Circuit City is a company that didn't do what they needed to meet market needs or adapt to the constant changes. That said, Best Buy has their own set of challenges. They changed their strategy a while back and it seems to be backfiring on them. What would you do differently?
What happens to companies who enter markets without doing their due diligence with respect to language, culture, and religion? Other than McDonalds, do you have any examples of companies who have done a poor job at this and failed?
1. Each of these companies stopped doing what their core competencies said they do best. The companies no longer provided good quality products at prices that were reasonable and service that is outstanding. When companies attempt to compete in industries such as electronics, they have competition from those who provide only top of the line products, quality products for those with some disposable incomes, and those with limited income that need electronics to stay in the real world. Top of the line products are aimed at the people with large disposable incomes or needs for top quality products. Places like WalMart supply products for those with limited income, lower quality, but working. Limited capabilities as well are part of these products. Best Buy and Circuit City both supplied large varieties of name brand products at prices aimed at those in the middle. People could buy their televisions, stereos, ...
Companies considerations in language, culture and religion are analyzed. The expert determines what happens to companies who enter markets without doing their due diligence with respect to language, culture and religion.