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Best Buy

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Best Buy Co.,Inc: Sustainable Customer Centricity Model

Case Study Review

Siddarth Anney
ID: 573413

Submitted on
10/31/2013

Sound of music, which is known as Best Buy now, is a retail store of consumer electronics having 24 locations with 1,100 stores in US. Best buy adopted the strategy of "Customer Centricity Model" and converting all its stores to adopt Centricity Model is a big task and cost effective.

The Centricity Model changed the way how the sales associates worked that is from bringing more sales to understanding customers and answering to their queries. This involved training of sales associates about the products and services that best buy offers. Unlike Walmart's strategy of low-price, Best buy's strategy was service oriented, which made them different from their competitors.

Best buy started to expand its market and differentiate its products through acquisitions, It took advantage of its economies of scale, for example Magnolia Hi-Fi inc provided home theater systems and for the installation it took help of geek squad. Best buy expanded its network internationally too by acquisition of Future Shop in Canada and Jiangsu five star appliances in China.

The American customer satisfaction index shows that best buy increased its numbers from 2001 to 2012 (acsi,2013) telling us that best buy has good customer satisfaction through out the years.

Best buy though was good in customer satisfaction but had certain complaints from customers and has even suffered from various law suits, One was regarding extended warranty of best buy and hiding the warranty of the manufacturer, which was found less(Civil Justice report,2001). I personally had the experience of the price warranty provided by best buy when compared to other companies like square-trade, which is popular in amazon and eBay, where the

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