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Circuit City in HT

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Like Best Buy this year, Circuit City is announcing that it will be throwing its lot in with the home theater crowd as the consumer technology becomes more and more prevalent.

Circuit City said it will unveil later this year a strategy for offering affordably priced home theater installation services that will launch during the second half.

“We will aggressively grow our home theater capabilities,” president/CEO Phil Schoonover said in a conference call reviewing the chain's financial performance (see p. 53), describing the high-margin category as “critical to our long-term strategy” and “a critical competency to build.”

The plan would feature a mix of Circuit City installers and third-party vendors, he said, with employees deployed in primary markets and outsourced providers serving secondary and tertiary markets.



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