Here we have a computer software retailer which at this point last year was seeming to struggle. A Profits warning at Christmas and a downhill ride for the share prices, and with that many unhappy investors. This was due to the high discounting that was taking place in the sector. Price was started out between companies such as Tescos & Dixons, Electronic Boutique had to follow suit. The shares hit an all time low of 25p, however the management had plans, deals were signed to strength Electonics Boutiques 30% market share and to increase their market on the Internet. A partnership argeement was signed with Netscape, EB were granted exclusive rights to Netscape games retailer and in return EB distributed Netscape CD's in store. Cable & Wireless argeed to a similer type of deal to allow EB rights to the forthcoming Open Channel games reseller. Shares have begun to react to this. Brokers are beginnig to change their ratings on EB. The prices is about to change. With the forthcoming release of the Sony Playstation 2 with EB's market share of 30% the future looks bright.
How helpful would this review be to a person making a buying decision? Rating guidelines
Advantages: good price, loyalty scheme, nice design Disadvantages: your order may never actually turn up, which in anyone's books must not be a good thing
Advantages: good price, loyalty scheme, nice design Disadvantages: your order may never actually turn up, which in anyone's books must not be a good thing
Aug 5th, 2000
very helpful by (40%):
helpful by (40%):
somewhat helpful by (20%):
