Circuit City's ongoing downfall now offers North American shoppers another chance to save a couple extra dollars before Black Friday in a couple of weeks. The company recently filed for bankruptcy protection and is shutting down stores across the United States, which means one thing -- liquidation.
Even though Black Friday, the official start of the holiday shopping season is close by, a quick visit to your local Circuit City should provide numerous great deals before the chaotic one day shopping event a day after Thanksgiving. Most Circuit City locations have sales ranging from 10 percent up to 50 percent on just about every item in the store.
Blu-ray, HD DVD and DVD movies and TV seasons have reduced prices, while music CDs also are priced to move. Consumer electronics, such as TVs, stereo systems and monitors, also have been discounted, along with almost everything else but the kitchen sink.
After visiting several local Circuit City locations in the San Francisco Bay Area, I've found that most of the decently priced standalone Blu-ray players and HDTVs have already been sold.
It is expected prices will drop even further on Black Friday, but it's unlikely any significant products will still be available to purchase. It's likely if you go to a Circuit City today you'll find empty shelves and sparce products on the shelves -- but it's still worth a trip if you're close to a store.
Some analysts expected Circuit City's demise would help Best Buy and other retailers, but Best Buy also lowered its 2009 financial outlook during "the most difficult climate" the company has ever faced.
"Since mid-September, rapid, seismic changes in consumer behavior have created the most difficult climate we've ever seen," Best Buy CEO Brad Andersen said.
"In 42 years of retailing, we've never seen such difficult times for the consumer," a different Best Buy executive said. "People are making dramatic changes in how much they spend, and we're not immune from those forces."
Just because the company may struggle in a manner it's not used to, the company is still in better position than other companies working in the same market. Best Buy officials expect the company will have around $600 million in free cash flow to work with in 2009, regardless if the company's earnings suffer a bit.
