Thursday, March 29, 2007

Bye-Bye Circuit City

I have found another company that will never see another penny from me. Circuit City. I am a firm believer in competition in the marketplace and have witnessed over and over again companies that can compete in marketplaces where their cost structure is not the lowest and therefore can't complete on price alone. It's done with a razor focus on quality and customer service and you can't do it on the cheap. It takes energy and well trained and loyal employees that know that they will share in the success of the company and understand how important they are to the success or failure. Circuit City management is making a huge mistake and like I said above will not have me darken their door again. I know what I would experience if I did. There would be uninformed, un-engaged and uncaring zombies on the sales floor that could care less if I left a satisfied customer. They could care less if I had made, with their assistance an informed purchase.

Bye-Bye Circuit City!
A new plan for layoffs at Circuit City is openly targeting better-paid workers, risking a public backlash by implying that its wages are as subject to discounts as its flat-screen TVs.
The electronics retailer, facing larger competitors and falling sales, said Wednesday that it would lay off about 3,400 store workers_ immediately - and replace them with lower-paid new hires as soon as possible.

The laid-off workers, about 8 percent of the company's total work force, would get a severance package and a chance to reapply for their former jobs, at lower pay, after a 10-week delay, the company said.
UPDATE: Circuit City Chief Executive Officer Philip Schoonover was paid $8.52 million in fiscal 2006, including a salary of $975,000.

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