Comet, the electrical retail chain in the UK that recently went into administration, had been finding it difficult for a long time. A combination of increasing, direct competition from other chains, together with supermarkets, had made turnover and profit elusive goals. The recession just magnified the problem. Customers stopped spending on big ticket items. This was compounded by on-line competition and increasingly skeptical suppliers. Even when bought for £2, it was seen by some as just a matter of time before it closed its doors. There were too many re-sellers chasing too few customers. At least now it has been agree that customers will be able to use their gift vouchers.
In this restructuring of the retail environment in the UK, not every company can be saved and those difficult decisions that have had to be taken in many businesses around the world, had to be taken here too.