View Full Version : Tough times at Radio Shack
Boyd Ostroff February 20th, 2006, 05:47 PM As part of a turnaround plan, last week Radio Shack announced they were closing between 400 and 700 company owned stores as well as two distribution centers: http://www.radioshackcorporation.com/ir/index.html
RadioShack will concentrate its efforts and investment on improving top-performing stores in order to deliver a great customer experience. To do so, it will close 400 - 700 company-operated stores.
___________
In addition, RadioShack intends to close its distribution centers in Charleston, SC and in Southhaven, MS.
...But if that wasn't bad enough, today their CEO David Edmondson resigned over an issue related to the truthfulness of his resume: http://biz.yahoo.com/ap/060220/radioshack_ceo.html?.v=8
Leonard Roberts, RadioShack's chairman and Edmondson's predecessor as CEO, said the move was necessary to restore the company's credibility.
"One of the most important things we have as a corporation is integrity and trust and we know we have to restore that back to the public," he said.
Richard Alvarez February 20th, 2006, 07:14 PM I'm old enough to remember WHY it was originally called "RADIO SHACK". (Where is my old Heathkit?)
I think they've been hit by the big box stores the way the small "Ace" hardware stores have been hit by the Home Depot. The only reason I go to Radio Shack now, is because there's one a little closer to me than Fry's. But they seldom have as big a selection, or as low a price as Fry's or Circuit City. They will on occasion, still have the odd piece of technical hardware... but Fry's pretty much carries all of that too.
Boyd Ostroff February 20th, 2006, 07:38 PM I'm old enough to remember WHY it was originally called "RADIO SHACK".
The First RadioShack Store
Two years later and half a continent away, two brothers, Theodore and Milton Deutschmann, opened a one-store retail and mail-order operation in the heart of downtown Boston. They chose the name, "RadioShack," which was a term for the small, wooden structure that housed a ship's radio equipment. The Deutschmanns thought the name was appropriate for a store that would supply the needs of radio officers aboard ships, as well as "ham" radio operators.
Beginning in 1921, RadioShack would grow to a handful of stores clustered in the Northeast, and become a leading electronics mail-order distributor to hobbyists. This is how it would remain until the company and a young Texan named Charles Tandy crossed paths four decades later.
More company history here: http://www.radioshackcorporation.com/about/history.html
My Dad was an engineer and loved to build electronic stuff.... we also had Heathkits and all kinds of other strange stuff around the house. I remember Saturday morning trips to Radio Shack in downtown St. Louis as a kid in the 1950's and 60's. But by the 1970's they were already getting a reputation for selling cheap stuff that didn't hold up so well, and unfortunately it seems like its been a long slow slide downhill since then.
Greg Boston February 20th, 2006, 08:16 PM But they are still the quickest local shop for discreet components and IC's. You can't buy 1/4 watt 100k resistors at Best Buy or Circuit City. And I remember Heathkit, but only after it was already a separate place. Anyone remember that the parent company of Radio Shack is Tandy Corporation. I remember buying Tandy leather crafts like watch bands and moccasins back in the 60's. One and the same company IIRC.
-gb-
p.s. With Tandy being here in Ft. Worth, it's getting a lot of local press coverage.
Boyd Ostroff February 20th, 2006, 08:43 PM I remember buying Tandy leather crafts like watch bands and moccasins back in the 60's. One and the same company IIRC.
Yep - read the history in the link I posted above. Also, if you read their press release I linked to (go to the site and select "RadioShack Corporation Announces 2005 Fourth Quarter, Fiscal Year Financial Result"), it implies that you might not see those kinds of components in their stores in the future.
The company will replace old, slower-moving merchandise with new, faster- moving merchandise within higher growth categories. RadioShack will concentrate its efforts and investment on improving top-performing stores in order to deliver a great customer experience.
Charles Papert February 20th, 2006, 09:31 PM I've been noticing that it's getting harder to get little video/audio odds and ends at the local Radio Shacks, they seem to be more interested in selling cel phones and electronics these days. I remember the turning point about 10 years ago when I went to pick the brains of the guy at the local R.S. about a circuit I was building, and his normally helpful demeanor wasn't in effect that day. Finally I asked him what was wrong, and he replied that because of a lawsuit where some jackass built something wrong on the advice of a RS employee, the corporate office was discouraging the dispensing of how-to tips. Now, forget it--I'm lucky if I can use terms like "BNC to RCA adaptor" around most of the gum-chewers that are behind the counters today.
J. Stephen McDonald February 20th, 2006, 10:20 PM The reason for Radio Shack's decline is quite clear to me: They killed their printed catalog, an institution in its own right and tried to replace it with an awkward, incomplete and often useless online version.
This was accompanied by their expansion of stock in more expensive, turnkey equipment. By abandoning the printed catalog and de-emphasizing many of the parts found in it, they lost the cornerstone of their business. They are no longer so useful to the many tinkerers who formed their customer base.
Hopefully, their new CEO will want to keep the best of the old, while expanding into new areas of merchandise. They'll have to start using larger stores, about twice the current size (still pretty small), so they can have good selections of all these things. If they dump their role as a parts supplier and try to outdo the large retailers selling big-box items, they'll probably lose. The big players offer very little in parts and tools for electronic projects. If Radio Shack gives people the nuts and bolts as well as enough of the bigger items, but yet keeps stores small enough to be independently owned, they might survive.
They were always different than everyone else and flourished. Trying to be like the other chains by losing their traditional business doesn't seem like a wise strategy.
James Emory February 20th, 2006, 11:15 PM Now, forget it--I'm lucky if I can use terms like "BNC to RCA adaptor" around most of the gum-chewers that are behind the counters today.
Oh so true. These things seem to be run by 16 & 17 year old kids that are mostly worried about one thing, quittin' time!
The reason for Radio Shack's decline is quite clear to me: They killed their printed catalog, an institution in its own right and tried to replace it with an awkward, incomplete and often useless online version.
Yep, that online thing for Radio Shed is a trainwreck! You would think that online catalogues would have been a huge cost saver for alot of businesses who had to pay 10s of thousand over the decades for printing those catalogs. But I have been surprised to hear sales people say, oh, it's not on our site yet or they don't include that on our site. What!? Having the ability to post video, hi res images and text on a web page that can be seen 24/7 anywhere in the world for no additional cost is the best reason that could be thought of to have every single product you sell on your site! Why would anything be excluded? I just don't get it!!
However, here is the possible answer, if everything is available on-line, then why would you want to make a trip to the store unless you need it right then? I guess there is a real concern with hurting in-store purchases. Do Radio Shed employees still get commissions for in-store purchases?
Paul Pelalas February 21st, 2006, 01:47 AM I think it was 10 years ago I was on a shoot out of state, can't remember what state it was, but the Radio Shack there had a clearance center in the back of the store. There were all the this stuff from the 70's and 80's , just sitting there in a big back area of the store. Anybody know of this store?
James Emory February 21st, 2006, 10:57 AM What is a Heathkit?
K. Forman February 21st, 2006, 11:10 AM In my area, we have an old Pop's type place, called Tedco Electronics. They have specialized in Ham radios, CGs, DIY electronics stuff for like 30 years. This is the first place I call or visit. If he doesn't have it, you don't need it. He even knows about the stuff he sells, and how to fix it. I usually can't find anyone with a clue at Radio Shack, but they still blow Wal Mart away... when it comes to electronic parts.
Dylan Couper February 21st, 2006, 11:31 AM Anyone remember that the parent company of Radio Shack is Tandy Corporation. I remember buying Tandy leather crafts like watch bands and moccasins back in the 60's. One and the same company IIRC.
My first real computer was a Tandy. No wonder the dog kept wanting to chew it.
Richard Alvarez February 21st, 2006, 12:57 PM Heathkit was a manufacturer of Ham Radio Kits (and other electronic 'do it yourself' projects)
To put it in perspective. "Computer Nerds" existed before computers. They just built ham radios, antennae, and test equipment 'back in the day'.
Radio Shack used to carry these kits, and others. And as many of the guys here mentioned, it was the go-to place for getting the various parts... circuit boards, resistors, GERMANIUM DIODES,VACUUM TUBES, transistors, knobs, cases, wire,et.
Hell, I bet if you looked hard enough, you could even find a FLUX CAPACITOR. ;)
For people who need the odd part that might fall between the "consumer electronic" need and the "Order it from the manufacturer" professional need... it is becoming harder and harder to find bits and pieces.
Recently, I was looking for a particular connection - A female XLR to Male RCA cable. You know, to run from a sound board into the 'line in' on the XL2. I first went to Radio Shack... no luck... went to CompUsa...no luck.... went to FRY's and found lots of work arounds and step downs (some of which I bought anyway cause they are great to have on hand.) But finally wound up going to GUITAR CENTER to find what I wanted. Long, long ago, Radio Shack would have had just about any kind of connector/cable you could want.
Flashback for the old guys on the board - I still remember my Dad driving down to the 7-11 convenience store, to TEST A VACUUM TUBE from the TV set to see if it needed replacing! Does anyone else remember the do-it-yourself tube testers that were in stores???
(When you think about, the merger of Radio Shack and Tandy Corp was a good idea. They both sold "hobby kits" - electronic on the one hand, and leather crafting on the other)
Greg Boston February 21st, 2006, 01:13 PM My first real computer was a Tandy. No wonder the dog kept wanting to chew it.
No Dylan, I'm guessing it's the liquid diet you were sharing with the dog which caused that sort of behavior. ;-)
-gb-
Adam Keen February 21st, 2006, 04:41 PM Radio Shack
You've got questions and money. We've got cell phones and aliens. (http://www.zug.com/gab/index.cgi?func=view_thread&sort=funnymtd&head=1&thread_id=39753)
The discrete components were the best part of rat shack for me. Now they up the prices and don't restock them.
Boyd Ostroff February 21st, 2006, 07:03 PM What is a Heathkit?
Google can easily answer that: http://www.heathkit-museum.com/
Wow, what nostalgia. There are several kits here that my father and I built!...
J. Stephen McDonald February 21st, 2006, 07:09 PM As I recall, Radio Shack also maintained a huge selection of electronic components, that could be obtained only by mail-order, from their Texas warehouse. There was a big catalog for these items that was kept under the counter at each store. I wonder if this special catalog and that whole line of items has also been eliminated?
For years, they were the only source that still had blank 8-track tape cartridges. When they finally stopped stocking them, I was out of luck. Now, I can't use any of my pro-quality 8-track and 8-track quadraphonic recorders, as there's no tapes for them. How can I spend those special moments listening to 60's pop hits, when they're on CDs? Those track-changing clunks and slight delays are absolutely necessary to stimulate the proper nostalgic response.
James Emory February 22nd, 2006, 08:29 AM Ah, so the Heathkit was a homebuilt computer? Did anyone ever have the Trash 80 (TRS-80)? I was still playing with the Atari 2600 at that time!
www.kjsl.com/trs80
K. Forman February 22nd, 2006, 08:37 AM No James, Heathkits were do it yourself science projects, like build your own radio, and stuff like that. You got a box of parts, instructions, and you made it.
James Emory February 22nd, 2006, 09:04 AM I remember building a radio out from a kit where there was a cardboard tube and you had to wrap copper wire around it many times completely covering it. Then there was a metal ball bearing with a hole in it that slid back and forth on a rod that was the length of the tube. The ball was the tuner for the different frequencies and you could actually hear radio stations with a small earpiece. Maybe that was one of those kits.
K. Forman February 22nd, 2006, 09:08 AM Sounds almost like what I can remember, but I never did the electronics stuff as a kid.
Boyd Ostroff February 22nd, 2006, 09:12 AM No James, Heathkits were do it yourself science projects
Actually they weren't "science projects" for the most part. They were useful everyday things which you built yourself, such as stereo amplifiers and electronics test gear. It may be hard to understand in today's mass produced import market, but this was a way to get a very high quality stereo system for much cheaper than an off the shelf model. But they were not easy to build! I built a preamp and it took forever - basically you got a box of parts and a circuit board and had to assemble and solder everything yourself. There was considerable troubleshooting involved to get everything working up to spec, but once you got there you had a nice unit. Their stereo components always got top reviews and probably only cost half as much as the high end consumer amplifiers.
Browse through the site I linked to above, there's a lot of info if you're really interested. But of course this is all OT since Heathkit had no relationship to Radio Shack...
Boyd Ostroff February 22nd, 2006, 09:16 AM [color=blue]I remember boulding a radio out from a kit where there was a cardboard tube and you had to wrap copper wire around it many times completely covering it.
That was a "crystal set" and there were plenty of kits for doing them. Very basic radio which you could build yourself; no amplifier - you listened through earphones. The classic project was building one using a Quaker oats container, a safety pin and other household objects. These were frequent science class and cub scout merit badge projects "back in the day" (now I *really* am showing my age ;-) I believe Heath did make sort of a "junior" kit for these, but most of their projects were pretty expensive and sophisticated (like building an oscilloscope!). Another favorite science class project was building a home-made electric motor!
Here's some info on crystal sets: http://www.schmarder.com/radios/crystal/
Edward Slonaker February 25th, 2006, 09:12 AM Wow! Talk about a blast from the past! I've still got my Heathkit 35, which is an experiment set of 35 electronic "projects" you can make. It's a big circuit-board-on-a-box with all different sizes of wires, plus transistors, resistors and capacitors you can plug in using these tiny, spring loaded clips. You could make an AM radio, an intercom (there was another box included to use as a "receiver"), geez I can't remember 'em all. It's still in its original box up in a closet in my mother's house. I'll have to go get it sometime and see if it still works.
Dad even ordered one of their super-whiz-bang 25" TV kits. It was light-years ahead of its time. Had a programmable timer that would change channels (all THREE of 'em!) at a certain time. Would also turn on and off at a certain, programmed time. I remember helping to try and get that sucker finished in time for Super Bowl X (can you believe it???). We did it, but it sure was ugly for a while. Can't buy memories like that.
Richard Alvarez February 25th, 2006, 09:59 AM Edward,
That old heathkit project could be worth big bucks on Ebay. Boomers LOVE to buy their old playsets!
Edward Slonaker February 25th, 2006, 11:44 AM Yeah, I looked through the Heathkit Museum site and didn't see anything on the multi-project kits. Even went on the myheathkits.com site and saw little. But, it's fun to step back and remember them. I'll have to resurrect it and give it to my nephew. Think that'll pry him away from the Nintendo?? Well, I didn't think so either.....
|
|