Executive Summary
This case study analyzes the strengths and weaknesses of the Geek Squad. It also analyses opportunities available for the company and factors that threaten its existence. Founded by Robert Stephen in 1994, the company has taken considerable strides in overcoming a number of business challenges. Geek Squad is a subsidiary of Best Buy. It is based in Richfield, Minnesota, and exists in all Best Buy companies in the US, UK, Canada, China, Netherlands, and Puerto Rico, just to mention the main regions. Geek Squad is dedicated to solving the world’s technological challenges; it provides exclusive technological services in-store, on-site, over the internet, and through remote access.
Apart from its integration with Best Buy, the company collaborates with Support Space, as well. Geek Squad has a substantial number of trained technicians that are reachable all day and night. The staffs serve all clients in regards to solving needs such as computer setup, hardware repair, training, data recovery, software installing and setup, wireless networking, and more. Geek Squad boasts of its outstanding customer service personnel that help to communicate the vision of the company. Their computer services, home theater, and electronic car services have flexible guarantee packages that meet customer’s needs. However, Geek Squad has also faced challenges such as unhealthy competition, stiff information security laws, and failures in court cases. The future of the Geek Squad depends on lots of managerial factors.
Introduction
This study looks into both external and internal managerial factors that might help Geek Squad overcome current business challenges. External aspects include legal, economic, and political factors, while internal include availability of resources and management techniques.
External Analysis
Macro Environment Analysis
Industrial Environment
There are new laws that protect the information industry. The strict laws make some potential competitors fail to venture into the risky information technology market. Geek Squad is an experienced industry player, enjoys a remarkable degree of market control. Its brand name sells for its self. This is the reason the new entrant, Geek House-Calls, uses part its title, Geek.
Globalization
Everybody in business desires to communicate without suffering from restrictions related to distance. In addition, they would prefer to have their computers, home theaters, and car electronics repaired conveniently using remote sensors. Since the Geek squad provides these services, it has an enormous opportunity for growth.
Legal
The US Government has enacted laws to govern network security. These laws directly affect Geek Squad. They require agencies to use the information constructively and respect the rights of others. Retrieving pornographic materials and hacking systems are some of the actions that may put the company into problems. In addition, different states and countries impose different rules on information security. This may impinge negatively on the operations of the Geek Squad in case the company fails to take strategic actions in time.
Technological Developments
Geek Squad offers modern technological services. According to the company, one can use their web site tools to track the status of repairs or support history. One can also request appointments online. Nevertheless, maintaining such a technological operation is expensive, as technology changes every so often.
Competitor Analysis
As the Government enacts information security laws to reduce abuse of network services, they enact business-friendly laws, as well. This encourages strong competitors to trade in computer products. In the US alone, companies that provide similar services have emerged. The US Computer Remote Repair is one such company. They offer products such as spyware removal, virus removal, and computer repairs. Another such competitor is PC Support Group.
Internal Environment
Tangible Resources
Geek Squad operates in a number of locations globally. The company has employed in-store agents and in-home agents in these regions. The number of employees is over 2,000 in United States alone.
Greek Square City is another extremely essential resource for Geek Squad. This is the largest global computer repair location for this company. It is 165, 000 square feet. The city has a block tour that incorporates three stage warehouses with an employee lounge equipped with tech toys and projectors. Moreover, the company has a product development room where agents get to test new products before they are released into the market. Within this site, all types and makes of computers are repaired. This opportunity comes with many challenges. The management says that, at some point, they had to expand their service line to accommodate the enormous volume of computers shipped in for repair.
Intangible Resources
The company began in 1994, and it continues to provide quality services, therefore, one key resource that the company has is good will. The history of Geek Squad also inspires workers. The company was started with a capital of 200 dollars and a bicycle, and it continues to grow.
Another intangible resource is discipline. All agents have uniforms that depict professionalism. In this case, the agents portray their willingness to identify with the company. The pride motivates them to deliver on their corporate pledge. In addition, partnerships with other corporate bodies make Geek Squad an above average competitor.
SWOT Analysis
The strengths of Geek Squad include the following: a strong capital base, good will, and ability to adapt to technological changes. This adaption ability is the reason the company is relevant in the market. Other strengths include effective use of own website and efficient management of human resource. On the other hand, the weaknesses include inability to dominate the market due to insufficient funding, over dependence on common marketing strategies, inability to influence court decisions, and a low global presence.
An opportunity for Geek Squad is the availability of the global markets, since competitors have not yet exhausted the market. In addition, due to experience, Geek Squad has an opportunity to dominate the technological market. This is because new entrants have no matching experience. Otherwise, the main threat to this company is competitions. A few entrants into the business are financially better off. The competitors may do things such as poaching industrious employees from Geek Squad. In addition, an abrupt advancement in technology may a cause the company losses.
Conclusion
Geek Squad has sufficient resources and can still remain in business. With its presence in the US, UK, among other locations, the company has built a strong base of clients and can make higher profits. The effects of competition and new laws, though, may seem unwelcoming, the company can benefit from them, as they might cause infant companies to withdraw from the business.
Recommendations
From this study, it is evident that Geek Squad has prospects of success. However, the company cannot meet its goals without strategizing against competitors. While strategizing, the company should also invest in research and preparedness for an abrupt technological shift. Moreover, the management should hire or employ legal teams to update the company in regards to changes in law to avoid legal embarrassments. They should also use varied advertisement techniques that will serve those working on line and offline uniformly. This will lead to increase of sales.