BEST BUY CO. INC.: SUSTAINABLE CUSTOMER CENTRICITY MODEL?
Best Buy Co. Inc.: Sustainable Customer Centricity Model? 16
12 BEST BUY CO. INC.: SUSTAINABLE CUSTOMER CENTRICITY MODEL?
CASE # 3
BEST BUY CO. INC.: SUSTAINABLE CUSTOMER CENTRICITY MODEL?
MGT403 STRATEGIC MANAGEMENT
PREPARED FOR
Tanvir H DeWan
Coordinator of College of Business
IUBAT
PREPARED BY
Serial Number
Name
ID
01
Shahriar Rawshon (Group Leader)
09102095
02
Md. Zakiruzzaman
09102151
03
Suchona Akter Swarna
09102163
04
Shahara Akter Eva
09102156
05
Kanij Fatama
09102165
06
Ruksana Aktar
09102130
07
Md. Al Amin
09302012
Section: B
International University of Business Agriculture and Technology
Date of Submission: 29th May, 2012
CURRENT SITUATION:
Best Buy was a specialty retailer of consumer electronics. It operated over 1,100 stores in the United States, accounting for 19% of the market. With approximately 155,000 employees, it also operated over 2,800 stores in Canada, Mexico, China, and Turkey. The company's subsidiaries included Geek Squad, Magnolia Audio Video, and Pacific Sales. In Canada, Best Buy operated under both the Best Buy and Future Shop labels.
From a strategic standpoint, Best Buy moved from being a discount retailer (a low price strategy) to a service-oriented firm that relied on a differentiation strategy. In 1989, Best Buy changed the compensation structure for sales associates from commission-based to non- commissioned-based, which resulted in consumers having more control over the purchasing process and in cost savings for the company (the number of sales associates was reduced). In 2005, Best Buy took customer service a step further by moving from peddling gadgets to a customer centric operating model. It was now gearing up for another change to focus on store design and providing products and services in line with customers' desire for constant connectivity.
MISSION:
Best Buy's mission was to make technology deliver on its promises to customers.
VISION:
"People,
12 BEST BUY CO. INC.: SUSTAINABLE CUSTOMER CENTRICITY MODEL?
CASE # 3
BEST BUY CO. INC.: SUSTAINABLE CUSTOMER CENTRICITY MODEL?
MGT403 STRATEGIC MANAGEMENT
PREPARED FOR
Tanvir H DeWan
Coordinator of College of Business
IUBAT
PREPARED BY
Serial Number
Name
ID
01
Shahriar Rawshon (Group Leader)
09102095
02
Md. Zakiruzzaman
09102151
03
Suchona Akter Swarna
09102163
04
Shahara Akter Eva
09102156
05
Kanij Fatama
09102165
06
Ruksana Aktar
09102130
07
Md. Al Amin
09302012
Section: B
International University of Business Agriculture and Technology
Date of Submission: 29th May, 2012
CURRENT SITUATION:
Best Buy was a specialty retailer of consumer electronics. It operated over 1,100 stores in the United States, accounting for 19% of the market. With approximately 155,000 employees, it also operated over 2,800 stores in Canada, Mexico, China, and Turkey. The company's subsidiaries included Geek Squad, Magnolia Audio Video, and Pacific Sales. In Canada, Best Buy operated under both the Best Buy and Future Shop labels.
From a strategic standpoint, Best Buy moved from being a discount retailer (a low price strategy) to a service-oriented firm that relied on a differentiation strategy. In 1989, Best Buy changed the compensation structure for sales associates from commission-based to non- commissioned-based, which resulted in consumers having more control over the purchasing process and in cost savings for the company (the number of sales associates was reduced). In 2005, Best Buy took customer service a step further by moving from peddling gadgets to a customer centric operating model. It was now gearing up for another change to focus on store design and providing products and services in line with customers' desire for constant connectivity.
MISSION:
Best Buy's mission was to make technology deliver on its promises to customers.
VISION:
"People,