Verified Document

Best Buy SWOT Analysis Best Thesis

"Bricks-and-mortar" vs. "clicks-and-mortar": An equilibrium analysis. " European Journal of Operational Research 187.3 (2008): 671. Bala Chakravarthy, Peter Lorange. "Continuous renewal, and how Best Buy did it. " Strategy & Leadership 35.6 (2007): 4-11.

Elizabeth Gibson, Andy Billings. "Best practices at Best Buy: a turnaround strategy " The Journal of Business Strategy 24.6 (2003): 10-16.

Erik Gruenwedel. "Best Buy Q4 Sales Grow, Profit Dips. " Home Media Magazine 30 Mar. 2009: 3.

James B. Kohnen "Big Change at Best Buy: Working Through Hypergrowth to Sustained Excellence." The Quality Management Journal 11.3 (2004): 69.

Bill Stopper. "Best Buy: Customer-Centric Innovation" HR. Human Resource Planning 29.3 (2006): 34-36

Greg Todd. "Retailers Using Analytics are Outperforming Rivals. " DM Review 18.6 (2008): 35.

Appendix

Table 1: Best Buy Income Statement Analysis

(2005 -- 2009)

2/28/2009

3/1/2008

3/3/2007

2/25/2006

2/26/2005

Revenue

$45,015,000

$40,023,000

$35,934,000

$30,848,000

$27,433,000

Cost of goods sold

$34,017,000

$30,477,000

$27,165,000

$23,122,000

$20,938,000

Gross profit

$10,998,000

$9,546,000

$8,769,000

$7,726,000

$6,495,000

Selling, general & administrative expenses

$8,984,000

$7,385,000

$6,770,000

$6,082,000

$5,053,000

Restructuring charges

$78,000

Goodwill & tradename impairment

$66,000

Operating income (loss)

$1,870,000

$2,161,000

$1,999,000

$1,644,000

$1,442,000

Investment income & other

$35,000

$129,000

Investment impairment

$111,000

Interest income

$142,000

$103,000

$45,000

Interest expense

$31,000

$30,000

$44,000

Dividend income

$4,000

Total interest income (expense)

$1,000

Net interest income (expense)

$111,000

$77,000

$1,000

Interest expense

$94,000

$62,000

Gain on investments

$20,000

Net earnings (loss)

$1,003,000

$1,407,000

$1,377,000

$1,140,000

$984,000

Total number of employees

155,000

150,000

140,000

128,000

Financial Ratio Analysis
(2005 -- 2009)

Profitability Ratios

2/28/2009

3/1/2008

3/3/2007

2/25/2006

2/26/2005

ROA % (Net)

7.04

10.72

10.65

10.32

10.42

ROE % (Net)

22.04

26.41

23.65

23.56

25.07

ROI % (Operating)

31.5

35.67

30.96

30.24

31.03

EBITDA Margin %

5.75

7.17

7.04

6.81

6.93

Calculated Tax Rate %

39.65

36.58

35.31

33.76

35.27

Revenue per Employee

$291,217

$267,553

$252,520

$241,662

$252,370

Liquidity Indicators

Quick Ratio

0.28

0.29

0.28

0.2

0.17

Current Ratio

0.97

1.08

1.44

1.32

1.39

Net Current Assets % TA

-1.54

4.49

20.49

16.26

18.88

Debt Management

LT Debt to Equity

0.24

0.14

0.1

0.03

0.12

Total Debt to Equity

0.42

0.18

0.1

0.11

0.13

Interest Coverage

19.89

34.85

Asset Management

Total Asset Turnover

3.16

3.05

2.78

2.79

2.9

Receivables Turnover

37.35

73.17

67.08

70.22

76.62

Inventory Turnover

9.54

9.19

9.6

10

10.08

Accounts Payable Turnover

9.71

9.75

9.86

10.21

10.27

Accrued Expenses Turnover

23.3

22.53

18.87

17.24

18.64

Property Plant & Equip Turnover

12.07

12.85

12.51

11.95

11.69

Cash & Equivalents Turnover

46.63

30.37

37.49

53.75

17.92

Cash Flow per Share

4.56

4.62

3.6

3.47

3.78

Book Value per Share

Sources used in this document:
References

Fernando Bernstein, Jing-Sheng Song, Xiaona Zheng. "Bricks-and-mortar" vs. "clicks-and-mortar": An equilibrium analysis. " European Journal of Operational Research 187.3 (2008): 671.

Bala Chakravarthy, Peter Lorange. "Continuous renewal, and how Best Buy did it. " Strategy & Leadership 35.6 (2007): 4-11.

Elizabeth Gibson, Andy Billings. "Best practices at Best Buy: a turnaround strategy " The Journal of Business Strategy 24.6 (2003): 10-16.

Erik Gruenwedel. "Best Buy Q4 Sales Grow, Profit Dips. " Home Media Magazine 30 Mar. 2009: 3.
Cite this Document:
Copy Bibliography Citation

Related Documents

Other Cultures Xenophobia and Understanding
Words: 954 Length: 3 Document Type: Essay

The world is more interconnected now than ever before, both with technological tools and also with population migrations that are occurring on an unprecedented scale. People who grow up in pluralistic, heterogeneous societies like the United States, India, or Canada take cultural diversity for granted. However, many people around the world live in homogenous societies with little contact with other cultures other than through what they read about or see

Other Disciplines Relate to Nursing
Words: 726 Length: 3 Document Type: A-Level Outline Answer

Nurse How to gain a comprehensive and well-founded knowledge of nursing as a student? As a student, it is important to keep an open mind when gathering knowledge of this profession. This attitude is most important in my opinion because of the continual changes the medicine world offers on a fairly regular basis. New treatments and new ailments arise consistently and it is up to a nurse's education to guide this process

Other Wind by Ursula K. Le Guin
Words: 1267 Length: 4 Document Type: Term Paper

Wind -- Science Fiction for Adults, a Drama of the Human Heart and Mind rather than Light-Sabers Ursula Le Guin, the Modern Female Conscience of Science Fiction Ursula Le Guin is one of the most highly respected authors of fantasy and science fiction of the 20th century. The award-winning Le Guin has long been praised for combining traditional elements of literary fiction, science fiction; with philosophical and ethical speculations on ways

Media in Other Countries Many
Words: 1295 Length: 4 Document Type: Essay

In the Arab world, it can get that woman killed…literally. That is not to say that is the norm, but it's a commonly discussed and accepted precept with much (but notably not all) of the Arab sphere. Similarly, honor killings are considered acceptable, even with some people that have immigrated to countries that consider it cold-blooded murder. As for whether anything has changed in the recent past that might change

Engagement Phase Examination of Self and Others
Words: 1505 Length: 5 Document Type: Term Paper

Self and Others The term engagement has been defined as being actively involved in, a part of. When applied in a social work context, the same definition holds true. For a client to be engaged it means they must be actively involved in and a part of the process from the beginning until the very end. The National Association of Social Worker's Code of Ethics bespeaks the importance of client

Humanities and Other Modes of Human Inquiry
Words: 1118 Length: 3 Document Type: Essay

Humanities and Other Modes of Human Inquiry and Expression • Define the term humanities Humanities are a term that encompasses many individual study and sciences. There can be a two way classification of all human knowledge. First is the knowledge of the space around us, but not directly linked to humans. For example, the study of physics, botany or astronomy does not involve expressions from human emotion and nor do they reflect

Sign Up for Unlimited Study Help

Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.

Get Started Now