The study has been carried out for analyzing the marketing strategy of Best Buy Inc. (BBY) which is the ruling retailer of USA in terms of consumer electronic goods. This study looks into all the internal and external aspects that have an effect on the business’ marketing strategies and which allow it to hold its position in the industry. After the analysis, a few recommendations will be given which would be useful for the growth of BBY. And the maintenance of the top position is that its marketing strategy is apt, as it does not put lot of efforts for strategy in view of political aspects. As there aren’t lots of political aspects, yet the business must keep focus on other aspects before growth. The strategy for BBY needs to work out compelling corporate social responsibility methodologies to participate in the societal improvement.
The chosen organization for the study is Best Buy Co., Inc. which is a public limited firm whose stocks have been listed in the NYSE. It is a seller of electronic goods in US which holds around 20% of US retail of the technical goods. It has its outlets in USA’s 24 places along with other more outlets situated in UK, Mexico as well as Turkey. There are more than 1900 of BBY.
INDUSTRY STRUCTURE AND GLOBAL MARKETS
BBY is a business which was started in the year 1966 and was known as “Sound of Music” until the year 1986. It’s a big format business which has set up 1900 stores approximately. This business provides the technological assistance in Geek Squad brand. There had been lots of challenges faced by BBY in 2012. To maintain the financial situation of business, it had to do strategic planning- “Renew Blue”. This allowed BBY to make better relations with the sellers, refurbishing outlets, raising the sales for similar outlets, removal of unwanted expenses and bringing the online business for Best Buy to a rise.
Being at the Top position in US sales for electronic goods, BBY competes with a few of the big names like Walmart, Amazon, Apple stores, etc. Although Amazon deals in a variety of goods’ segments, yet BBY is just a player of consumer electronics. It also faces competition from its own suppliers as well, since lots of suppliers are now starting with their branded outlets themselves and would not necessarily need other businesses like BBY to sell. For example, Sony and Apple have exclusive Sony and Apple stores which would not provide many of the sales to BBY, going forward and will turn out to be competitors of BBY.