Wal Mart and Best Buy

Marketing 340

February 24, 2008

Marketing Written Assignment #1

For this marketing assignment I am choosing the companies of Best Buy and Wal-Mart. I will now answer the questions as instructed by the directions of the assignment.

1)

a) In my opinion the biggest advantage an online store offers over a brick and mortar store is convenience. Wal-Mart is open twenty four hours a day and that is very convenient, but to shop online you don’t have to leave your house or even be dressed. When I was at Wal-Mart and looked around I noticed it had considerably less selection then the online store. For example, in the electronics department, the online store has a much greater selection of CD’s, DVD’s, video games, and televisions. For Best Buy I believe the same advantage of convenience applies, but I do not believe the online store had more selection. The online store at Best Buy allows customers to browse the store and look at expensive items without actually going to the store and being pressured into buying. I believe this is a huge advantage since buying items from Best Buy are often larger purchases that are not usually made on impulse.

b) At both Wal-Mart and Best Buy, the main advantage of the brick and mortar store is service. If you have a question at either store you will easily be able to find someone to help you make an informed decision on buying an item. Other advantages at both stores also include local coupons for savings and being able to actually take the item home after you buy it as opposed to waiting a few days after you buy it online.

2) Both Wal-Mart and Best Buy are both very successful, especially Wal-Mart. The reason why successful companies with regular stores add online stores is because ecommerce is the way of the future. People want information and they want it fast. So it is much easier for a person to get their information online as opposed to driving to the store and walking up and down the isles. Another reason Best Buy and Wal-Mart have online stores is because of cost. It is cheaper for these companies to sell you these items online then it is for them to stock them in the stores. The