Blockbuster Looks At Circuit City's Books; Ditches Acquisition Offer
from the no-real-surprise dept
We were one of a very small number of people who actually saw some logic behind Blockbuster bidding for Circuit City -- though, it seemed unlikely that Blockbuster viewed the purchase in the same way we did. Most people assumed (probably correctly) that Blockbuster didn't really have much of a plan at all, other than to merge the two struggling companies and have an even bigger mess on their hands. Blockbuster has now withdrawn the offer to buy Circuit City, gamely claiming that it has to do with "market conditions" and a better understanding of just how awful Circuit City's books appear to be. That's press release talk. What's more likely is that Blockbuster realized that everyone was right: it would screw up the merger and make a bad situation worse.
Reader Comments
Subscribe: RSS
View by: Time | Thread
[ reply to this | link to this | view in thread ]
really didn't make any sense
Blockbuster does have a nice niche, that is group media shopping by dormmates and apartment mates in their 20's and 30's. One obvious area for extension would be audio recordings, but of course that whole industry has pretty much gone kaput. Maybe they should sell used CD's for below $10, that would have the low cost, opportunistic shopping aspect that fits in with the rest of their experience.
[ reply to this | link to this | view in thread ]
Corporate Culture = Failure
I sort of predict both CC and BB "consolidating", i.e closing, stores before to long. I know people like to "touch, feel, and talk" to real human beings - but why would I buy my 60' Sony Wega from CC for 4 or 5 grand, when I can get the same one, same warranty, etc. from a authorized dealer online for half the price ... I won't! Most informed consumers don't shop in these stores for big ticket, aka high profit margin, items - I see these places as a super radioshack.
[ reply to this | link to this | view in thread ]
Why?
[ reply to this | link to this | view in thread ]
More than anything else, this just seems like a scared reaction to the current market instead of actually trying to build a lasting buisness.
[ reply to this | link to this | view in thread ]
I think that
[ reply to this | link to this | view in thread ]
Re: Corporate Culture = Failure
[ reply to this | link to this | view in thread ]
Infinite or intangible goods
(Actually, if I get bullied into giving advice or whatever I just blame it on you. Still, the question is valid.)
--Glenn
[ reply to this | link to this | view in thread ]
Add Your Comment