Best Buy Is Building a High-Tech Flea Market

When Best Buy (NYSE: BBY  ) launched Apple-branded (NASDAQ: AAPL  ) mini-stores within hundreds of its big-box stores, it was a genius move for both partners. Apple gained low-cost market reach as an alternative to diluting its high-quality Apple Store brand. Best Buy got its hands on Apple's premium gadgetry, with the added bonus of perhaps selling a TV or some CDs to iDevice fans.

Then Samsung joined the store-within-a-store concept. Okay, the two leading names in mobility duke it out under one roof. Fair enough, I suppose.

But Best Buy didn't want to stop there. Now Microsoft (NASDAQ: MSFT  )  is joining the party with about 500 Best Buy-hosted mini stores. Redmond will provide properly trained salespeople, Best Buy provides the floor space, and everybody wins.

Right?

Well, maybe not. In the video below, Fool contributor Anders Bylund explains why he thinks that Best Buy is stretching the mini-store concept one step too far. In short, Best Buy is likely to confuse customers and dilute the very idea of running mini-stores.

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  • Report this Comment On June 20, 2013, at 9:44 AM, carmelom wrote:

    BBY is just a sinking ship....How can anyone even think about buying these shares. They are just becoming a mini-mall. MSFT, Samsung, AAPL are just using their space for showrooming......give me a break people. What is BBY going to sell next. Their workers are a total lost. I haven't gone in BBY since Christmas.....AMZN delivers everything to your house at a low price. Their costumer service is far superior. Have you ever tried to call BBY???

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