Traditional consumer electronics retailers are struggling. Best Buy's quarterly earnings, released yesterday, were significantly below last year's as a result of declining same store sales, lower gross margins and higher expenses. Radio Shack announced, in October, a quarterly loss of $47 million, compared to a slight profit the year before.
At the same time online retailers are flourishing. Amazon announced its quarterly sales were up 30% and its operating cash flow was up 8% to $3.4 billion for the trailing 12 months. While Amazon lost a small amount of money
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Best Buy Slide Continues As Company Posts Loss
November 20, 2012
Best Buy Tuesday reported another week quarter, posting a $10 million loss, compared with a $156 million profit for the same period a year before. Same-store sales dropped 4.3 percent.
Best Buy, AIG Renew Warranty Deal
November 16, 2012
Best Buy and the American International Group (AIG) agreed to a multi-year renewal this week of their Geek Squad Protection Agreement. AIG's Warranty Division remains the exclusive service provider of Best Buy's Geek Squad Protection Plans.