RadioShack stopped being relevant about 12 years ago. Their then-CEO, Mr. "fudged my credentials" dude had a master plan to sell wireless phones to everyone. Problem is, it's 2013, the market is saturated. You can buy a phone anywhere, and for much less- without the used car sleaze that RadioShaft is famous for. They scaled down their hobby electronics to become a "Best Buy on every corner" and it was another epic corporate failure. I am amazed there is still gas left in the bus.
Then there's the problem facing all retailers, showrooming. Radio Shack, like any other big box/small box, has high overhead (rent, lights, employees, etc) and they can't compete with Amazon.com. Yet, how many of you have trotted over to Best Buy or RS and spent time examining a product, even asking the employees questions, only to go home (or even whip out your smartphone) only to buy it online for 20, even 30 or 40 percent less from (insert URL here).com?
This problem isn't going away. Retailers like RS, BB, etc cannot afford to operate hundreds of showrooms just to assist their online competition boost sales! When you add the lack of customer service you experience in some of these retailers, combined with the lack of availability and price point, it's easy to see where this is gonna end up.
I personally LIKE going to retail and don't mind paying slightly more for being able to "get it now", and if it doesn't work, I can just bring it back for an instant on hand exchange or refund. You can never do that with Amazon, free shipping is great- but waiting days or a week turnaround isn't acceptable when you need it/want it NOW. And being able to test, try it and such before you buy is essential- especially with clothes!
I think RadioShack is gonna have to cut way more than 500 stores. And I think expanding it to "how it used to be" is not going to happen, I mean, how many scanners or ham radios will a given location sell during a week versus cell phones and overpriced accessories? And most of us wouldn't shop there anyway, we'd just buy the same Chinese made connectors and parts online with "free e-packet delivery from China" for pennies on the dollar.
Their future is grim. Next inline to be added to the wall of retail history: Best Buy.
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