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Unformatted text preview: 2007, as reported in the Value Line Investment report on Best Buy, same store sales have grown three percent; while same store sales for Circuit City have plummeted nearly six percent. This change is likely due to the consumers’ preference in their retailer outlets. Though the two companies offer the same service, Best Buy simply does it better . If trends continue to follow the same route, it wouldn’t be unexpected to see Circuit City drop out of the market within the next decade. Since the current trends of the global economy warn of a possible recession, investors may become wary of investing in new markets. Since Best Buy’s services aren’t necessarily essential to the economy, it might see a drop in sales revenue, and a decline in stock value. With the company’s recent global endeavors, its liabilities have increased exponentially. This may pose a threat to its well being. http://www.bestbuynewscenter.com/flash/bestbuy.pdf...
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- Spring '08
- Geek Squad, Circuit City