billddrummer

Red Friday: Coming to a Mall Near You

Excellent article.

As a worker in retail and student of the markets, it's true that there are far more shopping options than there were just a few years ago.

Having said that, the stronger retail players will continue to survive, but the landscape has permanently changed. Those companies with good retail locations, well-trained staff, an attractive mix of products and services, and the perception that real value exists when shopping, will combine to make them survivors.

The key to me is innovation. A company must continually evaluate its systems, products, processes, and execution strategies to determine the best way to attract and keep new customers. If it doesn't do that continually, it becomes a casualty of hard times.

I think that BBY fits that defiinition. I recognize that the discretionary retail sector is a place to shy away from now, but after the economy heals itself (which may take years), BBY may become the WMT of the CE industry. Not that there won't be other retailers selling CE products, but that the company will continue to cement customer relationships and market share in one of the most competitive, most challenging retail sectors.