Why is radio shack going out of business

WHY IS RADIO SHACK GOING OUT OF BUSINESS FULL

But if I'm a consumer who shops at Target, Walmart, or Amazon, it's highly unlikely I'm going to go to Radio Shack for anything. If I only have to go to one place to get everything I need, why wouldn't I shop there? It doesn't make sense for me to drive to two or three different places just to go shopping unless I'm looking for something very specific. This not only saves them time and money, it saves gas. They can go to neighborhood stores like Walmart or Target, or buy the things they need online and have it shipped to their houses for free.

WHY IS RADIO SHACK GOING OUT OF BUSINESS FULL

In a world full of coupon websites like Groupon and Dealslands, the majority of individuals don't have to shop at a specialty store. Why buy that toy from Radio Shack when you can get it from a brand that you know and trust? That same toy is available at Walmart for $79 and on Amazon for a similar price (as of this writing). A perfect example is a Star Wars toy going for $99 on sale on Radio Shack's website. In order to stay afloat, Radio Shack decided to offer its merchandise for at least double what its competitors were offering. But if they would simply broaden their horizon and dip their toes into something new, they may find the strength to carry on.

We're not asking Radio Shack to go into something like poultry equipment or healthcare software. In the end, a small store like Radio Shack that is narrowly focused on specialty electronics - like drones and cables - can't successfully compete with stores that offer almost everything you can think of. The Walmart brand also encompasses clothes, food, shoes and accessories under many different brand names. So even if its electronics are cheap, it can make up the money lost through its auto, eyeglass or hairstylist departments. It can make up for its sales in other areas. It's also why it can afford to slash its prices like crazy. Walmart sells quite literally everything you can think of, which is exactly why its biggest competitor is Amazon. The same can be said of Walmart, with the caveat that they specialize in everything from baby diapers to fish bait. Regular sales prices and items you can't get anywhere else help them stay afloat. This helps them to appeal to a broader audience of people. That's because its focus was far too narrow.Р”В«est Buy only sells electronics, but those electronics include appliances, musical instruments, and gaming consoles. Once Best Buy, Walmart, and Amazon started dominating, RadioР’В Shack began to lose billions in sales. RadioР’В Shack got used to selling its electronics at a rate that was profitable for them - and expensive for others. The fact is, Radio Shacks competitors were far, far ahead of them in terms of products and pricing. But that, alone, wasn't going to save the failing brand. It was also one of the first stores to establish the 'store within a store' technique. It moved into the satellite, cable and cell phone space rather quickly. To its credit, Radio Shack did try to keep up with its competitors. It is GWO that is filing the bankruptcy this time, which is why Radio Shack can file bankruptcy twice in two years they're operating under a different company name so the seven to 10-year restriction doesn't apply to them. It is important to note that the first time Radio Shack filed bankruptcy, they were bought by General Wireless Operations. Then Amazon popped up, destroying any chance of it ever recovering. But after the year 2000, things began to go horribly wrong for them.Р”Р„side from a string of disastrous business decisions that made it vulnerable to its competitors (including partnering with Sprint), places like Best Buy and Walmart began to push the store out of its own niche.

Why is radio shack going out of business