Best Buy’s Sales Decline Raises Doubts About Turnaround
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Best Buy Co.’s decline in holiday sales, which triggered the biggest drop in its stock in more than a decade yesterday, is raising doubts over Chief Executive Officer Hubert Joly’s turnaround strategy.
When Joly joined the world’s largest electronics chain in September 2012, he zeroed in on becoming price competitive with the likes of Amazon.com Inc. His theory was simple. Remove price from the purchase decision and consumers would stick with Best Buy because they can find a wide assortment of products, get advice from knowledgeable staff and test gadgets.