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6 Signs Best Buy May Be Headed for Bankruptcy

As the electronics giant adapts to increased online sales, it shutters 17 stores and restructures its workforce, hinting at deeper challenges ahead.

best buy sign on 14th street store in new york
Updated Sept. 24, 2024
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If you want to keep more money in your wallet, Best Buy can be an excellent place to get deals on electronics, video games, and other technology. But shoppers in some areas may have more trouble finding a nearby location than they're used to — and the retailer may be in even deeper trouble than it’s letting on.

Last March, Best Buy CEO Corie Barry announced that Best Buy would be closing 17 stores across the country. She also noted that this is not unusual — Best Buy typically closes 15 to 20 traditional large-format stores in any given year as part of the company’s normal lease review process. 

Still, a few signs point toward troubled waters for the technology retailer. 

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It's not looking good.

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Best Buy has also recently carried out layoffs and job restructurings, in addition to pulling back on various fronts: 

Best Buy has exited physical media sales, retreated from the Samsung authorized repair program, and has even begun to use generative AI for customer troubleshooting and order support.

Barry noted that Best Buy sales are increasingly moving online instead of customers buying products at retail locations. Barry said that 33% of its 2023 revenue came from online sales compared to 19% in fiscal year 2020.

Here are some of the cities where Best Buy is closing locations.


Shakopee, Minnesota

fizkes/Adobe electronics section in best buy

In March, Best Buy shuttered its location in Shakopee. 

The retailer also closed a location in Blaine, Minnesota. However, that store was slated to reopen as an outlet store which may help local buyers keep more money in their bank accounts.


Hixton, Tennessee

Eric BVD/Adobe samsung lcd monitors inside best buy store

Another Best Buy location in the state of Tennessee — in Hixton, near Chattanooga — also closed.

In a statement, the company said, “The decision to close a store is never an easy one, and we are so grateful for our Hixson-area customers who have shopped with us over the years.”

The 20,000-square-foot store was open for 17 years at that location before Best Buy decided to close it.

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Farragut, Tennessee

happycreator/Adobe best buy store sign board on retail store in minnesota with vacant parking on sunny day

Best Buy’s store in Farragut — a suburb of Knoxville, Tennessee — closed its doors in March.

Knoxville news station WATE reported that a sign on the shuttered store read “It’s not goodbye, it’s see you around,” on the front door. Shelves inside were already empty.


St. Joseph, Missouri

Sundry Photography/Adobe best buy signboard in san francisco during day time

Best Buy also closed a location in St. Joseph, Missouri, close to the Kansas/Missouri border.

In a statement, Best Buy reminded customers that they could get items from the retailer on BestBuy.com or with the Best Buy app.

Temecula, California

Sundry Photography/Adobe best buy shop in san francisco

California saw the closure of its Best Buy location in Temecula.

The news came after Best Buy shut down its store in another California city — Riverbank — last year. That location closed its doors on Oct. 29.


Pflugerville, Texas

wolterke/Adobe best buy trademark logo on store building with vacant entrance during day time

Best Buy shut down a location at the Stone Hill Town Center in Pflugerville, Texas, in March as part of the company’s downsizing.

A representative noted that although Best Buy was closing its location in the Austin suburb, shoppers still have the option to visit other nearby locations.

Pro tip: If your Best Buy store is closing you may want to buy more online with Amazon. Consider these Amazon hacks to maximize your savings at the retailer.

Algonquin, Illinois

Sundry Photography/Adobe best buy store from outside in santana row shopping area in san jose

Algonquin, outside of Chicago, shut down its Best Buy location in early March.

The 31,000-square-foot Best Buy retail space had been in that location since 2007.


Bottom line

wolterke/Adobe best buy trademark logo on blue wall during day time

Best Buy can be a good option if you are on a tight budget and want to avoid throwing money away on electronic purchases. 

So, if your favorite Best Buy location has closed, remember that you can use the company’s website instead of its brick-and-mortar stores.

Just remember to check different online retailers and compare prices so you find the best deal on the product you need.


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