Consumer electronics retailer Ultimate Electronics
Companies like Ultimate Electronics hope to find a niche just above "mass-market" Circuit City
It's a game strategy: Apart from Best Buy and Circuit City, you have also to contend with Wal-Mart
The company, for its part, is battling. Like Tweeter and Good Guys, it's out of the PC business -- probably a good long-term move. Moreover, among the problems cited in its Q3 release, difficulty integrating new computer systems, which hurt sales, will almost certainly disappear in future quarters. The main challenge now, however, won't: Going into the key holiday season, Ultimate Electronics must spend to get store traffic and build its brand as it expands.
But, that's the plan. (Earlier this year, the company further bolstered its name by announcing plans to rebrand its seven-store Audio King operation, based in Minneapolis, with its corporate banner -- ending a nearly 50-year tradition.) Till, while customers may root for upstarts like Ultimate Electronics, the marketplace is making things difficult.
Dave Marino-Nachison can be reached at email@example.com.