Company Analysis of Best Buy
TABLE OF CONTENTS
Company Analysis
Recent History of Best Buy 5
SWOT Analysis 7
Strengths 7
Weaknesses 7
Opportunities 8
Threats 8
Typical Customer 9
Financial Analysis 9
Income Statement Analysis 9
Adapting to Change 10
Embryonic Stage 10
Growth Stage 11
Shakeout Stage 11
Maturity Stage 12
New Developments 12
Best Buy’s Strategies
Business Strategies 15
Functional Strategies 15
Distinct/Core Competencies 16
Industry Analysis
Major Competitors 19
Best Buy’s Position within the Industry 20
Remaining at the top 20
Becoming main source 21
Influences 21
Industry Factors 21
Impact of Factors 21
Recommendations 22
Conclusion
Conclusion 24
Bibliography 25
Appendices
Common Size Income Statement 27
SWOT Matrix 28
Executive Summary
Best Buy is currently on top of the electronics retail industry. It is followed by Circuit City and Radio Shack. Best Buys’ total annual sales for last year were $35,934 million, and Circuit City was at $12,429 million (“Competitive Landscape”). If you look at the electronic retail area, which includes Best Buy and Circuit City, you will see that Best Buy is ahead by $23,505 million more dollars than Circuit City.
The factor that makes the biggest impact on the industry of electronic retail is the competition from discounted stores. The stores that sell the same merchandise as Best Buy, but at a cheaper price are what make a huge impact on the industry as a whole. After Best Buy’s last earni ...