Best Buy



Best Buy

Background

Best Buy Co., Inc. is a US based retail company for electronic items. In 2009, Best Buy became the largest electronic company of retail stores (Borghesi et.al 2005).

The main strategy on which they focus is quality in terms of their products and services after the selling of the product. In 2011, after one quarter they earn the highest revenues and profits for their company in USA.

Products and Services

Best Buy is also a retailer of cellular phones with phones from Verizon Wireless, AT&T Wireless, Sprint PCS, and T-Mobile. Best Buy also has standalone Best Buy Mobile stores in shopping malls that sell a subset of products carried at the larger stores (Borghesi et.al 2005). They also focus on the digital products like video games and all.

Markets

Best Buy initiate their business from United States and now they are dealing in several different regions of the world like Puerto Rico, Mexico, Canada and China. Best Buy has the subsidiaries includes Geek Squad, Cinema Now, Magnolia Audio Video, Pacific Sales, and, in Canada (Vomhof 2009).

The Electronic Market does not change the legal and commercial rules that characterize the process of purchasing PA. It is a tool to broaden the base of suppliers, comparing and contrasting several tenders in a transparent manner by reducing the time and cost of the purchase process. A process that takes place in accordance with the principles of transparency and simplification of procedures, equal treatment and non-discrimination and the laws and regulations regarding procurement. The process is simplified because the Administration access a list of suppliers who approves, place orders online or instant quotation requests involving multiple providers.

Supply Chain Strategies

Supply chain in Best Buy process integration entails collaborative work among buyers and suppliers, joint product development, common systems and information sharing. Operating an integrated supply chain requires continuous information flows, which in turn assist to achieve the best product flows. As a Best Buy philosophy, Supply chain management (SCM) is a systems approach that involves assembling a team of upstream (suppliers) and downstream (distributors and end users) partners with a common goal of satisfying a particular customer value or set of values (Smith et al 2001). This outlook recognizes the interdependency of team members and attempts to foster a cooperative effort that will ultimately give the team a competitive advantage in the market place.

SCM differs from earlier management philosophies in that it necessarily involves establishing sufficiently trustful relationships with the members of the chain to warrant involving them in strategic decisions (Vomhof 2009). Companies may be involved in multiple supply chains and function in different roles (e.g., partner, supplier, or customer) at any given time.

As a guiding management philosophy and implementation technique, SCM is particularly attractive to socially and environmentally responsible businesses, as it gives assurance that standards set to support social welfare and environmental sustainability are being met throughout the life cycle of any given product.

SCM provides a platform for making significant improvements in logistics performance along the supply ...