1. Compared Analyze between Best Buy and Circuit City
Presented by:
Jodie Darnell
Heidi Elmore
Shaun Shauh
Ivan Lee

2. Circuit City
10 year Income
                                                                                    
Best Buy
10 year Income

3. Income Statement Income Statement
Best Buy’s Circuit City’s
Income Statement Income Statement
Rev , , , , , , , ,791.5
COGS 8, , , , , , , ,049.8
GP , , , , , , , ,741.7
Rev , , , , , , , ,597.7
COGS 15, , , , , , , ,766.8
GP , , , , , , , ,830.9
TTM TTM
Rev 35, , , , , ,306.7
COGS 27, , , , , ,999.7
GP , , , , , ,307

4. Best Buy’s Inventory based on the Balance Sheet
Inventory 1, , , , , , ,815
Latest Qtr
Inventory 3, , , ,105
Circuit City’s Inventory based on the Balance Sheet
Inventory 1, , , , , ,459.5
Latest Qtr
Inventory 1, , , ,508.9

5. Best Buy’s Debts based on the Balance Sheet (amount in millions)
Short-Term
Latest Qtr
,554
Long-Term
Latest Qtr
, ,136
Circuit City’s Debts based on the Balance Sheet (amount in millions)
Short-Term
Long-Term

6. Main Facts Circuit City filed for bankruptcy on Nov. 10
Bad Economy to blame
Circuit City lost $239 million in late September
Laid off highest-paid hourly employees, but CEO of Circuit City received $7 million in compensation

7. Why Best Buy Succeed? Why Circuit City Failed?
* Leader in electronic research * Net margin never space seceded over 2 %
* Increase market share and bargaining * In bad locations
power for suppliers
* Poor employee
* Management has approved training to be affective

8. Advantages Best Buy has over Circuit City
Geek Squad
Invest in training for employees
Give customers value and not only in low prices.

9. Disadvantages Circuit City has over Best Buy
Focused on discounts and cost-cutting
Selling site only
Do not focus as much on the customers as they do lowering their prices