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Classification: Internal Use
CASE STUDY OF CIRCUIT BAY AND BEST BUY
1. Evaluate whether the replacement of highly paid workers with lower-paid workers did or did not cause Circuit City to perform so poorly. How confident are you in your evaluation? Why?
The replacement, of course, affected the performance of Circuit City thereby reducing its revenue and profits. This is so because the employees who were highly skilled and trained were fired to save money. They were fired because Circuit Bay was not willing to pay high wages to the workers and therefore they got them replaced. As a resulted the functional attributes of the company got disrupted...