After doing my usual boring research for something for the class to read, I came upon something that will not necessarily aid you from a technological standpoint, but from a consumer standpoint. What am I talking about? Lucky for you, I wasted my own precious time, once again, to aid you. I have recently found that Circuit City, the second largest electronics retail store, is facing two difficult options Option 1, is declaring bankruptcy. This could be devastating to the college student, seeing as how I’m sure some of you shop at Circuit City for your electronic needs, I feel it is quite important for you to know how your future shopping endeavors could turn out. If the store declares bankruptcy, I expect they will just be bought out by Best Buy, or another large conglomerate similar to Best Buy.
Option 2, is more cost effective for Circuit City, but for employees, and some consumers, it will be bad news. The second option is to close down 150 stores, saving the store around $350 million total. But, that is $350 million of actual people’s money. So basically, if they cut the stores, they lose millions of customers, and thus risk more down the road by not going through the easy route.
Personally, I feel like they should just take the potential buyout. I feel this, because if they do, then they save all the people’s jobs, and the company still makes money. The only difference would be that part of the profit will go to whoever buys them out, rather than the store itself.
Quite the dilemma, in my opinion, but I sincerely doubt the CEO of Circuit City is too worried about it. He is going to be quite comfortable with whatever package he is offered to step down as owner of the large franchise.
I wrote this merely so all of you college students out there can use it to your benefit, and maybe take advantage of some of the huge electronics sales that could potentially happen, very soon.
Option 2, is more cost effective for Circuit City, but for employees, and some consumers, it will be bad news. The second option is to close down 150 stores, saving the store around $350 million total. But, that is $350 million of actual people’s money. So basically, if they cut the stores, they lose millions of customers, and thus risk more down the road by not going through the easy route.
Personally, I feel like they should just take the potential buyout. I feel this, because if they do, then they save all the people’s jobs, and the company still makes money. The only difference would be that part of the profit will go to whoever buys them out, rather than the store itself.
Quite the dilemma, in my opinion, but I sincerely doubt the CEO of Circuit City is too worried about it. He is going to be quite comfortable with whatever package he is offered to step down as owner of the large franchise.
I wrote this merely so all of you college students out there can use it to your benefit, and maybe take advantage of some of the huge electronics sales that could potentially happen, very soon.
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