The primary goal of this paper is to provide the description of Best Buy including the detailed information of its products, services, customers, human resources, financials, competitors, and global presence.
Best Buy is the store, which actively specializes in the retail of electronics and the items close related to the electronics and their maintenance in different countries (Bensen et al. 1). Nonetheless, it has chosen to operate both physically and online, as the competition in both of these niches remains on the high level.
Furthermore, it provides high-quality services to repair the computers and other electronics with the assistance of Geek Squad (Bensen et al. 7). The variety of the provided brands remains high to satisfy the needs of the consumers.
Finally, the company provides the sufficient recycling program, in which the customers can bring their old electronic devices such as cell phones, radios, TV, and gadgets (“Electronics and Appliances Recycling at Best Buy” par. 1). This program allows the company to stay close to the customers and show the respect to the environment.
Best Buys is the customer-oriented company (Stopper 34). The potential customers of Best Buy are actively interested in electronics or other goods connected to this area. Nonetheless, Best Buy is not interesting in keeping the clients, which have a negative influence on the total income of the company (McWilliams par. 3).
Nonetheless, the customers are the main sources of the company’s revenue, and the relationships with them have to be cherished due to their ability to increase the market share of the company and its profitability.
It is evident that the competition remains on the high level in both online and physical store segment due to the strong brand values of the competitors. The primary competitors include Walmart, Amazon, and the other online and physical stores, which provide the clients with a similar assortment (Bensen et al. 1).
Nonetheless, it is apparent that Amazon and Walmart provide a wider range of products than Best Buy and have a bigger customer base. For instance, Amazon provides electronics, toys, games, computers, kitchen appliances, books, clothing, tools, and other important goods, which are in high demand among the consumers of different groups and niches (“Amazon” par. 1).
It is clear that competition is on the high level, and Best Buy has to develop new innovative strategies to sustain on the market, as the competitors have a tendency to develop new offers and introduce new strategies.
Speaking of financials, the recent report indicates that the profitability has increased in online and physical store segments (“Best Buy Reports Third Quarter Results” par. 3). It is evident that the operations in the domestic segment have increased (“Best Buy Reports Third Quarter Results” par. 3).
This fact implies that its profitability and market share have a tendency to increase in the American market. Nonetheless, the revenues on the international level decreased (“Best Buy Reports Third Quarter Results” par. 3).
Consequently, the competition on the foreign markets is higher than in the United States due to the lack of the well-established brand image of Best Buy in Canada and Mexico. Nonetheless, the current financial statement reveals that the company has to pay vehement attention to the introduction of new programs and advertising campaigns on the international level.
In terms of HRM strategies, Best Buy is using customer-centered innovation to stay closer to its clients and build a trusting relationship with them (Stopper 34). In this instance, the continuous learning and leadership program contribute to the development of the corporate culture, which will be entirely customer-oriented (Stopper 35).
Cultivation of these features among the workforce allows the company to have a unique selling style and have a significant market share among its competitors in the United States of America, Mexico, and Canada.
In this instance, it is apparent that Best Buy pays close attention to choosing its workforce, its development, and reward for the professional excellence. In this case, the expertise of the employees and sales remain on the high level and allow the company to keep its competitive advantage.
As for the presence on the markets, Best Buy currently operates in the United States of America, as it is the country of the company’s headquarters (“About Best Buy” par. 1). As for the other countries, it also has its operations in Canada and Mexico (“About Best Buy” par. 1).
Nonetheless, the existence in these countries allows company maintain high revenues despite facing a high competition from its online and physical competitors. However, it is apparent that Best Buy uses various sub-brands such as Cinema Now, MindShift, and Pacific Sales to show their presence in the markets of different countries (Bensen et al. 1).
In the end, the plans for expansion remains unclear, as the inability to handle the strong competition on the Chinese market caused Best Buy to terminate its operations (Wolf 8). However, Best Buy pays close attention to the location of its stores in various regions and the parts of the city to provide its services to all potential users.
Works Cited
About Best Buy 2015. Web.
Amazon 2015. Web.
Bensen, Steven, Alhadi Haddi, Kakie Fitzsimmons, Albudi Hussein and Henry Marotske 2012, Best Buy Corporation: Strategic Management Analysis. PDF file. 2015.
Best Buy Reports Third Quarter Results 2015. Web.
Electronics and Appliances Recycling at Best Buy 2015. Web.
McWilliams, Gary. “Analyzing Customers, Best Buy Decides That Not All Are Welcome.” The Wall Street Journal 2004. Web.
Stopper, Bill. “Best Buy: Customer-Centric Innovation.” Human Resource Planning 29.3 (2006): 34-36. Print.
Wolf, Alan. “Best Buy Exiting China.” Twice 15 Dec. 2014: 8. Print.