main
Report a problem

Circuit City Closings Short-Change Consumers

Daniel Fleshbourne   via CRN on 04 November 2008 - 11:37 · 5 comments & 2014 views

Advertisement (Why?)
Circuit City closing 155 of its stores and laying off 17 percent of its work force will leave consumers in a lurch, especially as the ever important holiday shopping season begins rearing its head. "For consumers, a lack of diversity is never good," said Stephen Baker, vice president of industry analysis of the NPD Group, a retail industry analysis firm. "Clearly, people closing stores, especially one of the big guys, isn't a good thing."

According to Baker, the Circuit City closings will give consumers a lack of choice of where to buy consumer electronics. In the end, consumers will have to travel further to get the items they want while also having a narrower product selection at their disposal. It will also give consumers fewer pricing options. "Your opportunity to buy things is somewhat diminished," Baker said. Circuit City built its name by consistently undercutting the competition, offering electronics at a few dollars cheaper than Best Buy and others to get an edge.

Post a comment · Send to friend Comments · There are 5 additional comments
#1 +chorpeac on 04 Nov 2008 - 14:25
Yeah, one less place to go to best buy and try to "price match" another store...
#2 xpablo on 04 Nov 2008 - 17:53
Less competition means higher prices.
#3 wize_guy123 on 04 Nov 2008 - 20:51
Well for the most part Circuit City has a couple of savings over Best Buy, but not many. I've been working at Best Buy for 2 years and have had about 100 matches at most. Sometimes for a simple $10 on an expensive product.
#4 gnuman on 05 Nov 2008 - 00:09
There is always purchasing online from places like Amazon though.
#5 AUSSIE_FLOYD_FAN on 05 Nov 2008 - 05:18
this sucks. i just submittd an application yesterday.. i supose they won't be needing me

as a worker or a cusstomer

Commenting has either been disabled on this article or you are not logged in. Click here to login or register, its free!

Note: Anonymous commenting is disabled in order to keep the quality of responses to a high standard.

Advertisement (Why?)