Essay about Best Buy

1053 Words Nov 9th, 2013 5 Pages
Best Buy
MGT/521 - MANAGEMENT

BUSINESS

Description
Best Buy or BBY is one of the leading developers of technology products and technology services. Best Buy is broken down into two segments; domestic and international, and works under a variety of names. In the domestic region there is Best Buy, Best Buy Mobile, Magnolia Audio Video, Pacific Sales, and Geek Squad. The international regions include; Canada, China, Mexico and Europe and use the brand names; Best Buy, Cell Shop, Best Buy Mobile, Five Star, Future Shop, Connect Pro, Geek Squad, The Carphone Warehouse, Geek Squad, and The Phone House. (Reuters, 2012)
Best Buy stores currently make their money in six categories:
• Consumer Electronics – Video products like TVs, DVD
…show more content…
Concept II stores came with fewer salespeople, help centers for more personal assistance, more self-help product information, one-stop purchasing, and well-stocked showrooms. Between the years of 1992 and 1993, Best Buy was said to have, “the best financial performance in the company’s 27-year history”. Best Buy saw a major increase in both earnings and revenues for the first time in the $1 billion mark, ranging from $929 million and $1.6 billion and opened 38 new stores which brought their total to 151 stores by the end of 1993. Also the year before, Highland closed all six of their stores in the Minneapolis and St. Paul area. In the mid 90’s, Circuit City came into play and brought a lot of competition, Best Buy was only a tenth of a percent behind Circuit City with 8.7 percent on the consumer electronics market. In 1998 the Concept IV format was introduced. The new modeled stores featured products grouped in departments; for example car audio, movies, and music, cash register throughout the stores, hands-on features in the car audio section, and more high tech products. In the 2000’s Best Buy started to acquisition some other electronic companies. The first was in December 2000, when Best Buy acquired Magnolia Hi-Fi. In 2001, Best Buy acquired Musicland Stores Corporation, with the purchase price including cash and assuming their debt. In the winter of 2001, Best Buy bought the largest consumer retailer in

Related Documents