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{{Use mdy dates|date=October 2013}}
{{Infobox company
| name = Best Buy Co., Inc.
| logo = [[File:Best Buy Logo.svg|200px]]
| type = [[Public company|Public]]
| traded_as = {{ubl|{{nyse|BBY}}|[[S&P 500|S&P 500 Component]]}}
| industry = Retail
| foundation = [[West Saint Paul, Minnesota|West Saint Paul]], [[Minnesota]], [[United States|U.S.]] ({{Start date|1966}} as Sound of Music/{{Start date|1983}} as Best Buy Co. Superstores (Best Buy Superstores Co.)/{{Start date|1989}} as Best Buy (formerly known as Best Buy Superstores))
| founder = [[Richard M. Schulze]]
| location_city = [[Richfield, Minnesota|Richfield]], [[Minnesota]]
| location_country = [[United States|U.S.]]
| locations = <!-- Number of locations, stores, offices &c. -->
| area_served = Worldwide
| key_people = {{ubl|[[Hubert Joly]]<ref>Isidore, Chris. 2013-12-11. [http://cnn.com-news.info/klhd Best Buy CEO dumps large stake to pay for divorce] CNN. Retrieved 2013-12-04.</ref><ref name=wsj20120820>{{cite web|author=Anupreeta Das & Sharon Terlep |url=http://online.wsj.com/article/SB10000872396390443855804577600184241954866.html |title=Carlson Chief Steps Down To Take Best Buy's Top Job|work=The Wall Street Journal |date=August 20, 2012|accessdate=August 20, 2012}}</ref> ([[Chief Executive Officer|CEO]])|Hatim Tiyabi<ref>{{cite news |url=http://finance.ninemsn.com.au/newsbusiness/8467709/best-buy-founder-quits-over-ceos-inappropriate-relationship|title=Best Buy Founder Quits over CEO Probe|author=Henry, Matthew|publisher=[[ninemsn]]|date=May 15, 2012 |accessdate=August 9, 2012}}</ref> (Chairman)|G. Mikan<ref>{{cite news|url= http://www.startribune.com/business/166840666.html?refer=y|title=Interim CEO Mikan to remain on Best Buy board|publisher=[[StarTribune]]|date=August 20, 2012|accessdate=December 31, 2012}}</ref> ([[Chief executive officer|interim CEO]])}}
| products = [[Consumer electronics]]
| revenue = {{decrease}} US$ 42.41 billion (2013)
| operating_income = {{decrease}} US$ 1.166 billion (2013)
| net_income = {{increase}} US$ 532 million (2013)
| assets = {{decrease}} US$ 14.013 billion (2013)
| equity = {{increase}} US$ 3.989 billion (2013)
| num_employees = 140,000 (2014)
| subsid = {{ubl|[[Future Shop]]|[[Geek Squad]]|Magnolia|[[Pacific Sales]]|[[Speakeasy (ISP)|Speakeasy]]}}
| homepage = {{URL|bestbuy.com}}
}}

'''Best Buy Co., Inc.''' is an American [[Multinational corporation|multinational]] [[consumer electronics]] corporation headquartered in [[Richfield, Minnesota|Richfield]], [[Minnesota]], a [[Minneapolis]] suburb. It operates in the United States, Puerto Rico, Mexico, Canada, and China.<ref name=SEC>{{cite web|url=http://www.sec.gov/Archives/edgar/data/764478/000076447813000014/bby-2013x10kt.htm|title=Form 10-K Best Buy|publisher=United States Securities and Exchange Commission|accessdate=14 January 2014}}</ref> The company was founded by [[Richard M. Schulze]] and Gary Smoliak in 1966 as an audio specialty store; in 1983, it was renamed and rebranded with more emphasis placed on consumer electronics.

Best Buy's subsidiaries include [[CinemaNow]], [[Geek Squad]], Magnolia Audio Video, [[Pacific Sales]], and Cowboom. Best Buy operates under the Best Buy, Best Buy Mobile, Geek Squad, Magnolia Audio Video, and Pacific Sales brands in the US; the Best Buy, Geek Squad, Cell Shop, Connect Pro, and [[Future Shop]] brands in Canada; Best Buy Mobile and Five Star in China; and Best Buy, Best Buy Express, and Geek Squad in Mexico.<ref name=SEC/> Best Buy sells cellular phones with phones from [[Verizon Wireless]], [[AT&T Mobility]], [[Sprint PCS]], [[Boost Mobile]], and [[T-Mobile USA|T-Mobile]],<ref>{{cite news|url=http://www.zoomsystems.com/our-partners/partner-portfolio/|title=Parter Portfolio|publisher=[[Zoom Systems]]|accessdate=December 31, 2012}}</ref> in regular stores and standalone Best Buy Mobile stores in shopping malls.

Best Buy was named "Company of the Year" by ''[[Forbes (magazine)|Forbes]]'' magazine in 2004,<ref>{{cite journal|last=Tatge|first=Mark|date=January 12, 2004|url= http://www.forbes.com/free_forbes/2004/0112/138.html |title=Company of the Year{{spaced ndash}} Fun & Games |work=[[Forbes (magazine)|Forbes]] |accessdate=August 9, 2012}}</ref> "Specialty Retailer of the Decade" by Discount Store News in 2001,<ref>{{cite web |url=http://connection.ebscohost.com/c/articles/4430079/dsn-honors-best-buy-specialty-retailer-award|title=DSN Honors Best Buy with Specialty Retailer Award |publisher=''Discount Store News'' (via EBSCO Host)|accessdate=December 31, 2012}}</ref> ranked in the Top 10 of "America's Most Generous Corporations" by Forbes in 2005 (based on 2004 giving),<ref>{{cite journal|last=Moyer|first=Liz |date=November 11, 2005|url=http://www.forbes.com/personalfinance/philanthropy/2005/11/11/charities-corporations-giving-cx_lm_1114charity.html|title=Charitable Giving{{spaced ndash}} The Most Charitable Companies. |publisher=[[Forbes (magazine)|Forbes]] |accessdate=August 9, 2012}}</ref> and made ''[[Fortune (magazine)|Fortune]]'' magazine's List of Most Admired Companies in 2006.<ref>{{cite news|author=Staff|url=http://money.cnn.com/magazines/fortune/mostadmired/full_list/|title=America's Most Admired Companies 2006|publisher=''[[Fortune (magazine)|Fortune]]'' (via [[CNNMoney.com]])|accessdate=August 9, 2012}}</ref>

[[Hubert Joly]] serves as Best Buy president and [[chief executive officer|CEO]].<ref name=startribune>{{cite web|url=http://www.startribune.com/business/220007641.html|title=A year on the job with Best Buy CEO Hubert Joly|author=Thomas Lee|publisher=Star Tribune|date=19 August 2013|accessdate=14 January 2013}}</ref>

==History==

===Early history===
In 1966, Richard M. Schulze and a business partner opened Sound of Music, an electronics store specializing in [[high fidelity]] stereos in [[Saint Paul, Minnesota]].<ref name=businessweek>{{cite news|title=The Houdini of consumer electronics. / R. M. Schulze;|author=Weimer, De'Ann|publisher=Business Week|date=22 June 1998}}</ref><ref name=startribuneone>{{cite news|title=One man's force of will built a retailing empire|author=Jackie Crosby|publisher=Star Tribune (Mpls.-St. Paul)|date=20 May 2012}}</ref> Schulze financed the opening of his first store with his personal savings and a second mortgage he took out on his family’s home.<ref name=businessweek/><ref name=discount>{{cite news|title=Richard Schulze - specialty discounter of the year: making an impact by adopting the features of full-line discounters. (SPARC Awards 1993: Supplier Performance Awards by Retail Category)|author=Pete Hisey|date=19 September 1994|publisher=Discount Store News}}</ref> In 1967, Sound of Music acquired Kencraft Hi-Fi Company and Bergo Company.<ref name=discount/> Sound of Music pulled in $1 million in revenue and made about $58,000 in profits in its first year.<ref name=businessweek/> By 1969, Schulze had bought out his business partner, Sound of Music had three stores and the company became a publicly held company listed on the [[NASDAQ]] exchange.<ref name=businessweek/><ref name=musictrades>{{cite news|title=The origins of best buy|publisher=Music Trades. 156.8|date=September 2008|page=27}}</ref>

Sound of Music operated nine stores throughout [[Minnesota]] by 1978.<ref name=startribuneyears>{{cite news|title=BEST BUY, BY THE YEARS|publisher=STAR TRIBUNE (Mpls.-St. Paul)|date=15 May 2012}}</ref> In 1981, the [[Roseville, Minnesota]] Sound of Music location, at the time the largest and most profitable Sound of Music store, was hit by a tornado.<ref name=businessweek/> The store’s roof was sheared off and showroom destroyed, but the storeroom was left intact.<ref name=businessweek/><ref name=businessweekbg>{{cite news|title=BEST GUY?|author1=Gruley, Bryan|author2=McCracken, Jeffrey|author3=Burritt, Chris|publisher=Bloomberg Businessweek|date=22 October 2012}}</ref> In response, Schulze decided to have a “Tornado Sale” of damaged and excess stock in the damaged store’s parking lot.<ref name=businessweek/> He poured the remainder of his marketing budget into advertising the sale, promising “best buys” on everything.<ref name=businessweekbg/> Sound of Music made more money during the four-day sale than it did in a typical month.<ref name=startribuneone/>

In 1983, with seven stores and $10 million in annual sales, Sound of Music was renamed Best Buy Company, Inc.<ref name=startribuneyears/><ref name=businessweekbg/> The company also expanded its product offerings to include home appliances and [[videocassette recorder|VCRs]], in an attempt to expand beyond its then-core customer base of 15-to-18-year-old males.<ref name=businessweekbg/> Later that year Best Buy opened its first superstore in [[Burnsville, Minnesota]].<ref name=businessweekbg/> The Burnsville location featured a high-volume, low price business model, which was borrowed partially from Schulze’s successful Tornado Sale in 1981.<ref name=businessweek/><ref name=businessweekbg/> In its first year, the Burnsville store out-preformed all other Best Buy stores combined.<ref name=startribuneone/><ref name=discount/>

Best Buy debuted on the [[New York Stock Exchange]] in 1987.<ref name=chainstore/><ref name=internationaldirectory>{{cite news|title=International Directory of Company Histories|volume=63|publisher=St. James Press|year=2004}}</ref> In 1989, the company introduced a new store concept dubbed “Concept II.”<ref name=discount/><ref name=chainstore>{{cite news|title=Retail entrepreneurs of the year: Dick Schulze. Chain Store Age|date=December 1999|volume=75|issue=12|publisher=Chain Store Age}}</ref> Concept II replaced dimly lit industrial-style stores with brighter and more fashionably fixtured stores.<ref name=discount/> Stores also began placing all stock on the sales floor rather than in a stock room, had fewer salespersons and provided more self-help product information for its customers.<ref name=chainstore/><ref name=internationaldirectory/> Best Buy also did away with commissioned salespeople.<ref name=businessweek/><ref name=chainstore/> The commission-free sales environment “created a more relaxed shopping environment free of the high-pressure sales tactics used in other stores,” but was unpopular with salespersons and suppliers.<ref name=chainstore/> Some suppliers, such as [[Maytag]], [[Whirlpool Corporation|Whirlpool]] and [[Sony]], were upset that salespeople would no longer be pushing their products and stopped selling their wares in Best Buy stores.<ref name=businessweek/><ref name=startribuneone/> The suppliers returned after Best Buy’s sales and revenue grew following the roll-out of Concept II.<ref name=businessweekbg/>

In 1992, it hit the $1 billion mark in annual revenues.<ref name=internationaldirectory/> In 1995, Best Buy debuted “Concept III” stores, which were larger than its previous stores.<ref name=internationaldirectory/><ref name=discountstorenews11>{{cite news|title=Best Buy opens Concept III stores|publisher=Discount Store News|date=7 November 94|volume=33|issue=21|page=6}}</ref> The Concept III stores included expanded product offerings; interactive [[touchscreen]] kiosks that displayed product information for both customers and employees; and demonstration areas for products such as [[surround sound]] stereo systems and videogames.<ref name=discountstorenews11/><ref name=customerelectronics>{{cite news|title=BEST BUY OPENS CONCEPT III|date=31 October 1994|publisher=Consumer Electronics}}</ref>

Best Buy launched its “Concept IV” stores with its expansion into [[New England]] in 1998.<ref name=internationaldirectory/><ref name=discountstorenews26>{{cite news|title=Best Buy's Concept IV enters New England|author=LAURA HELLER|date=26 October 1998|publisher=Discount Store NewsDSN}}</ref> Concept IV stores included an open layout with products organized by category, cash registers located throughout the store, and slightly smaller stores than Concept III stores.<ref name=startribunemoore>{{cite news|title=A new format for Best Buy // Concept IV focus is on high-tech in a smaller store // Best Buy's latest store concept will make its Twin Cities debut today at its Maplewood location. Signs will be more readable and several store areas will feature hands-on technology|author=Janet Moore|publisher=Star-Tribune Newspaper}}</ref> The stores also had large areas for demonstrating [[home cinema|home theater systems]] and computer software.<ref name=internationaldirectory/><ref name=providencenew>{{cite news|title=New kid on the block - Electronics giant to open stores in R.I., Mass|author=NORA LOCKWOOD TOOHER|publisher=The Providence JournalPROV}}</ref>

In 1999, Best Buy was added to [[Standard & Poor’s]] [[S&P 500]].<ref name=internationaldirectory/>

===2000s===
[[File:Bestbuysh-711725.jpg|thumb|upright|Best Buy Store located in [[Shanghai, China]]]]
[[Image:Best Buy Corporate Campus.jpg|thumb|Best Buy Corporate Headquarters is located in [[Richfield, Minnesota]], a suburb of Minneapolis]]
[[File:bestbuy.jpg|thumb|140px|This Best Buy logo has appeared at [[Mall of America]] since 2008.]]
[[File:Best Buy 20070222.jpg|thumb|upright|Best Buy opens its 800th store in [[Chicago, Illinois]].]]
In 2000, Best Buy formed Redline Entertainment, an independent music label and action-sports video distributor.<ref name=newswire>{{cite news|title=Best Buy Realigns Marketing Positions; Efforts Focus on Building Area of Digital Services|date=5 January 2000|publisher=PR Newswire}}</ref> The company acquired Magnolia Hi-Fi, Inc., an audio-video retailer located in [[California]], [[Washington (state)|Washington]] and [[Oregon]], in December 2000.<ref name=internationaldirectory/>

In January 2001, Best Buy acquired Musicland Stores Corporation, a [[Minnetonka, Minnesota]]-based retailer that sold home entertainment products under the Sam Goody, Suncoast Motion Picture Company, Media Play and OnCue brands.<ref name=internationaldirectory/><ref name=audioweek>{{cite news|title=BEST BUY MAPPING OUT MUSICLAND PLANS|publisher=Audio Week}}</ref> Best Buy purchased the company for $425 million in cash and the assumption of $271 million of Musicland debt.<ref name=internationaldirectory/><ref name=audioweek/> Later that year, Best Buy acquired the [[British Columbia]], [[Canada]]-based electronics-chain Future Shop Ltd., marking its entrance to the international marketplace.<ref name=internationaldirectory/><ref name=discountstorenewscn>{{cite news|title=Best Buy acquisition rings national note|author=LAURA HELLER|publisher=Discount Store News}}</ref> Under the deal, Future Shop was purchased for approximately $377 million and continued to operate as subsidiary independent from Best Buy Canada.<ref name=saint>{{cite news|title=Saint Paul Pioneer Press, Minn., Business Briefs Column|date=6 November 2001}}</ref><ref name=twice>{{cite news|title=Best Buy wraps up future shop deal|author=Alan Wolf|date=12 November 2001|publisher=TWICE}}</ref>

Brad Anderson succeeded Richard Schulze as Best Buy [[chief executive officer|CEO]] in July 2002.<ref name=startribunegeek>{{cite news|title=Best Buy and Geek Squad join forces ; Retailer to offer in-home support|author=Sherri Cruz|date=25 October 2002|publisher=Star Tribune}}</ref> Anderson had begun working at Best Buy in 1973 while attending seminary school.<ref name=startribunegeek/> He was promoted to vice president in 1981 and executive vice president in 1986. Anderson had most recently served as president and [[chief operating officer|COO]] of Best Buy, a position he had held since 1991.<ref name=startribunegeek/> In September of that year, Best Buy opened the first Canadian Best Buy-branded store in [[Mississauga|Mississauga, Ontario]].<ref name=discountstorenewson>{{cite news|title=Best Buy opens 1st unit in Canada: corporate banner makes debut as a global brand|author=Laura Heller|date=9 September 2002|publisher=Discount Store News}}</ref> In October, Best Buy acquired [[Minneapolis|Minneapolis, Minnesota]]-based Geek Squad, then a 24-hour residential computer repair business with offices in Minneapolis, [[Chicago|Chicago, Illinois]], [[Los Angeles|Los Angeles, California]] and [[San Francisco|San Francisco, California]].<ref name=startribunegeek/>

Best Buy stores in the U.S. surpassed the 600-store mark and the company opened its first global-sourcing office in [[Shanghai|Shanghai, China]] in 2003.<ref name=billboard600>{{cite news|title=Same-week rise continues.(Over the Counter[TM])|author=Mayfield, Geoff|date=29 November 2003|publisher=Billboard}}</ref><ref name=shanghaidaily>{{cite news|title=City becomes sourcing center|date=10 October 2003|publisher=Shanghai Daily}}</ref> In June, Best Buy divested itself of Musicland in a deal with Sun Capital Partners under which Sun Capital received all of Musicland’s stock and debt.<ref name=mergersacquis>{{cite news|title=Taking a haircut To Dump a Loser: Buying high and selling low is becoming a sobering reality in the post-buying-frenzy years.|author=Joan Harrison|date=1 August 2003|publisher=Mergers & Acquisitions: The Dealmakers Journal}}</ref> Best Buy launched its “Reward Zone” loyalty program in July following an 8-month test of the program in [[San Diego|San Diego, California]].<ref name=warrens>{{cite news|title=Retail|date=22 July 2003|publisher=Warren's Consumer Electronics Daily}}</ref> Also in 2003, Best Buy’s corporate offices were consolidated into a single campus in [[Richfield, Minnesota]].

In January 2004, Best Buy hired Virtucom Group to revamp Best Buy’s website and handle all of the company’s online content.<ref name=virtucom>{{cite news|title=Virtucom Group helps big retailers set sites|author=Dickinson, Casey J|date=January 23, 2004|publisher=Business Journal {{Subscription required|via=HighBeam}}|url=http://www.highbeam.com/doc/1P3-534037251.html|accessdate=January 24, 2014 }}</ref> In May, the company launched its “customer centricty” program, which segmented its stores according to customer profiles.<ref name=twice20>{{cite news|title=That Was The Year That Was: A Retail Retrospective|author=Lisa Cervini|date=20 December 2004|publisher=TWICE}}</ref> The program also called for employees to focus on specific customer groups rather than product categories.<ref name=twice20/> In October, Best Buy completed rolling out Geek Squad “precincts” in every American Best Buy store.<ref name=financialtimes>{{cite news|title=The march of the Geek Squad: DIFFERENTIATION: Best Buy, the US electronics retailer, takes care of its customers after they have left the shop, writes Lauren Foster|author=LAUREN FOSTER|date=24 November 2004|publisher=Financial Times}}</ref>

In April 2005, Best Buy began eliminating [[Rebate (marketing)|mail-in rebates]].<ref name=twincityjournal>{{cite web|url=http://www.bizjournals.com/twincities/stories/2006/01/23/daily26.html|title=Best Buy starts to eliminate mail-in rebates|publisher=Minneapolis/St. Paul Business Journal|author=John Vomhof Jr.|date=24 January 2006|accessdate=21 January 2014}}</ref>

In May 2006, Best Buy acquired a majority interest in Chinese appliance retailer Jiangsu Five Star Appliance for $180 million.<ref name=xinhua>{{cite news|title=U.S. electronics retailer gets controlling stake in China's Five Star Company|date=15 May 2006|publisher=Xinhua's China Economic Information Service}}</ref> At the time of the deal, Jiangsu was the fourth-largest appliance chain in China with 193 stores across eight Chinese provinces.<ref name=xinhua/> In June, the company opened Geek Squad precincts at [[Office Depot]] in [[Orlando, Florida]].<ref name=warrens/> The market test was later expanded to [[Denver Colorado]].<ref name=odearnings>{{cite news|title=Event Brief of Q1 2007 Office Depot Inc. Earnings Conference Call - Final|date=26 April 2007|publisher=Voxant FD (FAIR DISCLOSURE) WIRE}}</ref>

In January 2007, the first Best Buy-branded store in China officially opened in Shanghai, China.<ref name=sinocast>{{cite news|title=Best Buy's Shanghai Store Opens for Business|date=29 January 2007|publisher=SinoCast China Business Daily News (Abstracts)}}</ref> In March 2007, Best Buy acquired Speakeasy, a [[Seattle|Seattle, Washington]]-based broadband [[voice over IP|VOIP]], data and IT services provider.<ref name=twice07>{{cite news|title=Best Buy Buys Speakeasy To Buoy Small-Business Services|author=John Laposky|date=9 April 2007|publisher=TWICE}}</ref> The acquisition was worth $80 million and, under terms of the deal, Speakeasy began operating as a wholly owned subsidiary of Best Buy.<ref name=twice07/> The company’s products also became part of Best Buy’s For Business program.<ref name=twice07/> Best Buy also expanded its Geek Squad market tests in March, opening Geek Squad precincts in [[FedEx Office|FedEx Kinkos]] stores located in [[Indianapolis|Indianapolis, Indiana]] and [[Charlotte, North Carolina]].<ref name=dowjones>{{cite news|title=FedEx Kinko's Makes Changes To Improve Rev, Package Volume|author=Desiree J. Hanford|publisher=Of DOW JONES NEWSWIRES|date=28 March 2007}}</ref> In October 2007, Best Buy became the first consumer-electronics retailer to exit the analog television market, carrying only digital products that became mandatory in June 2009 by the [[Federal Communications Commission|FCC]].<ref name=nbc>{{cite web|url=http://www.nbcnews.com/id/21344084/#.UoudvcSsiSo|title=Best Buy ends sales of analog TVs|publisher=NBC News|accessdate=21 January 2013}}</ref>

In February 2008, Best Buy opened its first store in [[Puerto Rico]].<ref name=nuevodia>{{cite news|title=Variedad tecnológica|author=Yalixa Rivera Cruz|date=11 January 2008|publisher=El Nuevo Día}}</ref> Best Buy’s Geek Squad market tests in Office Depot and FedEx Kinkos stores ended by March.<ref name=reuters4>{{cite news|title=Office Depot introducing new tech support service|author=Nicole Maestri|date=4 March 2008}}</ref> Also in March, the company began promoting the [[Blu-ray Disc|Blu-ray]] optical-disc format over the [[HD DVD]] format, a move which ultimately contributed to Toshiba's decision to drop HD DVD.<ref name=informationweek>{{cite web|url=http://www.informationweek.com/best-buy-to-recommend-blu-ray-hi-def-video/d/d-id/1064530?|title=Best Buy To Recommend Blu-ray Hi-Def Video|author=Antone Gonsalves|publisher=Information Week|accessdate=21 January 2014}}</ref> In May, the company agreed to buy 50% of the retail division of The Carphone Warehouse, a [[London|London, England]]-based mobile phone retailer.<ref name=retailweekcw>{{cite news|title=Best Buy closes in on first stores as UK arrival nears|author1=Ben Cooper|author2=Amy Shields|date=18 July 2008|publisher=Retail Week}}</ref><ref name=startribunecw>{{cite news|title=Best Buy plans to double sales by 2013|author=Jackie Crosby|date=26 June 2008|publisher=Star Tribune}}</ref> The deal was worth $2.1 billion.<ref name=startribunecw/>

In July 2008, Best Buy announced that it would start selling musical instruments and related gear in over 80 of its retail stores, making the company the second-largest musical-instrument distributor in the US.<ref name=associatedpress27>{{cite news|title=Best Buy to open in-store music centers|author=ASHLEY M. HEHER|publisher=AP Business Writer|date=27 July 2008}}</ref> Best Buy became the first third-party retail seller of [[Apple Inc.|Apple’s]] [[iPhone]] in September.<ref name=crnnews>{{cite web|url=http://www.crn.com/news/channel-programs/210600251/best-buy-begins-sales-of-apples-3g-iphone.htm|title=Best Buy Begins Sales Of Apple's 3G iPhone|author=Scott Campbell|publisher=CRN|accessdate=21 January 2013}}</ref> Later that month, the company agreed to acquire Napster for $121 million.<ref name=reutersnapster>{{cite web|url=http://www.reuters.com/article/2008/09/15/us-napster-bestbuy-idUSN1550308820080915|title=Best Buy to buy Napster for $121 million|author=YINKA ADEGOKE|publisher=Reuters|accessdate=21 January 2014}}</ref> In December, Best Buy opened its first store in Mexico.<ref name=associatedpressmex>{{cite news|title=Best Buy arrives in Mexico with opening of its second-largest store worldwide|author=MARIA GALLUCCI|date=5 December 2008}}</ref>

In February 2009, Best Buy leveraged its partnership with The Carphone Warehouse to launch Best Buy Mobile, a Best Buy-branded mobile retailer.<ref name=streetjournal>{{cite news|title=Big-Box Retailer Goes Little; Best Buy Expands With Mobile-Phone Shops in Malls|author=Miguel Bustillo|date=12 February 2009|publisher=The Wall Street Journal}}</ref> Best Buy Mobile standalone stores were opened in shopping malls and urban downtowns.<ref name=streetjournal/> Best Buy Mobile were also added in all Best Buy-branded stores.<ref name=streetjournal/>

In June 2009, Brian Dunn became Best Buy CEO.<ref name=startribune25>{{cite news|title=At Best Buy, a change at the top ; In the past year, Best Buy has seen falling profits, layoffs and competition from retailers such as Amazon and Wal-Mart as it works its way through the recession|author=JACKIE CROSBY|date=25 June 2009|publisher=Star-Tribune}}</ref> Dunn replaced Brad Anderson, who was retiring.<ref name=startribune25/> Dunn had joined Best Buy in 1985 as a sales associate.<ref name=twice23>{{cite news|title=Best Buy's Dunn Leaves Mixed Legacy|date=23 April 2012|publisher=TWICE}}</ref> In 2000, Dunn became senior vice president of East Coast operations and president of North American retail operations in 2004.<ref name=twice23/> He had most recently served as president of Best Buy, a position he had held since 2006.<ref name=twice23/>

Best Buy partnered with Roxio's CinemaNow to launch an on-demand movie download service that would allow customers to stream content to any device sold by Best Buy that connected to the Internet in November 2009.<ref name=startribunebus>{{cite web|url=http://www.startribune.com/business/69020452.html?elr=KArksLckD8EQDUoaEyqyP4O:DW3ckUiD3aPc:_Yyc:aUUs|title=Best Buy to offer movie downloads|author=JACKIE CROSBY|publisher=Star Tribune|accessdate=21 January 2014}}</ref> In December, the first Turkish Best Buy opened in [[İzmir]].

===2010s===
[[File:Best Buy, Germantown, Maryland, October 7, 2014.JPG|thumb|right|upright|float|A Best Buy store in [[Germantown, Maryland]], which opened in 2002.]]
In April 2010, Best Buy opened its first [[United Kingdom]]-based Best Buy-branded store in [[Thurrock]].<ref name=billboardbiz>{{cite news|title=Best Buy Unveils First U.K. Store|author=Richard Smirke|date=27 April 2010|publisher=Billboard.biz}}</ref> The company eventually opened 11 Best Buy stores in the United Kingdom.<ref name=wsj8>{{cite news|title=Best Buy Leaves U.K., Reboots Phone Venture|author1=Miguel Bustillo|author2=Kathy Gordon|date=8 November 2011|publisher=The Wall Street Journal Online}}</ref> The company closed all UK-based Best Buy stores in November 2011.<ref name=wsj8/> That same month Best Buy purchased The Carphone Warehouse’s share of Best Buy Mobile for $1.3 billion.<ref name=wsj8/> Best Buy and The Carphone Warehouse maintained their Best Buy Europe joint venture, which at the time operated 2,500 mobile phone stores throughout Europe.<ref name=wsj8/>

The company closed all of its Best Buy-branded stores in China by February 2011, when it merged Best Buy China’s operations with Jiangsu Five Star, which had become a wholly owned subsidiary of Best Buy in 2009.<ref name=SEC/><ref name=xinhua28>{{cite news|title=Best Buy closes China outlets, poor grasp of local market blamed|publisher=Xinhua News Agency|date=28 February 2011}}</ref> In December 2011, Best Buy purchased mindSHIFT Technologies, a company that provided IT support for small and medium-sized businesses, for $167 million.<ref name=zdnet>{{cite web|url=http://www.zdnet.com/blog/reference/best-buy-boldly-leaping-into-managed-it-services-for-small-business/208|title=Best Buy boldly leaping into managed IT services for small business|author=Josh Gingold|publisher=Zdnet|accessdate=21 January 2014}}</ref>

In 2012, in response to overall revenue decline, Best Buy announced plans to undergo a "transformation strategy". Stores began to adopt a redesigned "Connected Store" format, providing the Geek Squad with a centralized service desk and implementing a "store-within-a-store" concept for Pacific Kitchen & Bath and Magnolia Design Center.<ref>{{cite news|author=Reisinger, Don|date=March 24, 2011|url= http://news.cnet.com/8301-13506_3-20046752-17.html?tag=mncol;txt|title=Best Buy Revenue, Earnings Slip in 4th Quarter{{spaced ndash}} During the Three-Month Span That Included the Prime Holiday Sales Period, the Consumer Electronics Retailer Took Its Biggest Hit in Entertainment Hardware and Software|publisher=[[CNET]]|accessdate= August 9, 2012}}</ref>

In April 2012, Brian Dunn resigned as Best Buy’s CEO during an internal company investigation into allegations of personal misconduct stemming from an inappropriate relationship with a female Best Buy employee.<ref name=journaldunn>{{cite web|url=http://www.bizjournals.com/twincities/news/2012/04/10/best-buy-dunn-resigned-amid-investiation.html|title=Report: Dunn resigned as Best Buy CEO amid investigation over possible personal misconduct|author=Ed Stych|publisher=Minneapolis/St. Paul Business Journal|accessdate=21 January 2014}}</ref> Best Buy named Director G. Mike Mikan interim CEO following Dunn’s resignation.<ref name=journaldunn/> The internal investigation was released in May 2012 and alleged that Best Buy founder and chairman Richard Schulze knew of Dunn’s inappropriate relationship and failed to notify the Best Buy board.<ref name=journaldunn/> Schulze subsequently resigned his chairmanship of the company.<ref name=journaldunn/> Best Buy Director Hatim Tyabji replaced Schulze as Best Buy chairman.<ref name=journaldunn/>

[[Hubert Joly]] replaced G. Mike Mikan as Best Buy CEO in September 2012.<ref name=businessinsider>{{cite web|url=http://www.businessinsider.com/meet-hubert-joly-the-new-ceo-of-best-buy-2012-8|title=Best Buy Is Bringing In A Master Turnaround Artist|author=KIM BHASIN|publisher=Business Insider|accessdate=21 January 2014}}</ref> Joly had previously served as CEO of [[Carlson Companies|Carlson]], a hospitality conglomerate, since 2008.<ref name=businessinsider/>

In April 2013, Best Buy exited the European consumer electronics market when it sold its 50% stake in Carphone Warehouse back to the UK-based mobile phone retailer.<ref name=wsjeu>{{cite web|url=http://online.wsj.com/news/articles/SB10001424127887323982704578453591188471974|title=Best Buy Sells Europe Business Back to Carphone Warehouse|author=ANN ZIMMERMAN|publisher=Wall Street Journal|accessdate=21 January 2014}}</ref><ref name=bloombergeu>{{cite web|url=http://www.bloomberg.com/news/2013-04-30/best-buy-exits-europe-with-sale-of-stake-to-carphone-warehouse.html|title=Best Buy Exits Europe With Stake Sale to Carphone Warehouse|author1=Chris Burritt|author2=Sarah Shannon|publisher=Bloomberg News|accessdate=21 January 2014}}</ref> The sale was worth approximately $775 million.<ref name=wsjeu/><ref name=bloombergeu/>

An increasing trend towards online shopping began to erode revenues and profits in the 2010s. A 4% dip in sales for the 30 June 2014 quarter, marked the tenth quarter in a row where Best Buy's sales had declined. The company, in announcing the result, said it was focusing more on digital-media in its marketing, moving away from newspaper, magazine, and television advertising.<ref name="BestBuyDip">{{cite news|title=Best Buy looks to new products to push sales|url=http://www.minneapolisnews.net/index.php/sid/225119543|date=26 August 2014|accessdate=28 August 2014|publisher=''Minneapolis News.Net''}}</ref>

==Corporate affairs==

===Business operations===
[[Image:Bestbuy-2edmonton6748.JPG|thumb|Best Buy Store in [[Edmonton|Edmonton, Alberta]]]]
[[File:Bestbuystoremap.png|thumb|right|Map of Best Buy stores in the Continental U.S and Southern Canada, as of August 2011]]
[[File:Salesperson at Best Buy demonstrating Apple IPad.jpg|thumb|Salesman demonstrating the Apple iPad 2 (June 2011)]]
{{See also|Best Buy Europe}}

Best Buy sells [[consumer electronics]] and a variety of related merchandise, including software, video games, music, DVDs, Blu-ray discs, mobile phones, digital cameras, car stereos and video cameras, in addition to home appliances (washing machines, dryers, and refrigerators), in a [[Commission (remuneration)|non-commissioned]] sales environment.<ref name=SEC/> Canadian stores operating under the Future Shop brand have a salesforce operating within a predominantly commissioned sales environment.<ref name=SEC/> Each store includes on-site installation services for car audio and video equipment.<ref name=SEC/> Every Best Buy-branded store contains a as well as a Geek Squad "precinct" for computer repair and warranty service and accidental service plans.<ref name=SEC/> Computer repair and service plans at Future Shop-branded stores are offered under the Connect Pro brand.<ref name=SEC/>

The building exteriors of Best Buy-branded stores are typically light brown, with the entrance designed to look like a blue box emerging from the structure.<ref name=todaysworld>{{cite book|url=http://books.google.com/books?id=kGQ7N26vJSQC&pg=PA141&lpg=PA141&dq=%22best+buy%22+AND+%22blue+box%22&source=bl&ots=O5I-YVmq2S&sig=l3RGwo1VhVr1IENvt7wx7kniDB8&hl=en&sa=X&ei=pOeLUpPsCenD2wXTvoGIDw&ved=0CIoBEOgBMAg4KA#v=onepage&q=%22best%20buy%22%20AND%20%22blue%20box%22&f=false|title=Best Buy|publisher=Encyclopedia of Business in Today's World, Volume 1|accessdate=21 January 2014}}</ref> Corporate employees operated under a [[ROWE|results only work environment]] from 2005 until March 2013, when the management style was abandoned by Best Buy CEO Hubert Joly.<ref name=startribunerowe1>{{cite web|url=http://www.startribune.com/business/195156871.html?refer=y|title=Best Buy ends flexible work program for its corporate employees|author=THOMAS LEE|publisher=Star Tribune|accessdate=21 January 2014}}</ref><ref name=startribunerowe2>{{cite web|url=http://www.startribune.com/opinion/commentaries/198546011.html|title=Best Buy CEO on leadership: A comment I made was misconstrued|author=HUBERT JOLY|publisher=Star Tribune|accessdate=21 January 2014}}</ref>

In 2013, Best Buy operated 1,056 Best Buy and 409 Best Buy Mobile stand-alone stores in the US.<ref name=SEC/> Best Buy also operated: 140 Future Shop, 72 Best Buy and 49 Best Buy Mobile stand-alone stores in Canada; 211 Five Star stores in China; and 14 Best Buy stores in Mexico.<ref name=SEC/> Best Buy exited the European market in April 2013.<ref name=wsjeu/><ref name=bloombergeu/>

===Exclusive brands===

Best Buy’s exclusive brands consist primarily of Insignia, Dynex, Init, Geek Squad and Rocketfish.<ref name=SEC/>

*Dynex – Discount electronic and computer equipment such as HDTVs, Blu-ray players, storage media, data and power cables, webcams, and office supplies. It is the company's more limited house brand. Not to be confused with Dynix. Its name and logo parody now-defunct telecommunications company NYNEX.

*[[Geek Squad]] – Repairs of old computers and setup of new computers with various software and hardware upgrades. Also includes a repair service for all major appliances and TVs, both in-home and in-store

*Init – Storage products such as media storage, equipment bags, totes and furniture for home theaters.

*Insignia – Discount electronic equipment such as HDTVs, Blu-ray players, home-theater systems, digital imaging and GPS devices. It is the company's signature house brand that competes with more well-known brand names.

*RocketFish – Cables primarily used with home-theater installation and setup as well as on computer and gaming accessories. RocketFish Mobile includes phone cases, gel skins, clips and chargers for cell phones, GPS, and other select products.

==Criticism==

===Warranty===
In 2000, two Florida consumers brought a lawsuit against the company, alleging that it engaged in fraudulent business practices related to the sale of [[extended warranty|extended warranties]] (or, more accurately, [[service plan]]s). The suit claimed that store employees had misrepresented the manufacturer's [[warranty]] in order to sell its 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 company used "artificial barriers to discourage consumers who purchased the 'complete extended warranties' from making legitimate claims."<ref>{{cite web|author=John H. Beisner and Jessian Davidson Miller|date=September 2001|url=http://www.manhattan-institute.org/html/cjr_3_part2.htm|title=They're Making a Federal Case out of It ... In State Court|publisher=''Civil Justice Report''|volume=3|work=[[Manhattan Institute for Policy Research#Center for Legal Policy|Center for Legal Policy at the Manhattan Institute for Policy Research]]|accessdate=August 8, 2012}}</ref> The company ultimately settled for $200,000 but admitted no wrongdoing.<ref>{{cite web|url=http://www.cbc.ca/marketplace/pre-2007/files/money/extended_warranties/bestbuy.html|title=Best Buy, Future Shop and extended warranties|publisher=[[CBC.ca]]|accessdate=January 1, 2013}}</ref>

{{citation needed|date=August 2012|text=In 2009, a class action lawsuit was launched against the company which addressed the same issue. Several consumers were outraged by the sales tactics allegedly used by store employees to sell its Performance Service Plans. The consumers were supposedly misled into thinking that the plan covered all types of damages and that they would receive a new product if they were to bring the product back to the store within the service period. According to the lawsuit, sales associates allegedly failed to disclose the details of the service plan. The results of the lawsuit are still pending,{{clarify timeframe|date=August 2012}} and it is unknown whether the misunderstanding was a result of misinformation given out by sales associates, or of a lack of understanding on the part of the customers.}}

===Pricing===
In the second quarter of 2007, [[Connecticut Attorney General]] [[Richard Blumenthal]] ordered an investigation into the company's use of an in-store website alleged to have misled customers on item sales prices.<ref>{{cite news|author=Staff|date=May 27, 2007|url=http://www.cnbc.com/id/18846852|title=Best Buy Accused of Overcharging In-Store Shoppers|publisher=[[Associated Press]] (via [[CNBC]])|accessdate=August 8, 2012}}</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 an in-store kiosk only to learn that the site reflected in-store prices only. In response, company spokesperson Sue Busch indicated the in-store kiosks were not intended for price-match purposes and rather were 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>{{cite news|url= http://www.latimes.com/business/la-fi-lazarus23dec23,1,5748783.column?track=rss|title=Best Buy Kiosks Not Connected to Internet|last=Lazarus|first=David|publisher=''Los Angeles Times''|date=December 23, 2007|accessdate=August 8, 2012}}</ref>

Similar pricing errors occurred in July 2009, when the [[Palm Pre]] [[multimedia]] [[smartphone]] was mistakenly sold for $99.99 (versus the retail price of $199.99), and Best Buy honored some of the sales.{{citation needed|date=January 2013}} Best Buy regularly exercises the right to cancel orders associated with errors on its website.{{citation needed|date=August 2013}}

In its Mexico subsidiary, policies differ greatly from those in the US, such as charging 20% of the tag price for any devolution. The terms of devolution and others are also very different.{{citation needed |date=April 2013}}

===Analog televisions===
In April 2008, the [[Federal Communications Commission|U.S. Federal Communications Commission]] (FCC) fined the company $280,000 for not alerting customers that the [[analog television]]s it sold would not receive over-the-air stations after the [[digital television transition|digital transition]] on June 12, 2009.<ref>{{cite news |url=http://www.latimes.com/technology/la-fi-tv11apr11,1,152881.story |title=Retailers Fined over Digital TV{{spaced ndash}} Consumers Are Being Deceived About the Upcoming Demise of Analog, the FCC Says|accessdate=August 8, 2012|author=Puzzanghera, Jim |date=April 11, 2008|work=Los Angeles Times|archiveurl=http://web.archive.org/web/20080415120919/http://www.latimes.com/technology/la-fi-tv11apr11,1,152881.story <!-- Bot retrieved archive -->|archivedate=April 15, 2008}}</ref> The company was challenging{{When|date=January 2010}} this ruling by the FCC saying it was and is in compliance with current FCC regulations pertaining to the digital transition.

===Environmental issues===
It was one of several large companies named by [[Greenpeace]] in 2007 for purchasing raw materials or manufactured products derived thereof from logging companies that, in the opinion of Greenpeace, contribute to unethical [[deforestation]] of [[taiga]] in Canada.<ref>{{cite web|author=Press release|url=http://www.greenpeace.org/usa/press-center/releases2/companies-revealed-to-be-purch |title=Companies Revealed To Be Purchasing Forest Destruction{{spaced ndash}} Three Logging Firms Responsible for Majority of Destruction of Boreal Forest|publisher=[[Greenpeace]]|date=August 20, 2007|accessdate=August 8, 2012}}</ref>

Since that time, however, the company launched what it calls Greener Together to increase the energy efficiency of its products as well as reduce consumer waste through more recyclable packaging and proper disposal of certain electronic components such as rechargeable batteries, and empty ink cartridges.<ref>{{cite web|url=http://earth911.com/news/2009/01/26/best-buy-to-launch-e-cycling-at-all-locations/|title=Best Buy To Launch E-cycling at All Locations|author=Jennifer Berry|date=January 26, 2009|accessdate=January 1, 2013}}</ref>

As a way to improve its image and past environmental issues, the company introduced a recycling program in 2009 that has since collected nearly half-a-billion pounds of consumer electronics and e-waste and is available at all their stores for free. These items are then handed over to certified recyclers in the U.S. for proper recycling. The company's goal is to collect one billion pounds of recycling.<ref>{{cite web|last=Aston|first=Adam|url=http://www.greenbiz.com/blog/2012/04/24/how-best-buy-makes-money-recycling-america%E2%80%99s-electronics-and-appliances?page=0%2C1 |title=How Best Buy Makes Money Recycling America's Electronics|publisher=[[GreenBiz]]|date=April 24, 2012|accessdate=August 8, 2012}}</ref>

It also has been named to the [[United States Environmental Protection Agency|U.S. Environmental Protection Agency]] top-50 list of the largest green-power purchasers. In 2011, the company purchased nearly 119 million kilowatt-hours (kWh) of green power{{spaced ndash}} electricity generated from renewable resources, such as wind, solar, geothermal, biogas, biomass and low-impact hydropower.<ref>{{cite web|author= Press release|url=http://phx.corporate-ir.net/phoenix.zhtml?c=244152&p=irol-newsArticle&ID=1695179&highlight=|title=Statement: Best Buy Recognized Among Nation's Green Powered Organizations by U.S. EPA{{spaced ndash}} Best Buy Reduces Carbon Emissons Through Renewable Energy Alternativaes|publisher=Best Buy (via [[Thomson Reuters]] Investor Relation Services)|date=May 11, 2012|accessdate=August 8, 2012}}</ref>

==References==
{{Reflist|30em}}

==External links==
{{Commons category|Best Buy}}
*[http://www.bestbuy.com/ Official website]
*[http://m.bestbuy.com/m/e/ Official mobile website]
*[http://www.bestbuybusiness.com/ Best Buy for Business]
*[http://www.bestbuy.ca/ Best Buy Canada]
*[http://www.bestbuycanadaltd.ca/ Best Buy Canada Ltd.] ''(corporate website)''

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[[Category:1966 establishments in Minnesota]]
[[Category:Companies based in Minnesota]]
[[Category:Retail companies established in 1966]]
[[Category:Companies listed on the New York Stock Exchange]]
[[Category:Consumer electronics retail companies of the United States]]
[[Category:Consumer electronics retailers of Canada]]
[[Category:Multinational companies headquartered in the United States]]
[[Category:Online retail companies of the United States]]
[[Category:Publicly traded companies of the United States]]
[[Category:Richfield, Minnesota]]

Revision as of 19:21, 4 November 2014

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