
Best Buy Co., Inc.
Hess, Edward D.
Best Buy Co., Inc.
S-0142 | Published September 18, 2007 | 14 pages Case
Collection: Darden School of Business
Product Details
In 2007, Best Buy was the leading electronics retailer in the United States with more than 941 stores, revenue totaling $31 billion, and a market cap of $21 billion. In 2005, Best Buy had adopted a new business model, culture, and customer-segmentation template called Customer Centricity. This move created volatility in the price of Best Buy stock because of the higher-than-expected employee costs that went with this new way of doing business and the difficulty of executing the old and the new business models simultaneously while the new model was rolled out. Best Buy responded to Wall Street's short-term focus in a myriad of ways. It first asked for investor patience, and stressed the strong operating results achieved in Best Buy stores operating under the new model. But in June 2007, after the stock dropped again, the CEO knew he had to decide whether to open more Best Buy stores, increase the company's dividend, or increase the stock-repurchase program.
0
Get Ahead in Class

Clear, Complete, and Concise: Avoiding t...
Lipson, Marc L.

Business Valuation in Mergers and Acquis...
Schill, Michael J....

A Brief Introduction to Macroeconomics
Murphy, Daniel

Moral Theory, Frameworks, and the Langua...
Wicks, Andrew C.; ...

Three Empirical Methods for Calculating ...
Zhang, Zhihao; Whi...

The Basics of Multivariate Regressions i...
Batova, Tatiana

Advanced Tableau Tips and Tricks
Palomba, Anthony

Digital Marketing Metrics: Measuring Wha...
Venkatesan, Rajkum...

Disruption, Response, and Transformation...
Chen, Ming-Jer; Mc...

Using AI to Expand Your Leadership Commu...
Murray, Meghan

Understanding Organizational Culture: An...
Martin, Sean; Kemp...

A Brief Introduction to Managerial Accou...
Lynch, Luann J.

How to Prototype a Prototype
Chao, Raul O.

The Strategist’s Toolkit
Lenox, Michael; Ha...

Finance People
Schill, Michael J.