Essay on JB HI

Submitted By Bee-Chow
Words: 453
Pages: 2

JB HI-FI was firstly formed in 1980’s in Melbourne, which majored in HI-FI equipment only. However, factors of economic environment and society trend change the business history of the firm. In 1990’s, with the declined popularity of vinyl record, JB HI-FI started the new aspect of exclusively CDs, who is the first one to do so in Australia. Commercial competition became more severe in 2000’s, when demand for visual and family entertaining products increased and decrease of CDs sales amount due to the use of Internet spread out, JB Hi-fi expends its business into electronic appliances, diversifying into televisions, computers, gaming equipment, camera, and other related fields to satisfy customers’ needs. Nowadays, JB HI-FI is not only the retail chain store only for the specialized visual goods, but also cooperate with many brands and manufactories to lower the cost and becomes the leading place in discounted electronic retail brand.
1 GDP in Australia/GDP growth rate
GDP is regarded as the most significant indicator to evaluate the economic situation of a country. From the 1980s to 2000’s the economic of Australia, GDP keep steadily increased, JB HI-FI was expand its business. The global financial crisis started in 2007 and reached the dramatic drop point in 2009. During that hard time, JB HI-FI was also experienced the challenging time ever. However, the financial crisis gave JB HI-FI a chance to diversify to the new market. Such gaming product increasingly had a higher demand.

2 Interest rate
From 2000’st, the interest rate was at a high level until the financial crisis which affected Australia. From 2011, interest rate dropped gradually and reached the historical bottom point at 2.5% now. Thus, it is more likely to boost