Best Buy Store Closings - Target 50 Locations Throughout U.S
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Best Buy Store Closings - Target 50 Locations Throughout U.S

Best Buy store closures will affect 50 locations throughout the United States. The big-box stores have fell below average performance and profit for the company has dwindled. Which 50 Best Buy stores will be included on the list of closures? Employees of a Connecticut speculate which ones are being closed and five others have been announced to close.

On Thursday Best Buy announced it was closing 50 box-stores and cutting 400 jobs in an effort to free up $250 million this year. The big-box store concept is slowly phasing out as online retail giants such as are taking over. By cutting jobs and closing various stores throughout the United States, the company will fund store remodeling, train and offer customer service incentives to its employees, and give customers lower prices and extra perks. A list of locations for the 50 Best Buy closures is pending.

In closing the stores, Best Buy will open 100 Mobile stores to better serve customers.

It's known that two Connecticut stores and one in San Antonio, Texas will be expanded. Twin Cities stores in Minneapolis and St. Paul, Minnesota will be part of a large test Best Buy is calling their new "connected store." This new format is a strategy to emphasize services in technology support and wireless connections. In a sense, it's a large hub where the company can assist shoppers and make pickup up items ordered online more efficient.

Employees at a Connecticut store speculated that big-box stores in the South and Mid-West are the ones most likely to be on the closures list. Best Buy announced in an email statement that they are trying to be as thoughtful about their actions as possible. As stores are notified news will come out which ones are closing. As for the job losses, it's also speculated that high-level employees will be the ones let go and if they can't find work within the company, they will receive "severance packages."

Sales of TV, digital cameras, and game consoles have gone down while items that sell such as computer tablets, smartphones, and other electronics are going up. One report added that shoppers would visit their local Best Buy to check out items they wanted to buy online and actually make the purchase from their cell phones within the store. So, the big-box stores assisted as being a "showroom" for their products.

At the end of December it was announced Sears was closing up to 120 stores nationwide. Now Best Buy is the latest to close out their stores. There are 1,900 stores in the United States and about 2,500 globally.

Best Buy had a $1.7 billion loss on their their 4th quarter earnings report. By closing 50 locations in the U.S., they hope to reduce costs by $800 million.

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Comments (7)

Wonder how much they would save if their CEO and top management took pay cuts instead of closing stores...

Wonder how much they would save if their CEO and top management took pay cuts instead of closing stores...

Best Buy carries a ton of unbelievably popular stuff, like large plasma televisions and iPhones, but the company is hemorrhaging cash. Best Buy has publicized a round of layoffs and store closures as the chain looks to shave $800 million from the bottom line. You may also read more: Best Buy publicizes shop closures after posting huge loss

For some people, they are glad for the closure because they are not happy with the services that Best Buy offers. But I am more concern on the workers that will be unemployed because of the closure.

Wow...this is not good news for employees who work at the stores that are closing.  Actually, I'm surprised...seems Best Buy was making good profits.  I remember when Circut City, Best Buy's competitor, slowly started closing stores...then went out of business altogether.  Thanks for the information.

I side with Brenda!! My boyfriend loves Best Buy, so I am sure this news will disappoint him.

that is awful, but you know they bought zellers in canada and are opening here

Sadly, there will be a lot more of this to come with all the Federal regulations and the Affordable Health Care Act.  And, Brenda I understand what you're saying, but those pay cuts could never amount to enough to keep 50 retail stores open and all the employees working.  If you ever ran a business you would understand how our government is strangling the life out of the free market.