A case from GAMESTOP GAMESTOP PREP QUESTIONS 1. What is GameStop’s value proposition and who are GameStop’s segments and target markets? What is the outcome that GameStop’s target markets expect, what are the core objectives that GameStop uses to meet the outcome and what are the critical activities and resources that support their objectives? 2. How does GameStop’s value chain differentiate it from the competition? 3. What are the pricing strategies involved in the trade-in process and how does GameStop’s marketing support customer perception and sales? How does the knowledge of the staff add to the strategy and how do the type of stores and store layouts contribute to GameStop’s success? 4. How do GameStop’s Internet sales contribute to its strategy? How has GameStop grown? What is its 2006 growth strategy? How can GameStop continue to grow in an industry with few suppliers? 5. Who are the key competitors for GameStop and how will GameStop beat out competitors with a similar concept, such as The Exchange? 6. Can or will big box stores such as Best Buy, Wal-Mart, Target, etc. modify their offers to compete? Can or will online rental and used game sites (eBay, etc.) expand their operations to become stronger competitors? What barriers to entry is GameStop trying to create? Will these efforts be enough to keep out new competitors? 7. GameStop has purchased and consolidated the three major used game firms (GameStop, EB Games and Funcoland). Is its store saturation in the U.S. cannibalizing sales? How has GameStop addressed the next generation gaming systems? Will it be able to maintain a wide selection of games for every system in its relatively small stores? Can it expect its employees to be knowledgeable about all the gaming systems? 8. GameStop specializes in gaming hardware and software in its stores. Does its strategy of adding used DVDs make sense? Should it continue to sell action figures and non-gaming merchandise?
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