Posted Tuesday, May 22, 2012, at 11:18 AM
CHICAGO, IL - APRIL 16: A person walks up to a shuttered Best Buy Store on April 16, 2012 in Chicago, Illinois.
Photo by Scott Olson/Getty Images
Best Buy's shares got a bounce this morning because profits came in "above expectations" but the numbers they released today still show falling earnings and reduced same-store sales even as the number of stores outstanding continues to fall.
Broadly speaking, this is all part of the large End of Retail trend. But I particularly endorse Farhad Manjoo's insight that Best Buy's give 'em the broadest possible selection approach to retailing is badly unsuited to the e-commerce age. The Internet is happy to give you all the options you want in terms of gadgets. A physical retailer could still add value by reducing search costs and offering friendly staff, but that implies slimming down the range of products and not just the number of stores.