Radio Shack On The Verge of Bankruptcy & About To Be Delisted From Stock Exchange

Radio Shack used to have a fair amount of customers....back in the days when people still liked to putter around trying to fix broken electronics stuff, etc. Now, everything is "throw away", and very few people ever try to fix anything. Plus, most Radio Shack stores are small, and don't have the space to keep much other than cell phones, etc., in stock. They are having to compete with all the major retailers now for all the bigger items they sell...tv's laptops, etc., and this combination of small stores, and competition from everyone else has ruined the original RS business model. Frankly, I'm amazed they have lasted this long.
 
Makes me wonder why they didn't go back to the "Rat Shack" basics - DIY stuff, ham radios, CB's, etc. It's an admittedly smaller but still fairly strong market.
 

WhatInThe said:
To old school hobbyists and electronic gadget enthusiasts. Radio Shack on the verge on bankruptcy and about to be delisted from the stock exchange NYSE.

http://consumerist.com/2015/01/23/new-york-stock-exchange-sends-warning-letter-to-radio-shack/
Click to expand...

My guess is they can't compete with the big conglomerates like Wally World:( It's sad because I love small businesses, you still, for the most part are going to feel welcome, like they are actually glad to have your business. Out here in Oregon there are so many places going out of business. Our downtown (beautiful, old buildings) is like a ghost town. I suppose it's inevitable:(
 
AprilT said:
wasn't radio shack claiming bankruptcy 10 years or so ago as well?
Click to expand...

Sounds about right. When this guy took over around 2006ish there were rumors then that the Kmart owner might buy them out. But he failed.

http://www.forbes.com/sites/nathanv...ays-radioshack-turnaround-has-been-a-failure/

Personally I thought Radio Shack should've made a better effort to slap their name on one or two computers, sell all the accessories and components rather than try all these different things like cell phone sales and the occassional odd lot computer. Ironically not only did they lose on the computer market but they lost out on the remote control toy market to toy stores and big boxes like Wal-Mart. If they had made their assortments/choices simple they could've bought in bulk and sold at a competitive and profitable price. But the prices? whew, killed them.
 
I'll miss them. They are always helpful selling and servicing the product...batteries, phones radios etc.

Just last week I purchased a small hand-held voice recorder. I use it for recording phone messages and lists.
I make grocery lists and take it to the store with me.
 
Falcon said:
I'll miss them. They are always helpful selling and servicing the product...batteries, phones radios etc.

Just last week I purchased a small hand-held voice recorder. I use it for recording phone messages and lists.
I make grocery lists and take it to the store with me.
Click to expand...

Decades ago I was a regular battery shopper there. I think it RS where you got a card punched every battery purchase then a freebie. I would look at all the gadgets and do dads etc while I was there. It's the smaller electronic gadgets they should've stuck to rather than trying to go into the computer market. Again they should've sold one or two simple unique computers for Radio Shack customers only. If a small store like that tries to compete with everybody and anybody they'll lose.
 
AprilT said:
Yes Phil, they dabbled.
Click to expand...

Heh, heh ... "dabbled" ... love that word.

I thought they were quite popular back when home computers were just coming out, but when Apple, IBM and Commodore really got going is when I think Tandy died out - they just didn't have the R&D bucks, I guess.

My first computer was a Commodore 64, and most of my friends bought Apples - don't remember anyone that had a Tandy.
 
They were THE computer outlet in the day but their day is over. They got to where they could not compete wth the online component and parts houses and the big box stores both online and in their hometown stores. They outlived their time.
 
Radio Shack management did just about everything wrong over the last 20 years that could be done wrong. From failed online marketing, clueless employees, outdated stores, focusing on saturated markets and corporate leadership that was overpaid and underperforming, they are a Harvard text book case in how to make a business fail.

It's too bad-if their efforts and business plan had been focused, they could have been akin to Amazon or Best Buy. But they chose too many strategies and the business model was unsustainable. As someone who bought a CB from them in the 1970's (and they were the worlds largest CB retailer), I won't miss them-they abandon their core and no business can succeed on just selling cables and batteries.
 
Their staff didn't know anything about most of their stuff, their stuff was overpriced, and they had a poor selection -- at least in the store in my neck of the woods. I quit even trying to go in there for anything several years ago.
 
You must log in or register to reply here.

Back
Top