...Course Project Diagnostic Paper On GameStop, Inc. Keller Graduate School Of Management 1. Executive Summary GameStop Corporation is the world’s largest software, and accessories retailers in the world. GameStop, formally known as Babbage’s was a small retailer that started in Dallas, Texas. Babbage’s brought out a small electronic retailer called Software Etc., a deal in which Leonard Riggio, created Babbage’s Etc. LLC. This began a series of mergers. Babbage’s Etc. was sold to a well known company called Barnes & Noble in 1999. Next was a merger with Funcoland, Inc., which was also purchased by Barnes & Noble in June of 2000. Babbage’s Etc. became a wholly-owned subsidiary of Funcoland. Funcoland changed their name to GameStop by the end of 2000. I was a sales associated before the merger with GameStop, and eventually was promoted to General Sales Manager, which lead me to run 4 different stores during this transition, because a few of the old managers were let go during the mergers. I will focus my research on the merger and how it affected the employees of the companies that were taking over by GameStop. 2. Literature Review * My observation of Babbage’s was there were no benefits for full-time employees, no incentives if the employees sold beyond the company’s expectations, long work hours for non-management employees, and low morale. * During the merger into GameStop there was a lot of resistance from employees all over the country...
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...Memorandum To: Joan Allatta- Corporate Managers of GameStop From: Helen Zhang, Section 001 Date: 12/05/2012 Re: How we can continue GameStop’s aggressive growth in the industry against the risk of emerging technology and the changing taste of consumers. Executive Summary: The objective of this analysis is to design a strategy that will continue GameStop’s growth as the largest retail gaming store in the industry despite threats from alternate methods of gaming and changes in consumer taste. Analysis will show that the retail gaming industry is an unattractive industry since the bargaining power of buyers and suppliers are high, barrier into the industry are low, and competitors are numerous. GameStop uses a broad differentiation strategy by offering a wide selection of new and used games and consoles. Its marketing strategy and reputation gives the firm a sustainable competitive advantage but its research and development give the firm a competitive parity. The environment of the retail gaming industry possesses the threat of technological and sociocultural risks. GameStop can address these risks by merging with online social media sites and contracting with its suppliers to increase barrier for new entrants in the industry. April 20, 2013 Introduction After the acquisition of EB Games, GameStop rose as the leading video game retailer in its industry. In an effort to sustain their position, GameStop will have to tackle several technological and sociocultural issues that...
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...Gamestop, many people think a number of different things when they hear that name. For instance someone may think Oh I can get games there. or Gamestop? I practically live there. Contrary to what you may think though there is much more to it than just video games. They are actually the largest retailer of software and new or used video games in the world. Gamestop didnt always hold that title though because as some people might know they werent always Gamestop. They used to actually go by the name of Babbages. Created in 1983 Babbages didnt make the transition into Gamestop until eleven years later in 1994 when they began their first corporate merge with Software Etc. The second, more known merge was in 2000 with Funcoland and last but not least, the merge with EbGames in 2005. In 1994 when Babbages merged with Software Etc. they began going by Neostar Retail. Despite the fact that they were now one company they still acted as if they were still separate. Meaning that instead of everything Babbages and Software Etc. outlet changing their name to Neostar Retail they just kept the original names and acted as two different companies. When Babbages and Software Etc. merged into Neostar Retail things began going down hill. Since they were acting as different stores it got to where one side wasnt sure of what the other side was up to and eventually caused them to go into Chapter 11 reorganization in 1996. That means that a troubled business cant service its debts and...
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...Case Analysis: GameStop Group 4: Elisha Colvin Lance Bobby Dike David DeBlanc University of Houston - Downtown MBA 6208 Marketing Management November 6, 2015 Table of Contents Executive Summary 3 Situation 4 Questions: 4 Hypothesis 11 Proof and Action 11 Alternatives 15 References: 17 Executive Summary GameStop became the world’s largest video game retailer in 2005 with its merger with Electronic Boutique (EB). However, the company’s leadership team was concerned with how to address future challenges with competitors and changing consumer desires and preferences for product acquisition. This analysis provides an assessment of the case study, GAMESTOP, and offers answers to the pressing questions faced by GameStop’s leadership team. Our review and analysis supports that GameStop is well positioned to continue its aggressive growth and retail presence. We provide four primary recommendations listed below to facilitate the company meeting their growth goals and strengthen their ability to maintain their leadership position in the video game marketplace. GameStop should: * Focus efforts on building a larger presence in the European and emerging markets. * Consider varying its product mix, with a larger focus on used items, within its mall stores to drive higher profitability and enhance differentiation in those customers’ settings. * Align with a software developer to establish a presence in the online gaming and social gaming...
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...Thomas Pugh Week 9 Final Part One You are the chief editor of a large metropolitan daily newspaper. One of the reporters is caught fabricating sources and making up facts. How do you handle the situation, from the disciplining the reporter to explaining it to your readers? The Editors Corner – A Formal Apology, an Explanation and a Promise to those We Serve The role of the media in delivering the news to the public is a large responsibility. One that should not be taken lightly given today’s circumstances and challenges. Going back to the days when a little girl (Virginia O’Hanlon of the Yes Virginia there is a Santa Claus Letter Editorial) wrote in to the New York Sun, and her reasoning when writing in to the editor was simple, her papa said.”If you see it in the Sun it’s so”. As then, like now, people believe what they read in the newspaper because they want to believe that we have their best interest at heart. Because of the significance of that kind of immediate news delivery in print to our readers, we have a social responsibility to our public to be honest, forthright and above reproach as they made us what we are today. So, today it is with a heavy heart that we inform you that one of our reporters was caught this week fabricating sources and making up facts to generate support for one of the political candidate whom he was covering. We will be printing a retraction and correction if any is needed on the story or stories that appeared...
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...GameStop They purchase hardware and games from game manufacturers and other sources to meet customer demands. For example, they are affiliated with drop-ship merchants on selected products depending on their demand. Therefore, they serve as an unique entity of traditional retailer and a prime example of a Value delivery network. For instance, under a downstream model they purchase systems and games and accessories from original manufactures and various 3rd party suppliers ( accessories) Their model has raised the bar on video game retail and capitalized the gaming culture unlike their competitors Best Buy, Wal-Mart or Toy r us. Furthermore, Gamestop inc. relies on a strong marketing channel with the manufactures to consistently attract customers. For example, Gamestop would have exclusive offers with new releases such as limited edition products, game-add on or ever-popular DLC content. However, Gamestop Inc has been in the news as a disintermediation in their industry. Gamestop has a lucrative marketing strategy for used games that has left many game and system manufactures with a sour-taste in their mouth. Gamestop buys back used games and sell them at a disturbing markup. Gamestop is the largest video games retailer but a considerable portion of it business is, in fact, used games. As a result, they have a full 182,000 sq ft refurbishment center in Grapevine Texas that serves as a, in my opinion, a hybrid upstream and downstream channel. They receive games and systems...
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...1GameStop brief profile of the firm The GameStop Company, an American video game and entertainment software retailer, ranked 262 on the Fortune 500. GameStop represent as GME on the New York Stock Exchange. In 2011, GameStop stock price is $24.70 ended January 27, 2012, a 23 percent growth compared to $20.05 ended January 28, 2011. Compared to many firms that restore its business difficultly from Financial Crisis, GameStop have significant growth for its overall operating. One of the major reasons that GameStop can quickly recovered from economic recession is its international business. Product GameStop Company major operations are selling new and used video game systems such as console, handheld video game devices, and mobile; software and accessories, PC entertainment software and related accessories. typical market for your product GameStop have its retailer store and online video game retailer. Detail how large the company is GameStop’s recorded $4847.4 million as company’s 2011 ending assets, and recorded $1807.2 million. Lower liability compared to its assets, lower risk to operating its business. Which can prove that GameStop have capability to doing business internationally. Data from GameStop 2011 annual report showed GameStop’s total revenue can be divided into 4 major parts. New video game software, which is $4,048.2 million, takes total 42.4 percent for its total revenue. New video game hardware took 16.9 percent. Used video game products took 27.4...
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...2005, GameStop became the largest game retailer. As a specialty gaming retailer, GameStop has set themselves apart from other retailers. While GameStop has seen its share of success and growth, as the gaming industry changes so will the demands of the consumer leading to more competition. GameStop faces a variety of competition from brick and mortar stores to online stores and online game rentals. The question that one must ask is how does GameStop stay competitive in this changing environment? What strategy can they use to stay ahead of the competition and remain the top game, retailer? Introduction/Background GameStop is the world’s largest video game and entertainment software retailer. They currently operate 4,490 stores in approximate 14 countries with the majority in the United States and Japan. Its corporate headquarters are in Grapevine, Texas. These stores are mainly in shopping malls and strip centers, with 55% of their entire store in strip centers. It's estimated that GameStop has approximately 33, 000 employees. Employees are knowledgeable about the gaming industry and are often gamers themselves. Employees are encouraged to take games and consoles home to stay up to date with upcoming gaming trends. GameStop also owns a magazine called Game Informer, considered to be a leading gaming publication. Customers that sign up for a GameStop PowerUp Rewards Pro membership automatically get a subscription as well as other discounts. Problem GameStop grew...
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...Strategic Case 6: Gamestop Plays to Win Carol Craig Wayne County Community College July 30, 2014 Table of Contents Introduction 3 Role of Physical Distribution in Retailing Strategy 3 Dual Distribution and Gamestop’s Marketing Efforts 4 Time, Place, Possession, and Form Utility 4 Game Vending Machines on College Campuses 5 Introduction Gamestop was founded in 1996 as a specialty retailer of new and used video game hardware and software. They have 6,600 stores in 17 countries and stock popular video game consoles and accessories from Sony, Microsoft, and Nintendo, plus thousands of games. They have a highly aggressive retail strategy with goals to open 400 new stores every year. With the current marketing strategy and business plan, Gamestop rings up $9 billion in annual sales. They sell to customers in traditional brick and mortar buildings, as well as, online sales.( Pride, W. M., & Ferrell, O. C. (2014). Marketing. Retailing, Direct Marketing, and Wholesaling, 16, 553.) Role of Physical Distribution in Retailing Strategy Physical distribution is the set of activities concerned with efficient movement of finished goods from the end of the production operation to the consumer. Physical distribution takes place within numerous wholesaling and retailing distribution channels, and includes such important decision areas as customer service, inventory control, materials handling, protective packaging, order procession, transportation, warehouse site selection, and warehousing...
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...Background Gamestop, formerly known as Babbage's was founded in 1984. The headquarters of the company is located in Grapvine, Texas. After carefully researching, Gamestop has approximately 6,000 locations worldwide. R. Richard Fontaine, Daniel De Mattea and J. Paul Raines are known as leaders in the company. GameStop's products are video games, consoles and accessories. The company employs over 17,000 individuals in the US, Canada, Australia, Denmark, Thailand, France, Germany, Ireland, Italy, New Zealand, Norway, Portugal, Puerto Rico, Spain, Sweden and Switzerland. GameStop is one of the few brick and mortar stores left that still physically sells video games even with the rise of digital downloading. In the video gamingg industry, the rise of digital downloads for games has created a ripple effect to the brick mortar stores that used to be the only authority in terms of purchasing a new game. GameStop has found a compromise by allowing the purchase of digital vouchers for the products in their physical stores. This strategy has served the company well in the past years but with the rise of the next console generation (PS4 and Xbox one), and the consoles both focusing more on digital only content, the company will have to bolster their strategy to keep customers visiting their stores. GameStop merging digital to retail by S.R. Thompson explained how GameStop in 2011 created a four part plan to integrate digital content and service along with its already established...
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...GameStop Analysis 4 customer takes the monetary payment they are more likely than not going to purchase something else from the store. However those who take the credit usually make another purchase from the store. Also the customer who takes a credit generally makes a purchase immediately. SWOT Analysis Strengths Gamestop utilizes a trade policy that increases revenue during non peak seasons. Gamestop also has publications that provide information to their potential consumer, and I would assume that the publication would advertise the value of Gamestop.Gamestop has diversified its portfolio and now does not solely depend on games and software sales. Gamestop currently shows EB Games, Spring Mobile, Cricket Wireless, Simply Mac, and Think...
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...shop they can, day or night. With the gaming industry, the demands for online preferences are going. For GameStop, this means to evolve the business for consumers around the world. Implementing simple changes to their website for a more customer friendly shopping experience can only aid in GameStop continuing to be a successful retailer, while at the same time developing the technology side of the business. For GameStop to maximize its brick and mortar locations, the stores will need to capture leading market share of the new console cycle, grow digital sales, and apply retail expertise to the new technology added to the GameStop family. The Business GameStop's retail network includes 6,650 company-operated stores in 15 countries worldwide and online at www.GameStop.com. The network also includes: www.Kongregate.com, a leading browser-based game site, and a digital PC game distribution platform. GameStop offers customers the most popular game software, hardware, game accessories and PC products. On the brick and mortar retail side, GameStop is continuing to grow. According to Slack (2010), “The company sees its physical storefronts as the foundation of the company, but GameStop is well aware of the trend toward more digital content. Because of that, the e-commerce and digital side of the business is becoming a larger part of GameStop's business plan”. GameStop has formed a digital ventures group to support the growth of digital operations and online retail all while...
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...GAMESTOP CORP. ACCT 280 FINANCIAL PROJECT WORD BOOK Assignment1: Ethical Dilemma (10 points)[1] Before reading this assignment, review pages 8-9 in your text about evaluating ethical dilemmas (or search for ethical dilemmas in the online text). Remember that an ethical dilemma, by its nature, has at least two alternatives – maybe more. GAMESTOP’S Chief Accounting Officer is Robert Lloyd. He is responsible for overseeing the books and records of the company and preparing the company’s financial statements. Lloyd reports to David Carlson, who is the Chief Financial Officer of the company. Carlson reports to Daniel DeMatteo, the company’s Chief Executive Office (CEO). The day is April 5, 2009 and the company has just finished closing its books and records for the first quarter of 2009 (March 31, 2009) and preparing to release its first quarter’s earnings to the marketplace. Matteo places a call to Lloyd at 10:30am on the morning of April 5. DeMATTEO: “Hi Robert. How is it going? Do you have a minute to talk about something important?” LLOYD: “Oh hi Dan. Everything is on track for the quarter. We’re wrapping up the final details for the earnings release next week. I’ll be getting together with David in tomorrow as a matter of fact to review everything. What can I do for you?” DeMATTEO: “We have a little problem with the first quarter earnings that I wanted to talk about.” LLOYD: “Oh really? What’s the problem? We’ve reviewed all of the numbers and...
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...MKTG 650: Strategic Marketing Management– Section E1 | Team Marketing Plan | for GameStop Box | GameStop Corp, a publicly traded company (NYSE: GME) based in Grapevine, Texas, is ranked number 255 on the Fortune 500 list of publicly traded companies. As the world’s largest retailer of video game and entertainment software, GameStop boasts 6,500 retail stores worldwide and also operates the popular websites GameStop.com and EBgames.com. Moreover, GameStop publishes a critically acclaimed monthly, Game Informer, a magazine that covers the entire gaming industry. This marketing plan presents the results of our situational, marketing and financing analysis and presents the strategies to be employed to implement a new product offering - a video and computer game rental kiosk, referred to as the GameStop Box. | | 7/29/2011 | Table of Contents 1.0 Executive Summary 3 2.0 Situation Analysis 4 2.1 Mission 4 2.2 Product or Service Description 4 2.3 Value Proposition 5 2.4 SWOT 5 2.5 Critical Issues 6 3.0 Market Analysis 7 3.1 Macro Environment 7 3.2 Market Size and Growth 8 3.3 Market Trends 8 3.4 Target Market Analysis 9 3.5 Customer/Consumer Analysis 9 3.6 Needs Analysis 9 3.7 Competitive Analysis 10 3.7.1 Direct Competitors 10 3.7.2 Indirect Competition 11 4.0 STRATEGY 11 4.1 MARKETING OBJECTIVES 11 4.2 FINANCIAL OBJECTIVES 12 4.3 SEGMENTS AND TARGET SEGMENTS WITH NEEDS OUTLINED 12 4.4 POSITIONING STRATEGY 12 4.5 PRODUCT...
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...TO: Professor Lasaga FROM: Group 12 DATE: 01/18/13 SUBJECT: Week 5 Group Memorandum GameStop (NYSE: GME), is the world’s largest multichannel retailer of video games. GameStop's retail network and family of brands include 6,650 company-operated stores in 15 countries worldwide and online at www.GameStop.com. (GameStop, 2011) The key to GameStop’s success lies in its ability to differentiate its products and services from its competitors. GameStop has been so successful at differentiating its products and services that it has become a trend-setter in the video game retail industry, resulting in other industry giants emulating its business strategies. One of the key components of differentiation that garners the company a competitive advantage in the marketplace is GameStop’s buy, sell, and trade program. Through the program, the company sells used games that are purchased from customers at a discount in exchange for store credit or currency. The program creates value for customers by offering them a low-cost alternative to purchasing new games while GameStop receives a substantial profit from reselling used copies of games at a higher price than they were purchased from customers, thereby cutting purchase and transportation costs involved in acquiring inventory from publishers and developers. This service differentiation gives GameStop a competitive advantage in the video game retail industry by allowing it to receive higher profits than its competitors who traditionally...
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