For over 40 years, Best Buy has been one of the world’s largest multi-channel consumer electronics retailers with stores in every single state and even outside the U.S. territory. The multi-national retailer of technology products which includes tablets, computers, televisions, mobile phones and appliances among others, operates two reportable segments; Domestic and International. The Domestic segment is (comprised---in charge??) of the operations in all states, districts and territories of the U.S. while The International segment includes Canada, China, Mexico operations all of which operate under the brand names Best Buy, Best Buy Express and Geek Squad.
Today, this international company faces new challenges that include not only large competitors but also risk business factors such as government policies and corporate social responsibility. In their latest annual report Best Buy identified strong competition as its primary risk factor due to the high number of local, regional, national and international retailers, as well as certain of our vendors who offer their products directly to consumers. Failure to protect the integrity and of important data could also expose us to litigation costs and consequently damage relationship with their customer.
Because of the presence of Best Buy in foreign countries, many of its activities must be closely monitored since these may bring risks associated with the legislative, accounting and economic factors specific to the countries in which they operate.
Unfortunately for Best Buy, the retail industry continues to experience a trend toward an increase in Internet sales; thought this may sound favorable but instead it can impact the business negatively. In order to counteract this, the company offers competitive prices. Tax laws that don’t required internet-only businesses to collect and remit sales taxes in all U.S. states, represent a strategy with superior levels of customer service, this utilizes a multi-channel...