End of Circuit City

According to an AP story on WSJ.com, Circuit City has “reached an agreement with liquidators on Friday to sell the merchandise in its 567 U.S. stores after failing to line up a buyer or a refinancing deal.” As I noted before, Circuit City made a colossal blunder when it fired its most experience employees – a sign that it did not understand and did not care about its key intangible asset. That action is not the sole reason for the company’s utter failure. But it ranks up there as a major contributing factor.
Let us hope that others have learned a lesson.

9 thoughts on “End of Circuit City”

  1. On Wisconsin?

    I find what is happening in the State of Wisconsin right now unsettling. And I don’t mean just the protests and counter-protests. And not simply because the move by the Governor to break the public-sector unions is more a demonstration…

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  2. On Wisconsin?

    I find what is happening in the State of Wisconsin right now unsettling. And I don’t mean just the protests and counter-protests. And not simply because the move by the Governor to break the public-sector unions is more a demonstration…

    Like

  3. But still losing an intangible asset

    Back to our theme of losing an intangible asset, here is this story from the Wall Street Journal – Public Employees Rush to Retire. And here is the story’s tag-line: “Governments Save Money, but Lose Expertise.” Remind you of anything?…

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  4. But still losing an intangible asset

    Back to our theme of losing an intangible asset, here is this story from the Wall Street Journal – Public Employees Rush to Retire. And here is the story’s tag-line: “Governments Save Money, but Lose Expertise.” Remind you of anything?…

    Like

  5. Layoffs reduce intellectual capital

    Over at Inc. magazine there is a great little piece on the “6 Reasons Layoffs Are Really Dumb.” Each of the 6 is a way in which layoffs reduce intellectual capital (especially a regular practice of layoffs): Innovation loss: Innovation…

    Like

  6. Layoffs reduce intellectual capital

    Over at Inc. magazine there is a great little piece on the “6 Reasons Layoffs Are Really Dumb.” Each of the 6 is a way in which layoffs reduce intellectual capital (especially a regular practice of layoffs): Innovation loss: Innovation…

    Like

  7. The lessons of Circuit City

    Last Friday’s posting made a passing reference to Circuit City. In numerious previous postings, I have held up the now-bankrupt Circuit City electronics retail chain as the example of how not to foster your intangible assets. Now comes an article…

    Like

  8. The lessons of Circuit City

    Last Friday’s posting made a passing reference to Circuit City. In numerious previous postings, I have held up the now-bankrupt Circuit City electronics retail chain as the example of how not to foster your intangible assets. Now comes an article…

    Like

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