Circuit City seems to have a problem paying their bills or so it seems, as Sony stopped their shipments mid-transit and returned them before hitting the distributors command center. In this unfavorable market climate, with the holidays around the corner, it seems bad for Circuit City to lose the trust of Sony.
Sony is afraid, “Circuit City couldn’t pay for the shipments” so the merchandise was turned around and returned home. Considering Sony, more than likely, wouldn’t have shipped the products to start with unless Circuit City was in good standing suggests things might have been “learned” after the shipment left the docks.
Circuit City’s been in some bad situations before, having a rough time dealing with competition in a very low margin, high volume, world of electronic retail. I’ve witnessed CompUSA disappear after the local Best Buy moved in and now Best Buy sits about 80 yards from Circuit City.
This is unfortunate because Best Buy can use some competition before they take over the bulk of this industry leaving only Wal*Mart and a few smaller stores to keep them in check. Considering I just purchased a 2-year warranty on my Rock Band 2 drum kit at Circuit City I’m fearing I’ll have to break the hardware sooner than later!
(Thanks, Gizmodo)
Why release a single block buster game with a two week pop when you can simply lower the price of your console and boost sales by 100%? That’s a question Sony may be asking themselves right now, as Metal Gear Solid 4‘s hype may have lasted years but the sales and console unit sale boots lasted a month.
Now that Activision has merged up with Blizzard all under Vivendi it’s time to consider what to do with all the additional overhead, management, internal studios and sheer amount of people working on projects within their organization. In other words, it’s time to trim the fat and get leaned out for the long haul.
6 Circuit Cities closed in the Bay Area the other day. Warning sign.
6 Circuit Cities closed in the Bay Area the other day. Warning sign.