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> Best Buy
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(New page: {{articleissues | citations missing = January 2009 | disputed = January 2009 }} An Internet kiosk with a [[touchscreen in Vienna, [[Austria...)
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{{Infobox Company |
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  company_name  = Best Buy Co., Inc. |
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  company_logo  = [[File:BestbuyNew.jpg|150px|Best Buy logo]] |
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  company_type  = [[Public company|Public]] ({{nyse|BBY}}) |
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  company_slogan = You, Happier. |
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  foundation    = 1966 |
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  location      = [[Image:Flag of the United States.svg|20px]] [[Richfield, Minnesota]] |
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  key_people    = [[Richard M. Schulze]], Founder & Chairman <br>[[Brad Anderson (executive)|Brad Anderson]], CEO & Vice Chairman <br>Brian J. Dunn, COO |
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  industry      = [[Retail]] |
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  products      = [[Consumer electronics]] |
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  homepage      = [http://www.bestbuy.com/ http://www.bestbuy.com] |
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  revenue        = {{profit}} [[United States dollar|US$]] 40,023 million|
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operating_income = {{profit}} [[United States dollar|US$]] 2,161 million|
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net_income      = {{profit}} [[United States dollar|US$]] 1,407 million|
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assets          = {{decrease}} [[United States dollar|US$]] 12,758 million |
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equity          = {{decrease}} [[United States dollar|US$]] 4,484  million<br />(financials for fiscal 2007)<ref name="2008 financials">[http://phx.corporate-ir.net/phoenix.zhtml?c=83192&p=IROL-secToc&TOC=aHR0cDovL2NjYm4uMTBrd2l6YXJkLmNvbS94bWwvY29udGVudHMueG1sP2lwYWdlPTU2MzA0ODcmcmVwbz10ZW5r&ListAll=1 Best Buy Co., Inc. Form 10-K Filed April 30, 2008], Best Buy Co., Inc., April 30, 2008.</ref>|
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  num_employees  = 150,000 (''2008'')|
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| citations missing = January 2009
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}}
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| disputed = January 2009
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[[Image:Bestbuystore.jpg|thumb|right|250px|Best Buy is sometimes called the "big blue box" because of the prominent design on Best Buy stores. This store is located in [[East Palo Alto, California]].]]
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'''Best Buy Co., Inc.''' ({{nyse|BBY}}) is a [[Fortune 500]] company and the largest specialty [[Retailing|retailer]] of [[consumer electronics]] in the [[United States]], [[Canada]], [[Mexico]], and [[China]], accounting for 21% of the market.<ref name="giantgamble">Boyle, Matthew. "[http://money.cnn.com/magazines/fortune/fortune_archive/2006/04/03/8373034/ Best Buy's Giant Gamble]." ''[[CNN]].'' [[March 29]], [[2006]]. Retrieved on [[November 28]], [[2006]].</ref> The company's subsidiaries include [[Geek Squad]], [[Magnolia Audio Video]], [[Pacific Sales]], and, in Canada the Best Buy Canada subsidiary operates most stores under the [[Future Shop]] label. Together these operate more than 1,150 stores in the [[United States]], [[Puerto Rico]], [[Canada]], [[China]], [[Mexico]] and [[Turkey]].<ref>Chris Serres "[http://www.startribune.com/535/story/991027.html Adaptation is key for Best Buy]" ''[[Star Tribune]].'' [[February 08]], [[2007]]. Retrieved on [[February 16]], [[2007]].</ref> The company's corporate headquarters are located in [[Richfield, Minnesota]], USA. On [[June 26]], [[2007]], Best Buy announced a 40% increase in its operations, with plans to operate more than 1,800 stores worldwide, including 1,400 Best Buy stores in the U.S.
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With the recent 50% acquisition of [[United Kingdom|UK]]-based mobile phone operation [[The Carphone Warehouse]]'s retail division, Best Buy announced that it would open branded superstores in the UK and other European countries.<ref name=carphone>{{cite web |url=http://news.bbc.co.uk/1/hi/business/7389291.stm |title= Carphone in £1.1bn US partnership |accessdate=2008-05-28 |publisher=BBC |date=2008-05-08 }}</ref> Best Buy will first open stores in the UK around the middle of 2009, with plans for up to 200 stores eventually; it is also considering purchasing UK rivals [[Kesa Electricals]] (owner of [[Comet Group plc|Comet]]), [[DSG International (retailer)|DSG International]] (owner of [[Currys]]), or both.<ref>{{cite web |url=http://www.forbes.com/markets/feeds/afx/2008/05/11/afx4994500.html |title=Best Buy may make offers for DSG International, Kesa - report |accessdate=2008-05-28 |last=Waller |first=Philip |publisher=Thomson Financial |date=2008-05-11 }}</ref> It is unknown whether these stores will rebrand if acquired by Best Buy. Best Buy is yet to reveal the location of the stores in UK. In total 20 locations are planned for 2009 which will all be [[big box]] format, however the company is looking for a flagship store in [[Central London]] in a prominent area such as [[Piccadilly Circus]], [[Oxford Street]] or [[Regent Street]].<ref>{{cite web|url=http://www.pcretailmag.com/news/30216/First-Best-Buy-stores-unveiled|title=First Best Buy stores unveiled|author=Ben Furfie|publisher=PCRetail|date=2008-07-21}}</ref><ref>{{cite web|url=http://www.thisismoney.co.uk/investing-and-markets/article.html?in_article_id=447620&in_page_id=3&position=moretopstories|title=Best Buy aims to shine in UK|author=Robert Lea|publisher=thisismoney.co.uk|date=2008-07-18}}</ref> See [[Best Buy UK]]
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[[Image:Internet kiosk.jpg|thumb|250px|An Internet kiosk with a [[touchscreen]] in [[Vienna]], [[Austria]] in 2007]]
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Best Buy was named "Company of the Year" by [[Forbes]] magazine in [[2004]],<ref>Tatge, Mark. "[http://www.forbes.com/free_forbes/2004/0112/138.html Fun & Games]." ''[[Forbes]].'' [[January 12]], [[2004]]. Retrieved on [[August 22]], [[2006]].</ref> "Specialty Retailer of the Decade" by Discount Store News in [[2001]],<ref>Staff Writer. "[http://www.findarticles.com/p/articles/mi_m0FNP/is_2_40/ai_70202157 DSN honors Best Buy with Specialty Retailer award]." ''Discount Store News.'' [[January 22]], [[2001]]. Retrieved on [[August 22]], [[2006]].</ref> ranked in the Top 10 of "America's Most Generous Corporations" by [[Forbes]] magazine,<ref>Moyer, Liz. "[http://www.forbes.com/personalfinance/philanthropy/2005/11/11/charities-corporations-giving-cx_lm_1114charity.html The Most Charitable Companies]." ''[[Forbes]].'' [[November 14]], [[2005]]. Retrieved on [[August 22]], [[2005]].</ref> and made [[Fortune (magazine)|Fortune]] Magazine's List of Most Admired Companies in [[2006]].<ref>Staff Writer. "[http://money.cnn.com/magazines/fortune/mostadmired/full_list/ America's Most Admired Companies 2006]." ''[[CNN]].'' Retrieved on [[August 22]], [[2006]].</ref>
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An '''Interactive kiosk''' is a [[computer terminal]] that provides information access via electronic methods. Most kiosks provide unattended access to web applications such as HR, Benefits, Informational and Loyalty.
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Early interation interactive kiosks sometimes resembled [[telephone booth]]s, but can also be used while sitting on a bench or chair.  Interactive kiosks are typically placed in high foot [[traffic]] settings such as hotel lobbies or [[airport]]s.  
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On [[January 16]] [[2009]], Best Buy became the only Nationwide Electronic Retail Store ([[Electronic commerce|online]] & [[bricks and mortar]]) in the United States, after the announcement from [[Circuit City]] Inc. of it failure to find a buyer and/or receive any credit. Circuit City announced it was filing for [[Chapter 7, Title 11, United States Code|Chapter 7]] ([[Going out of business]]) and would liquidate the company. [[Liquidator (law)|Liquidators]] took over the company stores<ref>http://www.breitbart.com/article.php?id=D95OBUM00&show_article=1&catnum=0</ref> on [[January 17]] [[2009]].    
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Integration of technology allows kiosks to perform a wide range of functions, evolving into [[self-service kiosk]]s. For example, kiosks may enable users to enter a [[public utility]] bill account number in order to perform an online transaction, or collect cash in exchange for merchandise. Customised components such as coin hoppers, [[bill acceptor]]s, card readers and [[thermal printer]]s enable kiosks to meet the owner's specialised needs.
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==History==
==History==
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The first self-service, interactive kiosk was developed in 1977 at the [[University of Illinois at Urbana-Champaign]] by a pre-med student, Murray Lappe. The content was created on the PLATO computer system, and accessible by plasma touch screen interface. The [[plasma display panel]] was invented at the [[University of Illinois at Urbana-Champaign]] by [[Donald L. Bitzer]]. Lappe's kiosk, called The Plato Hotline allowed students and visitors to find movies, maps, directories, bus schedules, extracurricular activities, courses and email student organizations. When it first debuted in the U of Illinois Student Union in April 1977, more than 30,000 students, teachers and visitors stood in line during its first 6 weeks, to try their hand at a "personal computer" for the first time. <ref name="Custom Kiosk : Arc Design Consulting">{{Cite web|url=http://www.arcdesignconsulting.com/custom-kiosk.php|title=Custom Kiosk|accessdate=2009-01-20|publisher=Arc Design}}</ref>
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{{Refimprove|date=December 2007}}
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[[Image:2008-1209-01-BestBuy5.jpg|thumb|250px|Best Buy #5, [[Edina, Minnesota]]: this was the fifth store ever constructed and retains the small size, old logos, and signage (including "Best Buy Co." and "Best Buy Superstore"); this location originally was a "Sound of Music".  Older stores have been demolished or completely renovated.]]
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*'''1966''' - [[Richard M. Schulze]] and business partner James Wheeler open '''Sound of Music''', an audio specialty store, in [[Saint Paul, Minnesota]]<ref name=fundinguniverse>{{cite web |url=http://www.fundinguniverse.com/company-histories/Best-Buy-Co-Inc-Company-History.html |title=Best Buy Co., Inc. Company History |accessdate=2008-05-14 |publisher=FundingUniverse.com }}</ref><ref name=spotlight>{{cite web |url=http://www.plainvanillashell.com/archivegrs.asp?id=977 |title=Global Retail Spotlight On: Best Buy Co., Inc. |accessdate=2008-05-15 |last=Stapleton |first=Steve |work=Global Retail Spotlight Archives |publisher=Trade Dimensions International, Inc. }}</ref>
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*'''1967''' – Sound of Music acquires Kencraft Hi-Fi Company and Bergo Company. Second and third Sound of Music stores are opened near the [[University of Minnesota]] and in downtown Minneapolis. The Sound of Music ends its first year with gross sales of $173,000(USD)
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*'''1969''' – Sound of Music stock first traded as publicly-held company; company enacts first employee stock option plan; three stores opened in the Twin Cities area
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*'''1970''' – Sound of Music hits the $1 million mark in annual revenues
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*'''1979''' – Sound of Music becomes the first suppliers of video and [[laserdisc]] equipment including [[Panasonic]], [[Magnavox]], [[Sony]] and [[Sharp Corporation|Sharp]]
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*'''1981''' – A tornado hits the [[Roseville, Minnesota]] store on [[June 14]]. Sound of Music responds with a "Tornado Sale," and it becomes an annual event
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*'''1983''' – Sound of Music’s board of directors approves a new corporate name: Best Buy Co., Inc.;<ref name=fundinguniverse /> opens first superstore in [[Burnsville, Minnesota]], featuring expanded selling space, a wide assortment of discounted brand-name goods, central service, and warehouse distribution; stores begin selling appliances and [[videocassette recorder]]s
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*'''1985''' – Best Buy (symbol BBY) debuts on the [[New York Stock Exchange]]<ref name=fundinguniverse /> with an offering of 8.3 million shares
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*'''1987''' – Best Buy’s brand [[logo]] changes to the yellow tag
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*'''1989''' – Best Buy unveils a new “grab-and-go” store format
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*'''1990''' – Best Buy eliminates commission for standalone sales people, but retains bonuses for management and supervisors
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*'''1992''' – Best Buy hits the $1 billion mark in annual revenues
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*'''1997''' – Best Buy becomes the first national retailer to sell [[DVD]] hardware and software
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*'''2000''' – Best Buy enters the online retailing business by launching Bestbuy.com; Best Buy acquires [[Magnolia Audio Video|Magnolia Hi-Fi]], a retailer of high-end consumer electronics;<ref name=fundinguniverse /> music [[Compact Cassette]]s are removed from most stores
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[[Image:FutureShop HFX 2007.jpg|thumb|right|250px|Future Shop store in Halifax]]
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*'''2001''' - Best Buy acquires the Canada-based electronics-chain [[Future Shop]] Ltd.<ref name=fundinguniverse />, which marks the company's entrance to the international marketplace;<ref name=spotlight /> though fully owned by Best Buy, Futureshop remains to this day a separate entity operating independently from Best Buy Canada; Best Buy acquires [[Musicland]],<ref name=fundinguniverse /> a mall-based retailer for music and entertainment software; Best Buy launches Redline Entertainment, an independent music label and action-sports video distributor
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*'''2002''' – [[Brad Anderson (executive)|Brad Anderson]] succeeds Schulze as Best Buy's [[Chief executive officer|CEO]]; the company acquires [[Geek Squad]], a 24-hour computer support taskforce; first Canadian Best Buy store opens in [[Mississauga]], [[Ontario]] west of [[Toronto]]
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*'''2003''' – U.S. Best Buy stores surpass the 600 mark; the company opens its first global sourcing office in [[Shanghai]]; the corporate offices are consolidated in one headquarters campus; Best Buy divests itself of Musicland;<ref name=fundinguniverse /> the company begins to segment their stores, which is considered a major part of the company's "[[customer centricity]]" transformation; the ''Reward Zone'' [[loyalty program]] is introduced in the U.S.
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*'''2004''' – [[Virtucom Group]] of [[Syracuse, NY]] is hired to handle all online content for Best Buy which generates over $3 billion per year in revenues.
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*'''2004''' – [[Geek Squad]] precincts are opened in every Best Buy store nationwide, offering in-store service during store business hours
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*'''2006''' – Best Buy acquires a majority interest in the retail chain Jiangsu Five Star Appliance Co., Ltd., China’s fourth-largest appliance and consumer electronics retailer. <ref>Busch, Sue; Driscoll, Jennifer. "[http://bestbuymedia.tekgroup.com/article_display.cfm?article_id=292 Best Buy to Acquire Majority Interest in Jiangsu Five Star]." (press release) ''Best Buy.'' [[May 12]], [[2006]]. Retrieved on [[August 22]], [[2006]].</ref> Best Buy opens its 800th store in Chicago, Illinois.
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[[Image:Bestbuysh-711725.jpg|thumb|right|250px|Best Buy Store located in [[Shanghai, China]]]]
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*'''2007''' - On [[January 26]], [[2007]], the first Best Buy in [[China]] had its grand opening - touted as the largest Best Buy in existence. In March, Best Buy announced plans to purchase Seattle, WA based [[Speakeasy (ISP)|Speakeasy, Inc.]], a [[broadband]] and [[VOIP]] services provider.<ref>Dudash, Jeff. "[http://bestbuymedia.tekgroup.com/article_text/032707%2DNR%2DSpeakeasy%2Epdf Best Buy Acquires Speakeasy]." (press release) ''Best Buy.'' [[March 27]], [[2007]]. Retrieved on [[March 27]], [[2007]].</ref>  Best Buy becomes the first major retailer to exit the analog television market, carrying only digital products that will be mandatory in February 2009 by the FCC.<ref>MSNBC. "[http://www.msnbc.msn.com/id/21344084/ Best Buy ends sales of analog TVs.]" (press release) ''MSNBC'' [[October 17]], [[2007]]. Retrieved on [[November 9]], [[2007]].</ref>
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In 1991 the first commercial kiosk with internet connection was displayed at Comdex. The application was for locating missing children.{{fact|date=January 2009}}
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*'''2007''' – Best Buy launches mini-Geek Squad precincts in Office Depots in Orlando, Florida and Denver, Colorado. They also launched mini-Geek Squad precincts in Fedex Kinkos in Indianapolis, Indiana and Charlotte, North Carolina.  These test markets and/or relationships with these companies ended in all markets late 2007 early 2008.
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The first true documentation of a kiosk was the 1995 report by Los Alamos National Laboratory which detailed what the interactive kiosk consisted of. This was first announced on comp.infosystems.kiosks by Arthur the original usenet moderator.{{fact|date=January 2009}}
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*'''2008''' – Best Buy announces the opening of its first pilot stores in Mexico and Turkey, as well as another store in Shanghai. Best Buy decides to promote Blu-ray over HD-DVD, a move which ultimately contributed to Toshiba's Corps. decision to drop HD-DVD.<ref>{{cite web |url=http://www.informationweek.com/news/showArticle.jhtml?articleID=206501687 |title=Best Buy To Recommend Blu-ray Hi-Def Video |accessdate=2008-05-26 |last=Gonsalves |first=Antone |date=2008-02-12 |work=Information Week |publisher=United Business Media }}</ref> In May it agreed to buy a 50% holding in [[United Kingdom|UK]]-based mobile phone operation [[Carphone Warehouse]]'s retail division, Best Buy also announced that it will open branded superstores in the UK and other European countries.  On [[July 29]], Best Buy announced that it will start selling musical instruments and related gear in over 70 of its retail stores, making the company the second largest musical instrument distributor in the US (the largest being [[Guitar Center]]).<ref>[http://www.fretbase.com/fretbase/2008/07/best-buy-to-sel.html Fretbase, Best Buy to Sell Guitars and Gear]</ref> In early summer, Best Buy announced its addition of Best Buy Mobile to every store. On September 7, Best Buy became the first [[third party]] to sell Apple's [[iPhone]], adding it to all Best Buy Mobile stores.<ref>[http://www.crn.com/retail/210600251 Best Buy Begins Sales Of Apple's 3G iPhone]</ref> In mid-September Best Buy announced its planned acquisition of [[Napster]] for $121 million.<ref>[http://www.reuters.com/article/mergersNews/idUSN1550308820080915 Best Buy to buy Napster]</ref> Best Buy’s brand logo changes to the tag with yellow outline. The new logo started to appear in some stores and in some company websites.<ref>[http://www.mallofamerica.com/adults_tenant_profile_objectname_BestBuy_W340.aspx Mall of America website, Bloomington, MN.]</ref> <ref>[http://www.bestbuy.com.mx/historia.php Best Buy Mexico website]</ref>
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The first successful network of interactive kiosk used for commercial purposes was a project developed by the shoe retailer [[Florsheim Shoe Co.]]. {{Fact|date=February 2007}}
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===Business Operations===
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[[Image:Best Buy Corporate Campus.jpg|thumb|250px|Best Buy Corporate Headquarters is located in Richfield, Minnesota, a suburb of Minneapolis.]]
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[[Image:Bestbuy-2edmonton6748.JPG|thumb|250px|Best Buy Store in [[Edmonton|Edmonton, Alberta]]]]
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Best Buy sells [[consumer electronics]] as well as a wide variety of related merchandise such as [[computer]]s, [[computer software]], [[video game]]s, [[music]], [[DVD]]s, [[Blu-ray]] discs,  [[mobile phone]]s, [[digital camera|digital]], [[car stereo]]s and [[video camera]]s, as well as [[home appliance]]s ([[washing machine]]s, [[clothes dryer|dryer]]s, and [[refrigerator]]s), in a [[Commission (remuneration)|non-commissioned]] sales environment. Each store also includes a department for audio/visual equipment for [[automobile]]s, offering on-site installation services, as well as a [[Geek Squad]] "precinct" for computer repair and warranty service and accidental service plans.
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Today's kiosks brings together the classic [[vending machine]] with high-tech communications and complex robotic and  mechanical internals.  Such interactive kiosks can include self-checkout lanes, e-ticketing, information and wayfinding, and vending.
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Best Buy prides itself on the fact that their sales people are not on commission. However managers and supervisors make bonuses based on store performance metrics such as revenue, margin, and net operating profit.  
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==Design and Construction==
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Best Buy does not allow expensive gifts from vendors to be given to employees ([[Spiff|SPIFFS]], etc), nor does it allow employees to collect tips or gifts from customers of any type.  
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<!-- [[Image:CMU_kiosk_1.jpg|thumb|150px|A children's entertainment kiosk designed by [[Arc Design Consulting]] for [[Carnegie Mellon University]] in 2006. The complex organic form was made possible through the use of fiberglass.]] -->
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The aesthetic and functional design of interactive kiosks is a key element that drives user adoption, overall up-time and affordability. There are many factors to consider when designing an interactive kiosk including:
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<br />• Aesthetic design: The design of the enclosure is often the driving factor in user adoption and brand recognition.
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<br />• Manufacturing volume: This will determine which manufacturing processes are appropriate to use (i.e. sheet-metal, thermoformed plastic etc.).
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<br />• Graphic messaging: Plays a key role in communicating with potential users.
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<br />• Maintenance and thermal design: Critical in order to maximize up-time (the time between failures or crashes).
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<br />• Component specification: Typical components include Touch-screen, P.C., pointing device, keyboard, bill acceptor, mag-stripe and/ or bar-code scanner, surge protector, UPS etc.
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<br />• Ergonomic: Is important to ensure comfortable and easy user accessibility.
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<br />• Regulatory compliance: In the US it is important to design to ADA. Electrical standards include UL in the U.S. and CE in Europe. In the retail space you have PCI certification in the U.S. which is descendant of VISA PED (relative of Chip and Pin over in Europe).
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<br />• Interface design: Designing for interactive kiosks typically requires larger buttons and simpler decision trees than designing for a web or computer based interactive. Catchy attract animations and short dwell times are important.
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==Interactive Kiosks Around The World==
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Best Buy building exteriors are usually light [[brown]] in color with the entrance in an area designed to look like a [[blue]] box emerging from the rest of the structure. Older stores have a more utilitarian brick building without the blue structure.
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===Government Usage===
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Several countries have already implemented nation-wide installation of kiosks for various purposes. One example of such large scale installations can be found in the [[United Kingdom]], where thousands of special-purpose kiosks are now available to aid job-seekers in finding employment.{{Fact|date=February 2007}}
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The [[United States Department of Homeland Security]] has created immigration kiosks where visitors  register when they enter the United States. There are also Exit kiosks where visitors register when they leave the U.S.  
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In April [[2005]], the company was the first major retailer to announce the elimination of all [[Rebate (marketing)|mail-in rebates]].<ref>John Vomhof Jr. "[http://www.bizjournals.com/twincities/stories/2006/01/23/daily26.html Best Buy starts to eliminate mail-in rebates]." ''Minneapolis St. Paul Business Journal.'' [[January 24]], [[2006]].</ref>
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Internally the U.S. government has institutions such as the Postal Service which utilize HR kiosks for their disconnected employees to update their training as well as monitor and maintain their benefits.
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During September 2008, partially in an effort to eliminate losses from customers who abused the old Product Replacement Plan (PRP), Best Buy changed their warranty system to the Geek Squad Black Tie Gadgets and Gizmos Protection Plan. One notable change under the Gadgets and Gizmo plan is the Xbox 360 exchange policy. Under this new system, Best Buy will not give customers who purchased the extended warranty a brand new Xbox 360 if their system fails after the first 30 days of purchase. Instead, the company sends the customer’s console to a refurbishing site, where a new system is assembled.  
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===Industry Usage===
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In addition, the Performance Service Plan (PSP) offered on bigger ticket items changed to Geek Squad Black Tie Protection which adds a new level of service. There is a standard level, which in most respects in the same as the old system and there is a new level, Premium, which adds extra services such as limited free telephone troubleshooting, Geek Squad anti-virus/spyware protection (multi-year), HDTV calibration, and preventative maintenance checks on major appliances. There is also a tie-in with the RewardZone program. If you end up never needing to redeem the Geek Squad Black Tie Protection (with the exception of the use of premium services) then you can get RewardZone points at plan expiration. Customers will need to file a written request to get those points however.
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It is estimated that over 131,000 kiosk terminals exist in the U.S. alone.{{Fact|date=February 2007}}
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Groups who use kiosks in their business environment include: [[Northwest Airlines]], [[JetBlue Airways]], [[GTAA]], [[Future Shop]], [[The Home Depot]], and [[Wal-Mart]].
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As of [[December 28]]{{Fact|date=January 2009}}, [[2008]], the company operates 1,010{{Fact|date=January 2009}} Best Buy Stores, 13 [[Magnolia Audio Video]] Stores (specializing in high-end electronics), 7 stand-alone [[Geek Squad]] stores, 3 AudioVisions Stores, 13 Best Buy Mobile Stores (standalone) and 17 Pacific Sales Stores (in Southern California, Arizona, and Nevada), all through its U.S. retail subsidiary. They also operate 51 Best Buy and 128 [[Future Shop]] stores throughout Canada.<ref>Staff Writer. "[http://www.bbycommunications.com/newscenter/FY05_Fact_Sheet_Q4.pdf Fiscal Year 2005 Fact Sheet - Q4]." ''Best Buy.'' [[February 25]], [[2006]]. Retrieved on [[August 22]], [[2006]].</ref> In [[2003]], the company opened its first international global procurement office in [[Shanghai]], and also operates sourcing offices in [[Beijing]] and [[Shenzhen]], primarily to reduce costs and increase the speed to market by purchasing products directly from manufacturers. As of January 2009, Best Buy operates five<ref> "[http://www.bestbuy.com.cn/Corporation/infodetail_wmdmd.asp?dInfoId=144 Best Buy China- Our Stores]." ''Best Buy China.'' [[January 21]], [[2009]]. Retrieved on [[January 22]], [[2009]].</ref> "branded" stores in Shanghai, one "premium" store in Beijing{{Fact|date=January 2009}}, as well as 151 Five Star Appliance Stores in China.
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==Types of kiosks==
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[[Image:Best Buy Express.jpg|thumb|150px|Best Buy Express vending machine in Atlanta airport]]
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===Telekiosk===
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Best Buy also operates numerous Best Buy Mobile stores within the U.S. as a joint venture with The Carphone Warehouse, using its successful UK business model; 13 of these are stand-alone locations (primarily in Manhattan). Best Buy Mobile locations offer customers a wider variety of cell phones than their other locations, some of which are "unlocked" phones that can be used on any GSM network. Best Buy Mobile also offers services comparable to those from carrier stores, including but not limited to a number transfer machine, warranty service on any phone, loaner phones, and the most popular carriers. Most current Best Buy Mobile stores are located in or near the Northeast region of the U.S., though the company is expanding such that most or all U.S. locations will include Best Buy Mobile services by the end of 2008.<ref>{{cite web |url=http://bestbuymedia.tekgroup.com/article_display.cfm?article_id=4555 |title=Best Buy, a World-Leading Consumer Electronics Retailer, and The Carphone Warehouse, a World-Leading Independent Mobile Phone Retailer, to Create a New Company |accessdate=2008-05-28 |publisher=Best Buy |date=2008-05-08 }}</ref>
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The '''telekiosk''' can be considered the technical successor to the [[telephone booth]], a publicly accessible set of devices that are used for communication. These can include [[email]], [[fax]], [[short message service|SMS]], as well as standard [[telephone]] service.
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Telekiosks gradually appeared around the [[United Kingdom]] in the first years of the 21st century. Some are situated in shopping centres and transport terminals, with the intention of providing detailed local information. Others are in public places, including motorway service areas and airports.  
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With the acquisition of Seattle based [[Speakeasy (ISP)|Speakeasy, Inc.]], Best Buy will be able to offer [[broadband]] and [[VOIP]] services to small businesses through their Best Buy for Business unit.<ref>Staff Writer. "[http://www.reuters.com/article/mergersNews/idUSWEN580320070327 Best Buy to buy voice and data services provider.]." ''Reuters.'' [[March 27]], [[2007]]</ref>
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The [[International Telecommunications Union]] is promoting the use of the telekiosk in Africa and parts of Asia where local people do not have access to [[communications technology]]. In part this work addresses the "[[digital divide]]" between rich and poor nations. There are, however, great practical benefits. The scheme in [[Bhutan]] aims to provide an [[E-Post]] system, whereby messages are relayed by telephone, then delivered by hand to rural areas, easing the problems of transporting letters across the countryside. Health, agricultural and educational information is also available.
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The domain ''bestbuy.com'' attracted at least [http://siteanalytics.compete.com/bestbuy.com?metric=uv 159 million visitors] annually by 2008 according to a [[Compete.com]] survey.
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===Financial Services Kiosk===
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===Demographics===
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The financial services kiosk can provide the ability for customers to perform transactions that may normally require a [[bank teller]] and may be more complex and longer to perform than desired at an [[Automated teller machine|ATM]].
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These units are generally referred to 'multi-function financial service kiosks' and the first iteration was back in late 90s with the VCOM product deployed in Southland (7-Eleven) convenience stores. Check-cashing, bill-payment and even dispensing cashcards. New multi-function machines have been deployed in "c-store" markets supported by Speedway and others.
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Customer Centricity is the name of a business movement centered on catering to specific customer needs and behaviors.<ref name="giantgamble"/> Best Buy's concept of customer centricity means configuring its stores to serve the needs of the particular customer segments that predominate in the area of that store. Some of the ways that the Best Buy company transforms its stores for a customer segmentation, is using different types of store signage, fixtures, lighting and even uniforms. One of the things the company has done for some segments is to create a personal shopping assistant, so that a customer can call and make an appointment for their shopping trip.<ref name="giantgamble"/>
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===Photo Kiosk===
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The company has created "lab stores" (separate from regular segmented stores) to test the area's acceptance to the theme and segment products and services. While the renovations to its stores are expensive, sometimes nearing $1 million per store, CEO & Vice Chairman [[Brad Anderson (executive)|Brad Anderson]] claims that stores that have already been transformed have doubled their growth rate versus stores that have yet to be transformed. In 2006, Best Buy continued to expand on the customer centricity operating model by opening or converting 233 U.S. Best Buy stores to the customer centricity operating model. During that same year, Best Buy operated 300 segmented stores, or 40% of the U.S. Best Buy stores.
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An interactive kiosk which allows users to print pictures from their digital images.  The imaging industry's [http://www.pmai.org/index.cfm/ci_id/24402/la_id/1.htm DIMA] (a part of the [http://www.pmai.org Photo Marketing Association]) judges photo kiosks each year in its annual [http://www.pmai.org/index.cfm/ci_id/36855/la_id/1/document/1/re_id/0/NewsRelease_Photo_Kiosk_Winners.pdf Photo Kiosk Shootout] where expert and consumer panels evaluate the competing systems. Two major classes of photo kiosks exist:
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'''Digital Order Stations''' -- This type of photo kiosk exists within retail locations and allows users to place orders for prints and photographic products.   Products typically get produced instore by a digital minilab, or at another location to be shipped directly to the consumer, or back to the store to be picked up at a later timeDigital Order Stations may or may not support instant printing, and typically do not handle payments.
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===Exclusive Brands===
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Best Buy owns some of the brands it sells. Best Buy currently has five [[private label]]s which include Insignia, Dynex, ''Init'', ''[[Geek Squad]],'' and Rocketfish. Insignia focuses on electronic equipment, including televisions, monitors, car stereos, home theater systems, and portable video and audio players.<ref name="insignia">Spooner, John G. "[http://news.com.com/Best+Buy+initiates+a+battle+of+the+brands/2100-1041_3-5392962.html Best Buy initiates a battle of the brands]." ''[http://www.cnet.com/ c|net].'' [[October 4]], [[2004]]. Retrieved on [[November 27]], [[2006]].</ref>  VPR Matrix (discontinued) focused on personal computers and accessories including desktops, notebooks and computer monitors. Dynex focuses on a wide variety of economically priced computer and entertainment accessories such as storage media, data and power cables, [[webcams]], and office supplies, with recent forays into electronics such as high definition LCD televisions. Init focuses on storage products such as media storage, equipment bags, totes and furniture for home theaters.  The Geek Squad brand can be found on the company's high end computer accessories and cables.  Rocketfish focuses on high end cables primarily used with home theater installation and setup as well as on computer accessories. Rocketfish is promoted as a brand that focuses on consumer input to develop its productsInsignia TVs and electronics include parts made by Toshiba, Sylvania, Sharp, Sony, and LG.
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'''Instant Print Stations''' - This type of photo kiosk uses internal printers to instantly create photographic prints for a self serve paying customer. Often located in public locations (hotels, schools, airports), Instant Print Stations handle payments. Often such systems will only print 4x6 inch prints although popular dye sublimation photo printers as of 2008 allow for 4x6, 5x7, 8x10, 8x12. It's more a matter of resupply labour economics and chassis size.
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===Corporate sponsorships===
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<!--(commented after image deleted)[[Image:NOZrCO9w.jpg|thumb|upright|[[Chicago Fire S.C.|Chicago Fire]] player [[Cuauhtemoc Blanco]] revealing Best Buy as club shirt sponsor]]-->
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Best Buy  was the primary sponsor for [[NASCAR]] team [[Haas CNC Racing]] and their driver [[Jeremy Mayfield]]. The company started sponsoring [[Haas CNC Racing]] in [[2005]] as an associate sponsor with their driver [[Mike Bliss]], later moving to driver Jeff Green.
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As of 2008, Best Buy will be the primary sponsor of the #19 Dodge Charger driven by Elliott Sadler. This car is owned by [[Gillett Evernham Motorsports]].
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===Internet Kiosk===
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Best Buy sponsors the Minnesota Twins, Chicago White Sox, Boston Red Sox, Los Angeles Angels, Los Angeles Dodgers, and Atlanta Braves of Major League baseball.{{Fact|date=October 2008}}
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An '''Internet kiosk''' is a terminal that provides public [[Internet]] access. Internet kiosks sometimes resemble telephone booths, and are typically placed in settings such as hotel lobbies, long-term care facilities, medical waiting rooms, apartment complex offices, or airports for fast access to [[e-mail]] or [[web pages]]. Internet kiosks sometimes have a bill acceptor or a [[credit card]] swipe, and nearly always have a computer keyboard, a mouse (or a fixed [[trackball]] which is more robust), and a monitor.
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Some Internet kiosks are based on a payment model similar to [[vending machine]]s or [[Internet cafe|Internet cafés]], while others are free. A common arrangement with pay-for-use kiosks has the owner of the Internet kiosk enter into a partnership with the owner of its location, paying either a flat rate for rental of the floor space or a percentage of the monthly revenue generated by the machine.
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Best Buy is also the shirt sponsor for [[Major League Soccer|MLS]] side [[Chicago Fire S.C.|Chicago Fire]]
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Internet Kiosks have been the subject of hacker activity. Hackers will download spyware and catch user activity via keystroke logging. Other hacker have installed hardware keystroke logging devices that capture user activity.
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==Criticism and controversy==
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Businesses that provide Internet Kiosks are encouraged to utilize special Internet Kiosk software and management procedures to reduce exposure to liability.
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In 2000, two Florida consumers brought a lawsuit against Best Buy, alleging that the company engaged in fraudulent business practices related to the sale of [[extended warranty|extended warranties]] (or, more accurately, [[service plan]]s). The suit claimed that Best Buy employees had misrepresented the manufacturer's [[warranty]] in order to sell the chain's own Product Service/Replacement Plan and that Best Buy had "entered into a corporate-wide scheme to institute high-pressure sales techniques involving the extended warranties" and that the retailer used "artificial barriers to discourage consumers who purchased the 'complete extended warranties' from making legitimate claims."<ref>"[http://www.http://www.manhattan-institute.org/html/cjr_3_part2.htm Civil Justice Report 3, continued They're Making a Federal Case out of It. . . In State Court]." ''Manhattan Institute for Policy Research.'' Retrieved on [[August 12]], [[2007]].</ref> Best Buy ultimately settled for $200,000, but admitted no wrongdoing.<ref> "[http://www.cbc.ca/consumers/market/files/money/extended_warranties/bestbuy.html CBC Marketplace: Extended Warranties]" ''CBC.ca.'' Retrieved on [[August 12]], [[2007]]. </ref>
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===Ticketing Kiosk===
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In May 2005, the Wisconsin State Attorney General's office filed a civil action against Best Buy Company, Inc., over several alleged violations of Wisconsin consumer protection lawsAmong the allegations: misleading representations to Wisconsin customers concerning rebates, service plans, supplemental magazine subscriptions, exchange policies, restocking fees, gift cards, and reward zone points. <ref>"[http://www.doj.state.wi.us/news/2005/nr052405_CP.asp Consumer Protection Lawsuit is Filed Against Best Buy]." ''WI Department of Justice.'' Retrieved on [[January 01]], [[2007]].</ref>
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Many amusement parks such Disney have unattended outdoor ticketing kiosksAmtrak has automated self-service ticketing kiosks. Check-in Kiosks for auto rental companies such as Alamo and National have had national deployments.
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{{main|Christmas controversy}}
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During the approach to the 2006 holiday season, competitor Wal-Mart responding to pressure from conservative Christian groups, made a largely publicized decision to center their holiday marketing strategy around the term Christmas. In response, Dawn Bryant, a Best Buy spokeswoman, stated: "We are going to continue to use the term ''holiday'' because there are several holidays throughout that time period, and we certainly need to be respectful of all of them."<ref> [http://www.msnbc.msn.com/id/15639425/ Wal-Mart Opts for 'Christmas' Marketing]. ''Associated Press.'' [[November 15]], [[2006]]. Retrieved on [[January 28]], [[2007]].</ref> The [[American Family Association]] criticized Bryant's statement and launched a campaign against Best Buy's policy.<ref>Wildmon, Donald [http://www.afa.net/petitions/email/bestbuy_11102006.html Best Buy Bans Use of Merry Christmas In Advertising ]. ''American Family Association.'' [[November 10]], [[2006]]. Retrieved on [[November 10]], [[2006]].</ref> In reaction to the same policy, the [[Catholic League (U.S.)|Catholic League]] placed Best Buy on its 2006 Christmas Watch List.<ref>"[http://www.catholicleague.org/linked%20docs/christmas_watch.htm Christmas Watch]." ''[[Catholic League (U.S.)|Catholic League]].'' Retrieved on [[November 24]], [[2006]].</ref> In [[2007]], Best Buy included the term "Christmas" in some of its marketing materials as well as greetings for Hanukkah and Kwanzaa.
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===Movie Ticket Kiosk===
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In the spring of 2007, Connecticut State Attorney General Richard Blumenthal ordered an investigation into Best Buy's use of an in-store website alleged to have misled customers on item sales prices. <ref>"[http://www.cnbc.com/id/18846852 Best Buy Accused of Overcharging In-Store Shoppers]" ''CNBC'' [[May 27]], [[2007]]. Retrieved on [[May 27]], [[2007]].</ref> In December 2007, the Los Angeles Times reported on the same issue in which some customers claimed they thought they were surfing the internet version of bestbuy.com at a in-store kiosk only to learn that the site reflected in-store prices only. In response, Best Buy spokesperson Sue Busch indicated the in-store kiosks were not intended for price-match purposes and rather a means to navigate in-store availability. Since the initial investigation, a banner was placed on the in-store site to make its customers more aware of the difference. <ref>[http://www.latimes.com/business/la-fi-lazarus23dec23,1,5748783.column?track=rss Best Buy kiosks not connected to Internet - Los Angeles Times<!-- Bot generated title -->]</ref> 
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Many [[movie theater]] [[Chain store|chains]] have specialized [[ticket machine]]s that allow their customers to purchase tickets and/or pick up tickets that were purchased online.
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===Vending Kiosk===
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In April 2008, the [[FCC]] fined Best Buy $280,000 for not alerting customers that the analog TVs they sold wouldn't receive over-the-air stations after the [[digital television transition|digital transition]] on [[February 17]], [[2009]].<ref>{{cite web |url=http://www.latimes.com/technology/la-fi-tv11apr11,1,152881.story |title=FCC fines retailers over digital TV |accessdate=2008-05-28 |last=Puzzanghera |first=Jim |date=2008-04-11 |publisher=Los Angeles Times }}</ref> Best Buy is challenging this ruling by the FCC saying it was and is in compliance with current FCC regulations pertaining to the digital transition.
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An example of a vending kiosk is that of the DVD rental kiosks manufactured by several manufacturers, where a user can rent a DVD, secured by credit card for $1 per day.
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Beginning in 2002 new vending kiosks have started to be deployed which dispense a variety of items including electronic device and cosmetics.
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==iPhone 3G==
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On [[August 12]], [[2008]] Best Buy announced on their website that they would become the third retailer of [[Apple Inc.|Apple]]'s [[iPhone]] 3G in the U.S., joining Apple and AT&T. Their "Walk out Working" service will be offered, allowing consumers to have their phones activated and set up inside a Best Buy store.
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===Visitor Management and Security Kiosk===
 
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A visitor management and security kiosk can facilitate the visitor check in process at businesses, schools, and other controlled access environments.  These systems can check against blacklists, run criminal background checks, and print access badges for visitors.  School security concerns in the United States have led to an increase in these types of kiosks to screen and track visitors.
 
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===Building Directory & Wayfinding Kiosk===
 
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Many hospitals today utilize interactive kiosks to allow visitors to find doctor's offices, departments and patient rooms.  This use of the kiosk alleviates some of the mundane tasks of the hospital staff and allows them to focus on the more important ones.  [[Harris County Hospital District]], [[Baptist Hospital of Miami]], the [[Children's Hospital of Philadelphia]] and the [[Cayuga Medical Center]] are but a few medical centers utilizing interactive touch screen kiosks with a building directory and wayfinding solution.
 
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==Kiosk Reliability==
 
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Reliability is an important consideration, and as a result many specialised [[kiosk software]] applications have been developed for the industry. These applications interface with the bill acceptor and credit card swipe, meter time, prevent users from changing the configuration of software or downloading [[computer virus]]es and allow the kiosk owner to see revenue remotely.
 
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==Kiosk Manufacturing Industry==
 
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Historically electronic kiosks though are standalone enclosures which accept user input, integrate many devices, include a software GUI application and remote monitoring and are deployed widely across all industry verticals.
 
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In this mainstream conventional physical kiosk market, KIOSK Information Systems is the largest US manufacturer according to Frost & Sullivan 2008 report. In Europe the largest install base is likely NeoProducts with the UK Job Stations. North America and Europe have seen a surge of high-quality, low-cost kiosks coming from Mainland China and Taiwanese companies, such as KMYAmerica with facilities in Shenzhen near Hong Kong and KT Technology located in both USA, Europe and manufacturing in Hong Kong.
 
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POS-related "kiosks" are "lane busting" check-outs such as seen at large retailers like Home Depot and Kroger. Fujitsu, NCR and IBM are the major players in that segment. Optimal Robotics pioneered this segment before being acquired by Fujitsu.
 
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Simple touchscreen terminals or panel-pcs are another segment and enjoy most of their footprint in POS retail applications and typically facing the employee. Terminals include NCR Advantage (740x terminal) and the IBM Anyplace computer terminal. These units are considered "kiosks" only in functionality delivered and typically only incorporate touchscreen, bar code scanner and/or magnetic stripe reader.
 
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Market segments for kiosk and self-service terminal manufacturers include photo kiosks (Kodak has largest installed base), government, airlines, internet, music, retail loyalty, HR and financial services (TIO is one example), just to name some.
 
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==See also==
 
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{{commonscat|Internet kiosks}}
 
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* [[Self-service kiosk]]
 
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* [[Vending machine]]
 
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*[[Automated teller machine]]
 
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*[[Kiosk software]]
 
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*[[Internet cafe]]
 
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*[[Kiosk]]
 
==References==
==References==
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{{reflist|2}}
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<references />
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==External links==
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{{sisterlinks|Best Buy}}
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{{FOLDOC}}
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* [http://www.bestbuy.com/ Official Website]
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* [http://www.bestbuy.ca/ Best Buy Canada]
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[[Category:Embedded systems]]
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* [http://www.bestbuycanadaltd.ca/ Best Buy Canada Ltd.]
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[[Category:Internet service providers|Kiosk]]
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* [http://www.bestbuyforbusiness.com/ Best Buy for Business]
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[[Category:Commercial machines]]
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* [http://www.bestbuy.com/site/olspage.jsp?id=pcmcat159300050006&type=category]
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{{Minnesota Corporations}}
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[[Category:Consumer electronics retailers]]
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[[Category:Retail companies of the United States]]
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Current revision

Template:Infobox Company

Image:Bestbuystore.jpg Best Buy Co., Inc. (Template:Nyse) is a Fortune 500 company and the largest specialty retailer of consumer electronics in the United States, Canada, Mexico, and China, accounting for 21% of the market.[1] The company's subsidiaries include Geek Squad, Magnolia Audio Video, Pacific Sales, and, in Canada the Best Buy Canada subsidiary operates most stores under the Future Shop label. Together these operate more than 1,150 stores in the United States, Puerto Rico, Canada, China, Mexico and Turkey.[2] The company's corporate headquarters are located in Richfield, Minnesota, USA. On June 26, 2007, Best Buy announced a 40% increase in its operations, with plans to operate more than 1,800 stores worldwide, including 1,400 Best Buy stores in the U.S.

With the recent 50% acquisition of UK-based mobile phone operation The Carphone Warehouse's retail division, Best Buy announced that it would open branded superstores in the UK and other European countries.[3] Best Buy will first open stores in the UK around the middle of 2009, with plans for up to 200 stores eventually; it is also considering purchasing UK rivals Kesa Electricals (owner of Comet), DSG International (owner of Currys), or both.[4] It is unknown whether these stores will rebrand if acquired by Best Buy. Best Buy is yet to reveal the location of the stores in UK. In total 20 locations are planned for 2009 which will all be big box format, however the company is looking for a flagship store in Central London in a prominent area such as Piccadilly Circus, Oxford Street or Regent Street.[5][6] See Best Buy UK

Best Buy was named "Company of the Year" by Forbes magazine in 2004,[7] "Specialty Retailer of the Decade" by Discount Store News in 2001,[8] ranked in the Top 10 of "America's Most Generous Corporations" by Forbes magazine,[9] and made Fortune Magazine's List of Most Admired Companies in 2006.[10]

On January 16 2009, Best Buy became the only Nationwide Electronic Retail Store (online & bricks and mortar) in the United States, after the announcement from Circuit City Inc. of it failure to find a buyer and/or receive any credit. Circuit City announced it was filing for Chapter 7 (Going out of business) and would liquidate the company. Liquidators took over the company stores[11] on January 17 2009.

History

Template:Refimprove Image:2008-1209-01-BestBuy5.jpg

  • 1966 - Richard M. Schulze and business partner James Wheeler open Sound of Music, an audio specialty store, in Saint Paul, Minnesota[12][13]
  • 1967 – Sound of Music acquires Kencraft Hi-Fi Company and Bergo Company. Second and third Sound of Music stores are opened near the University of Minnesota and in downtown Minneapolis. The Sound of Music ends its first year with gross sales of $173,000(USD)
  • 1969 – Sound of Music stock first traded as publicly-held company; company enacts first employee stock option plan; three stores opened in the Twin Cities area
  • 1970 – Sound of Music hits the $1 million mark in annual revenues
  • 1979 – Sound of Music becomes the first suppliers of video and laserdisc equipment including Panasonic, Magnavox, Sony and Sharp
  • 1981 – A tornado hits the Roseville, Minnesota store on June 14. Sound of Music responds with a "Tornado Sale," and it becomes an annual event
  • 1983 – Sound of Music’s board of directors approves a new corporate name: Best Buy Co., Inc.;[12] opens first superstore in Burnsville, Minnesota, featuring expanded selling space, a wide assortment of discounted brand-name goods, central service, and warehouse distribution; stores begin selling appliances and videocassette recorders
  • 1985 – Best Buy (symbol BBY) debuts on the New York Stock Exchange[12] with an offering of 8.3 million shares
  • 1987 – Best Buy’s brand logo changes to the yellow tag
  • 1989 – Best Buy unveils a new “grab-and-go” store format
  • 1990 – Best Buy eliminates commission for standalone sales people, but retains bonuses for management and supervisors
  • 1992 – Best Buy hits the $1 billion mark in annual revenues
  • 1997 – Best Buy becomes the first national retailer to sell DVD hardware and software
  • 2000 – Best Buy enters the online retailing business by launching Bestbuy.com; Best Buy acquires Magnolia Hi-Fi, a retailer of high-end consumer electronics;[12] music Compact Cassettes are removed from most stores

Image:FutureShop HFX 2007.jpg

  • 2001 - Best Buy acquires the Canada-based electronics-chain Future Shop Ltd.[12], which marks the company's entrance to the international marketplace;[13] though fully owned by Best Buy, Futureshop remains to this day a separate entity operating independently from Best Buy Canada; Best Buy acquires Musicland,[12] a mall-based retailer for music and entertainment software; Best Buy launches Redline Entertainment, an independent music label and action-sports video distributor
  • 2002Brad Anderson succeeds Schulze as Best Buy's CEO; the company acquires Geek Squad, a 24-hour computer support taskforce; first Canadian Best Buy store opens in Mississauga, Ontario west of Toronto
  • 2003 – U.S. Best Buy stores surpass the 600 mark; the company opens its first global sourcing office in Shanghai; the corporate offices are consolidated in one headquarters campus; Best Buy divests itself of Musicland;[12] the company begins to segment their stores, which is considered a major part of the company's "customer centricity" transformation; the Reward Zone loyalty program is introduced in the U.S.
  • 2004Virtucom Group of Syracuse, NY is hired to handle all online content for Best Buy which generates over $3 billion per year in revenues.
  • 2004Geek Squad precincts are opened in every Best Buy store nationwide, offering in-store service during store business hours
  • 2006 – Best Buy acquires a majority interest in the retail chain Jiangsu Five Star Appliance Co., Ltd., China’s fourth-largest appliance and consumer electronics retailer. [14] Best Buy opens its 800th store in Chicago, Illinois.

Image:Bestbuysh-711725.jpg

  • 2007 - On January 26, 2007, the first Best Buy in China had its grand opening - touted as the largest Best Buy in existence. In March, Best Buy announced plans to purchase Seattle, WA based Speakeasy, Inc., a broadband and VOIP services provider.[15] Best Buy becomes the first major retailer to exit the analog television market, carrying only digital products that will be mandatory in February 2009 by the FCC.[16]
  • 2007 – Best Buy launches mini-Geek Squad precincts in Office Depots in Orlando, Florida and Denver, Colorado. They also launched mini-Geek Squad precincts in Fedex Kinkos in Indianapolis, Indiana and Charlotte, North Carolina. These test markets and/or relationships with these companies ended in all markets late 2007 early 2008.
  • 2008 – Best Buy announces the opening of its first pilot stores in Mexico and Turkey, as well as another store in Shanghai. Best Buy decides to promote Blu-ray over HD-DVD, a move which ultimately contributed to Toshiba's Corps. decision to drop HD-DVD.[17] In May it agreed to buy a 50% holding in UK-based mobile phone operation Carphone Warehouse's retail division, Best Buy also announced that it will open branded superstores in the UK and other European countries. On July 29, Best Buy announced that it will start selling musical instruments and related gear in over 70 of its retail stores, making the company the second largest musical instrument distributor in the US (the largest being Guitar Center).[18] In early summer, Best Buy announced its addition of Best Buy Mobile to every store. On September 7, Best Buy became the first third party to sell Apple's iPhone, adding it to all Best Buy Mobile stores.[19] In mid-September Best Buy announced its planned acquisition of Napster for $121 million.[20] Best Buy’s brand logo changes to the tag with yellow outline. The new logo started to appear in some stores and in some company websites.[21] [22]

Business Operations

Image:Best Buy Corporate Campus.jpg Image:Bestbuy-2edmonton6748.JPG Best Buy sells consumer electronics as well as a wide variety of related merchandise such as computers, computer software, video games, music, DVDs, Blu-ray discs, mobile phones, digital, car stereos and video cameras, as well as home appliances (washing machines, dryers, and refrigerators), in a non-commissioned sales environment. Each store also includes a department for audio/visual equipment for automobiles, offering on-site installation services, as well as a Geek Squad "precinct" for computer repair and warranty service and accidental service plans.

Best Buy prides itself on the fact that their sales people are not on commission. However managers and supervisors make bonuses based on store performance metrics such as revenue, margin, and net operating profit.

Best Buy does not allow expensive gifts from vendors to be given to employees (SPIFFS, etc), nor does it allow employees to collect tips or gifts from customers of any type.

Best Buy building exteriors are usually light brown in color with the entrance in an area designed to look like a blue box emerging from the rest of the structure. Older stores have a more utilitarian brick building without the blue structure.

In April 2005, the company was the first major retailer to announce the elimination of all mail-in rebates.[23]

During September 2008, partially in an effort to eliminate losses from customers who abused the old Product Replacement Plan (PRP), Best Buy changed their warranty system to the Geek Squad Black Tie Gadgets and Gizmos Protection Plan. One notable change under the Gadgets and Gizmo plan is the Xbox 360 exchange policy. Under this new system, Best Buy will not give customers who purchased the extended warranty a brand new Xbox 360 if their system fails after the first 30 days of purchase. Instead, the company sends the customer’s console to a refurbishing site, where a new system is assembled.

In addition, the Performance Service Plan (PSP) offered on bigger ticket items changed to Geek Squad Black Tie Protection which adds a new level of service. There is a standard level, which in most respects in the same as the old system and there is a new level, Premium, which adds extra services such as limited free telephone troubleshooting, Geek Squad anti-virus/spyware protection (multi-year), HDTV calibration, and preventative maintenance checks on major appliances. There is also a tie-in with the RewardZone program. If you end up never needing to redeem the Geek Squad Black Tie Protection (with the exception of the use of premium services) then you can get RewardZone points at plan expiration. Customers will need to file a written request to get those points however.

As of December 28Template:Fact, 2008, the company operates 1,010Template:Fact Best Buy Stores, 13 Magnolia Audio Video Stores (specializing in high-end electronics), 7 stand-alone Geek Squad stores, 3 AudioVisions Stores, 13 Best Buy Mobile Stores (standalone) and 17 Pacific Sales Stores (in Southern California, Arizona, and Nevada), all through its U.S. retail subsidiary. They also operate 51 Best Buy and 128 Future Shop stores throughout Canada.[24] In 2003, the company opened its first international global procurement office in Shanghai, and also operates sourcing offices in Beijing and Shenzhen, primarily to reduce costs and increase the speed to market by purchasing products directly from manufacturers. As of January 2009, Best Buy operates five[25] "branded" stores in Shanghai, one "premium" store in BeijingTemplate:Fact, as well as 151 Five Star Appliance Stores in China.

Image:Best Buy Express.jpg Best Buy also operates numerous Best Buy Mobile stores within the U.S. as a joint venture with The Carphone Warehouse, using its successful UK business model; 13 of these are stand-alone locations (primarily in Manhattan). Best Buy Mobile locations offer customers a wider variety of cell phones than their other locations, some of which are "unlocked" phones that can be used on any GSM network. Best Buy Mobile also offers services comparable to those from carrier stores, including but not limited to a number transfer machine, warranty service on any phone, loaner phones, and the most popular carriers. Most current Best Buy Mobile stores are located in or near the Northeast region of the U.S., though the company is expanding such that most or all U.S. locations will include Best Buy Mobile services by the end of 2008.[26]

With the acquisition of Seattle based Speakeasy, Inc., Best Buy will be able to offer broadband and VOIP services to small businesses through their Best Buy for Business unit.[27]

The domain bestbuy.com attracted at least 159 million visitors annually by 2008 according to a Compete.com survey.

Demographics

Customer Centricity is the name of a business movement centered on catering to specific customer needs and behaviors.[1] Best Buy's concept of customer centricity means configuring its stores to serve the needs of the particular customer segments that predominate in the area of that store. Some of the ways that the Best Buy company transforms its stores for a customer segmentation, is using different types of store signage, fixtures, lighting and even uniforms. One of the things the company has done for some segments is to create a personal shopping assistant, so that a customer can call and make an appointment for their shopping trip.[1]

The company has created "lab stores" (separate from regular segmented stores) to test the area's acceptance to the theme and segment products and services. While the renovations to its stores are expensive, sometimes nearing $1 million per store, CEO & Vice Chairman Brad Anderson claims that stores that have already been transformed have doubled their growth rate versus stores that have yet to be transformed. In 2006, Best Buy continued to expand on the customer centricity operating model by opening or converting 233 U.S. Best Buy stores to the customer centricity operating model. During that same year, Best Buy operated 300 segmented stores, or 40% of the U.S. Best Buy stores.

Exclusive Brands

Best Buy owns some of the brands it sells. Best Buy currently has five private labels which include Insignia, Dynex, Init, Geek Squad, and Rocketfish. Insignia focuses on electronic equipment, including televisions, monitors, car stereos, home theater systems, and portable video and audio players.[28] VPR Matrix (discontinued) focused on personal computers and accessories including desktops, notebooks and computer monitors. Dynex focuses on a wide variety of economically priced computer and entertainment accessories such as storage media, data and power cables, webcams, and office supplies, with recent forays into electronics such as high definition LCD televisions. Init focuses on storage products such as media storage, equipment bags, totes and furniture for home theaters. The Geek Squad brand can be found on the company's high end computer accessories and cables. Rocketfish focuses on high end cables primarily used with home theater installation and setup as well as on computer accessories. Rocketfish is promoted as a brand that focuses on consumer input to develop its products. Insignia TVs and electronics include parts made by Toshiba, Sylvania, Sharp, Sony, and LG.

Corporate sponsorships

Best Buy was the primary sponsor for NASCAR team Haas CNC Racing and their driver Jeremy Mayfield. The company started sponsoring Haas CNC Racing in 2005 as an associate sponsor with their driver Mike Bliss, later moving to driver Jeff Green. As of 2008, Best Buy will be the primary sponsor of the #19 Dodge Charger driven by Elliott Sadler. This car is owned by Gillett Evernham Motorsports.

Best Buy sponsors the Minnesota Twins, Chicago White Sox, Boston Red Sox, Los Angeles Angels, Los Angeles Dodgers, and Atlanta Braves of Major League baseball.Template:Fact

Best Buy is also the shirt sponsor for MLS side Chicago Fire

Criticism and controversy

In 2000, two Florida consumers brought a lawsuit against Best Buy, alleging that the company engaged in fraudulent business practices related to the sale of extended warranties (or, more accurately, service plans). The suit claimed that Best Buy employees had misrepresented the manufacturer's warranty in order to sell the chain's own Product Service/Replacement Plan and that Best Buy had "entered into a corporate-wide scheme to institute high-pressure sales techniques involving the extended warranties" and that the retailer used "artificial barriers to discourage consumers who purchased the 'complete extended warranties' from making legitimate claims."[29] Best Buy ultimately settled for $200,000, but admitted no wrongdoing.[30]

In May 2005, the Wisconsin State Attorney General's office filed a civil action against Best Buy Company, Inc., over several alleged violations of Wisconsin consumer protection laws. Among the allegations: misleading representations to Wisconsin customers concerning rebates, service plans, supplemental magazine subscriptions, exchange policies, restocking fees, gift cards, and reward zone points. [31]

Here is the complete setlist for Guitar Hero III, which will also include all downloadable content (when released).

Contents


Bold text indicates a master track, all other songs are covers.

Single Player Setlist

1. Starting Out Small

2. Your First Real Gig

3. Making The Video

4. European Invasion

5. Bighouse Blues

6. The Hottest Band On Earth

7. Live in Japan

8. Battle For Your Soul

Co-Op Setlist

1. Getting a Band Together

2. We Just Wanna Be Famous

3. Overnight Success

4. Getting the Band Back Together

5. Jailhouse Rock

6. Battle for Your Souls...

Bonus Tracks

Downloadable Content

Singles

Halo Theme MJOLNIR Mix - Released November 22, 2007 on XBL.

Ernten Was Wir Säen - Released December 20, 2007 on XBL & January 3, 2008 on PSN.

So Payso - Released December 20, 2007 on XBL & January 3, 2008 on PSN.

Antisocial - Released December 20, 2007 on XBL and January 3, 2008 on PSN.

We Three Kings - Released December 20, 2007 on XBL & PSN.

Dream On - Released Febuary 18, 2008 on XBL & PSN.

I am Murloc - Released June 26, 2008 on XBL and PSN.

Track Packs

Companion Pack - Released October 31, 2007 on XBL.

Foo Fighters Pack - Released November 8, 2007 on XBL & PSN.

Velvet Revolver Pack - Released November 8, 2007 on XBL & PSN.

Boss Battle Pack - Released November 15, 2007 on XBL and November 29, 2007 on PSN.

Warner/Reprise Track Pack - Released December 20, 2007 on XBL and January 3, 2007 on PSN.

Classic Rock Track Pack - Released January 24, 2008 on XBL and PSN.

No Doubt Track Pack - Released Febuary 28, 2008 on XBL and PSN.

Modern Metal Track Pack - Released March 6, 2008 on XBL & PSN.

Dropkick Murphys Track Pack - Released March 13, 2008 on XBL & PSN.

Def Leppard Track Pack - Released April 24, 2008 on XBL & PSN.

Guitar Virtuoso Pack - Released July 24, 2008 on XBL & PSN.

DragonForce Track Pack - Released August 21, 2008 on XBL & PSN

During the approach to the 2006 holiday season, competitor Wal-Mart responding to pressure from conservative Christian groups, made a largely publicized decision to center their holiday marketing strategy around the term Christmas. In response, Dawn Bryant, a Best Buy spokeswoman, stated: "We are going to continue to use the term holiday because there are several holidays throughout that time period, and we certainly need to be respectful of all of them."[32] The American Family Association criticized Bryant's statement and launched a campaign against Best Buy's policy.[33] In reaction to the same policy, the Catholic League placed Best Buy on its 2006 Christmas Watch List.[34] In 2007, Best Buy included the term "Christmas" in some of its marketing materials as well as greetings for Hanukkah and Kwanzaa.

In the spring of 2007, Connecticut State Attorney General Richard Blumenthal ordered an investigation into Best Buy's use of an in-store website alleged to have misled customers on item sales prices. [35] In December 2007, the Los Angeles Times reported on the same issue in which some customers claimed they thought they were surfing the internet version of bestbuy.com at a in-store kiosk only to learn that the site reflected in-store prices only. In response, Best Buy spokesperson Sue Busch indicated the in-store kiosks were not intended for price-match purposes and rather a means to navigate in-store availability. Since the initial investigation, a banner was placed on the in-store site to make its customers more aware of the difference. [36]

In April 2008, the FCC fined Best Buy $280,000 for not alerting customers that the analog TVs they sold wouldn't receive over-the-air stations after the digital transition on February 17, 2009.[37] Best Buy is challenging this ruling by the FCC saying it was and is in compliance with current FCC regulations pertaining to the digital transition.

iPhone 3G

On August 12, 2008 Best Buy announced on their website that they would become the third retailer of Apple's iPhone 3G in the U.S., joining Apple and AT&T. Their "Walk out Working" service will be offered, allowing consumers to have their phones activated and set up inside a Best Buy store.

References

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External links

Template:Sisterlinks

Template:Minnesota Corporationsde:Best Buy es:Best Buy fa:بست بای fr:Best Buy ko:베스트 바이 ja:ベスト・バイ ru:Best Buy zh:百思买

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