Circuit City Rejected Best Buy

In late 1988, Circuit City had the chance to purchase its growing rival Best Buy for $30 million. Richard Sharp, Circuit City's CEO, rejected the offer because he believed the chain could enter Best Buy's home territory of Minneapolis and easily defeat it. Competition from Best Buy instead became one of several factors behind Circuit City's collapse. Circuit City filed for Chapter 11 bankruptcy in 2008, before liquidating its remaining stores by 2009.

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