Best Buy Case Study Write Up Essay

1. How does Best misdirect define lymph gland centricity?The idea behind guest centricity was to be the clients smart friend and give a full solution. The sales the great unwashed stand by the customers and try to find what they really take and what they want. The opposite of this would be product centricity. At this time the electronics were getting easier to use, their interaction required specific knowledge that only a fraction of the client base possessed. In this situation, the used to be advantage of best defile disappeared, and the attach to tested the first version of customer-centricity by setting up 12 laboratory stores and then rolling out tested concepts in 32 pilot stores.The test were successful very successful. Best demoralize changed its sections from products such as MP3, TV, or PC to customers interchangeable Barry. All these declare customers more convenient to shop in the store. Compared to the other stores, Best taint did not focus on brands but usag e. The sales person neer asked what do you want to buy, but rather ask what you want to do. In launching customer centricity, Anderson used an autocratic set of power tools and expect swift support from his top team to execute his vision.2. Is node-Centricity the same as customer goods?No, the customer-Centricity is not the same as customer service. The distinction is that they can contour their sales and service pitch to each person after they know which category that they fall into. They know from past company stastistics and knowledge about the different types and what their shopping style is like. Customer service is about trying to sell your existing products. The case states as well as that customer service may be in response to its competitors, and not its customers. Customer centricity mainly focuses on research of customers buying power, purchase preference and customer behavior. It is based on the research that Best deal has gathered everywhere time. From here, the company can redesign its products, and develop a new trade strategy and give more suitable service.3. How does it relate to Consumer behavior?Chapter 10 touches upon things that could be related to consumer behavior. In store decision making duologue about spontaneous shopping which is unplanned buying and impulse buying. excite of purchase stimuli is product display or demonstration that draws attention. The salesperson also can create exchange process. This involves technical friendships. This is basically what customer centricity is about, forming commercial friendships. Chapter 10 also talks post purchase satisfaction which is the general feeling about a product after some single has purchased it.Chapter 13 discusses income and social class and this is directly correlated to the customer centricity model. The model puts mickle in different classes. They were Jill, Barry, angles and devils. Chapter 13 goes into detail and talks about how people can be put in classes based o n income, education, age, religion, gender, hardly like Best procure put these four people into classes to segment them. Best Buy, in essence, used consumer behavior to classify these people.4. Finally, do you check into with this new strategy for Best Buy? What is its impact on the monetary performance? We think that it was a good idea for Best Buy to implement this. It has worked financially and it seemed to have made the company more profitable. From look at the financials from 2002 to 2004, it appears as though the strategy seems to be working. Best Buy remains at the top of the list for Consumer electronics companies in the United States. Its tax income was 49.7 billion dollars in 2010, which is 18% of North American market share. In the last 5 years, it keeps 25% of gross profit growth. It seemed like it was cognise that Wal Mart would catch Best Buy as the number one store at that time, but I think this was because of different reasons, like its building of so many new stores and supply chain capability.