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If you enjoy reading this site, you might also want to check out these Think Services sites:
 Game Career Guide (for student game developers.)
 Indie Games (for independent game players/developers.)
 Finger Gaming (news, reviews, and analysis on iPhone and iPod Touch games.)
 GamerBytes (for the latest console digital download news.)
 Worlds In Motion (discussing the business of online worlds.)
 Game Set Watch (the Group's alt.game weblog.) |
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Lazard: Blockbuster’s Game Expansion No Problem For GameStop
by Eric Caoili
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April 29, 2008
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Lazard Capital Markets analyst Colin Sebastian expects Blockbuster’s plans to expand its video game footprint in all of its U.S. locations will have not have a significant competitive impact on major gaming retailer GameStop.
Representatives from Blockbuster announced yesterday that it seeks to “significantly expand its game business” by configuring all of its stores to offer an increased range of software, hardware, and accessories for all consoles.
In addition to featuring rental and retail titles in specifically designated game sections, Blockbuster will also offer special consumer game offers, in an attempt to take advantage of the surging game market.
Sebastian comments in a new investor note that GameStop has maintained, and perhaps even gained, its market share in recent years. This is despite increasing competition against other more generalized retailers such as Best Buy and Circuit City. Conversely, Blockbuster has had limited success in building market share with its video game sale.
In his summary, analyst Sebastian argues: “We believe GameStop should continue to benefit from its focus on video games, core gamer consumer base, and highly profitable used segment, which are key differentiators from other retailers.”
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