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Thursday, December 7, 2017

Guitar Center Debt Default "Imminent" - Won't Survive 2018?


10 comments:

  1. ooooooohhhh boy' get ready for the blow out sale' EVERYTHING MUST GO!!!! sale!please lets keep posted. I want one of them music man bongo's bass's

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  2. ooooooohhhh boy' get ready for the blow out sale' EVERYTHING MUST GO!!!! sale!please lets keep posted. I want one of them music man bongo's bass's

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    1. This is nothing to celebrate. If you want one of those basses, go do the right thing--purchase it from them in-store and help secure their future in a small way. Better to be a nurturing daddy than a pitiless vulture. When theyre gone, where ya gonna go to sit down and try out a new amp or gitfiddle? Cant do that online...

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  3. Is this a result purchasing Musicians Friend, Woodwind and Brasswind , Music 123 and Lyons Music??? Too Many Irons in the fire maybe????

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  4. Guess it depends on if Bain capitol wants to pour more money into it or not.

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  5. In music community there's always a band that undercuts and offers to play for less money than other bands charge in attempt to pick up more gigs, but they really hurt everyone by driving down gig pay for the whole community. It seems like GC has been doing this by purchasing massive amounts of inventory that already has a pretty high cost, then tries to sell it for less than everyone else, forcing the mom & pop shops to compete with their prices at lower profits and higher costs which are only hurting themselves. I don't see how they're going to dig out of almost 2 billion by pushing rock bottom prices on high cost inventory while building stores in high rent areas, higher rent retail spaces, etc. The goods they can purchase for less and mark up more (generic cables, accessories, etc.) still won't be enough as they're often small add on items to purchases and often get returned because they're short lived. My .02 as a working musician

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  6. That's not how pricing works any more. Retailers go off of MAP. Manufacturers advertised price. The manufacturers set the pricing you see. 10 12 years ago this was not the case. Gc is making more money now on each thing they sell than previous years. They're failing because of the stuff they did 10 15 years ago when they gave away cars to employees and would sell anything for any price. They had a massive spending habit. And still do.

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    1. Yikes! Thanks for the info. Still dont see how theyre going to dig out of that much debt if they're rating is sinking and habits arent changing. Maybe they can stretch out the inevitable by closing stores in waves like Sears/kmart, but not looking good for the future.

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  7. You mean "Guitar, I have no ideal what you are talking about, and even if I did, we don't have it in stock, Center"

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