Restructuring / Turnaround Strategies Case Study

RadioShack’s Revival Plan: Way to Success?

Abstract:
RadioShack was one of the leading consumer electronics retailers in the world which had more than 7,460 outlets in and around the US. In the early 2000, the company witnessed decline in its sales due to unsuccessful products and new ventures. In 2005, in order to revive the struggling company, its CEO, Edmondson formulated a revitalisation plan. Before the company started working on its revival plan, Edmondson had to resign and this resulted in uncertainty in the entire organisation. Though the new CEO, Claire Babrowski started working on the turnaround plans, analysts were skecptical about the company’s ability to rejuvenate itself amidst its challenges.

Pedagogical Objectives:

• To understand about the consumer electronic market in the US
• To discuss about the need for innovation to survive in business
• To understand how Radio Shack achieved growth and what led to its turnaround.

Keywords : RadioShack; US; Restructuring / Turnaround Strategies Case Study; Electronic retailer; Turaround strategy; business model; Solution strategy; busines; store rationalisation; turaround plan; resume scandal; Best Buy; slow moving inventory; Circuit City; Tandy Radio