I've made a handful of purchases at Best Buy, none of which were bought on the advice of their salespeople. I did my research prior to buying. All the things I bought were BB exclusive items, the exception being a TV for which they offered 36 months no interest, plus a BR player (I've yet to see online dealers arrange such financing).
RobertR is offline  
Reply Community News & Polls

Thread Tools
Show Printable Version Show Printable Version
Email this Page Email this Page


Forum Jump: 

Posting Rules  
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off