Best Buy's musical instrument infusion opportunity may be GC's eventual undoing actually. Best Buy Co., Inc.is a Fortune 500 company and the largest specialty retailer of consumer electronics in the United States (according to statistics) accounting for 21% of the market. It also operates in several other countries including Canada, Mexico, and China.

Currently they operate over 1,150 stores in the U.S. alone. On January 16, 2009, Best Buy became the "only" Nationwide Electronic Retail Store (online and/or brick and mortar) in the United States, after the announcement from smaller rival, Circuit City that failed to find a buyer and/or receive any credit. Circuit City announced it was filing for Chapter 7 (Going out of business) and would liquidate the company.

OTOH, Guitar Center operates a little over 200 stores nationwide and none internationally that I'm aware of. With Best Buy's huge presence and popularity and with them getting this strong foothold into the music instrument segment, it may be the proverbial final nail in the coffin for GC, and maybe sooner than we think. As I said, I'm not wanting that to happen because it is never good for consumers when the competition disappears. It wouldn't affect me much personally though because there are several Best Buy stores in my area that I could utilize for my music instrument needs. And for the rest i.e. accessories, etc. I could simply use the various online music retailers. Hopefully though Guitar Center will be around for many more years to come. Time will tell..

All the best,
Mike

[This message has been edited by keybplayer (edited 02-09-2009).]