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Essay / Best Buy in China - 1258
Since the publication of the case, Best Buy has continued to be innovative and creative in building its relationships with its consumers. According to Best Buy's website (2013), they added a Windows store that allows customers to gain knowledge and test Windows devices. This shows their increased commitment to creating the customer experience. Despite all the changes and dedication they have shown to their consumers, Best Buy has already closed all nine Best Buy stores it established in China (CNBC, 2011). However, Lee (2013) mentions that the CEO of Best Buy stated that it would maintain its operations in China under the Five Star brand. Best Buy has a unique perspective on their business and technology because they pride themselves on educating their customers. As mentioned by Spenner and Freeman (2012), customers want simplicity and need to be able to make informed decisions. By educating customers about the products and teaching them how to use them, Best Buy could actually increase the chances that the customer will purchase the product because they trust it and Best Buy. This is how Best Buy currently does business. Based on this, employees are paid by the hour rather than commission, so they don't have to make hard sells, which can be a negative for many customers. Centricity, Best Buy's tailoring of its stores for targeted customers, is also a great concept (Chandrasekhar, 2009). This makes the highest profit generating customers feel comfortable and encourages spending in a more relaxed environment. As Chandrasekhar (2009) mentions, Best Buy controls its advertising at the corporate level. While this can be beneficial for consistency, it may limit their potential in markets if a local store or another country...... middle of paper ......hy Best Buy failed in China. Retrieved from http://www.cnbc.com/id/41882157Lee, T. (August 2, 2013). Best Buy CEO says company will stay in China. Retrieved from http://www.startribune.com/business/218123261.htmlSpenner, P. and Freeman, K. (2012). To keep your customers, keep it simple. Harvard Business Review, 90(5), 108-114. Chandrasekhar, R. (2009). Best Buy Inc. – Dual brand in China. Batra, R., Ahuvia, A. and Bagozzi, R. (2012). Love of the brand. Journal of Marketing, 76(2), 1-16. Magloff, L. (2013). The benefits of keeping an existing business name. Retrieved from http://smallbusiness.chron.com/advantages-keeping-existing-business-name-22477.htmlWarden, C.A., Stanworth, J., Chen, J.F., and Chi-Tsun Huang, S. (2012). Strangers in strange lands: Hypermarkets and the misalignment of Chinese consumer culture. International Journal of Market Research, 54(6), 799-820.