Best Buy was found by Richard Schulza and James Wheeler in 1966 in Minnesota. At first, they just sold the home and car stereos. However Schulza figured out the huge potential on the electronics retailer. The company once became the most successful in selling the high technology items. However, suffering with the rapid development of online retailer, there were $1.2 billion loss and 50 stores closed in 2011. (Tamsin, 2012) On the other hand, the company has been built new stores in Canada. Therefore, the revenues had a huge increase in 2011, rocketing about $40 million to $5.5 billion. Though the Canada just beside the USA, why there was quite different situation between two countries? As the USA market has suffered a number of bad news, …show more content…
It seems not to be a good combination between the diaper and electronics products. However, according to the company financial statements, the company has been eager to develop the lifestyle products in Canada in order to counter the decreasing sales of video games and notebooks. It appears to be an adaption strategy for Canada. Meanwhile, it might not be a good choice to standardize the U.S company strategy in Canada which possibly follows the sliding revenues in U.S. Also, marketing program standardization can significantly undermine a firm’s foreign market position because of globalization, national value systems and traditions persist. (Keegan, 1969; Backhaus & van Doorn, 2007;Griffith et al., 2003; Kanso& Kitchen, 2004). According to Lipman (1998), it is a bankruptcy for the theory of standardized marketing. It seems to a truth for Canada sector. It may be that the Canada federal government allowed the Amazon to build a warehouse until 2010. As a result of that, Canada had been the only country in which Amazon sells books online. Meanwhile, Amazon didn’t have the distribution centre. Therefore, it would take more time for Canada customers to get the packages in terms of the shipping service followed the importing rules. It is