In a scramble for profitability as its CEO steps down, GameStop will start "aggressively" pursuing new consumer product sales and expanding its inventory.
GameStop's CEO George Sherman will step down soon, leaving the board leader-less in a critical transition point. Chewy billionaire Ryan Cohen has laid out an internal plan to supercharge company earnings, and sources tell Bloomberg this strategy involves two major things: transforming its customer service teams and "aggressively expanding" the company's product selection.
Cohen currently leads the newly-formed Strategic Planning and Capital Allocation Committee, which has orchestrated key plans to turn GameStop into a digital e-commerce titan. The idea is to offer products through omni-channel distribution (in-store and online) that range from entertainment, collectibles, and gaming hardware.
GameStop recently pushed into this new forefront by offering PC gaming hardware like NVIDIA graphics cards. This could be the tip of the iceberg and we could see the retailer become a leading destination for even more gaming peripherals and must-have devices.
Despite a strong stock surge in early 2021, GameStop still owes roughly $244 million in short- and long-term debts.