themeltingpot

Once my favorite electronic store chain, with all available products, including plasma TV, HDTV, digital cameras, computers, laptops, etc…… were all gone. Circuit City is facing bankruptcy, so the rumor spreads. In Atlanta, GA, I won’t be able to circuit city anywhere anymore. They seems not be able to compete with other similar electronic chain stores, such as Best Buy. Probably customers had satisfactory experience with Best Buy rather with Circuit City at the policy they adopted lately.

From a some analysis report. Circuit City adopted an idiotic policy toward its experienced employees earlier. The report says, if you ever work for Circuit City, and you have at least 5 years employment with them, they gonna let you go. Why? They want to cut their expenses on experience employees, especially you are too loyal to stay for them. Along your working years grow with them, they have to pay your higher salary base on experience. They don’t want to do it, they rather hire someone fresh new, and pay them start up wage. At that way, they could save a lot of money on paying their employees. They never thought about, when these experienced employees gone, their customers also gone with them. Their business drop dramatically. They only plan on one side, but they never plan on the customers side.

A friend of mine had a bad experience with Circuit City once about the rebate. He once sent out the rebate, after 2 months, he called to ask about the status, they didn’t honor it. What a scam. Some customers didn’t like about their returning policy. They not gonna give your cash back, instead, they give you a gift card. Unquestionably, you have to spend that gift card on their stores. These policy led them to closing on 170 stores, especially all in Atlanta. In addition, they lost competition to Best Buy as one major reason too.

A little advice, don’t just consider cutting your own side of expense, also consider the customers side effect. Or you might lose all of them.

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