Blockbuster's Gary Peterson Discusses Retail Management And His Company's Challenges
by Robert G. Miller
What a difference 14 years make. Founded in 1985 with just one store,
Blockbuster now operates more than 6,000 video stores, serving more than
65 million customers in the United States, its territories and 25 other
countries. Within only 10 years of its existence, Blockbuster became a
household name across the globe, creating a new industry that captured
Americans' leisure time, attention and their pocketbooks.
With sales of $15 billion in 1997, the video rental industry continues
to rapidly grow and Blockbuster is the category leader with about 25 percent
of the market share. Blockbuster, with corporate headquarters located in
Dallas, TX, is owned by entertainment and publishing giant Viacom Inc.
On a day-to-day basis, the person responsible for overseeing the company's
distribution strategies and worldwide information services is Gary Peterson,
executive vice president and chief operations officer for Blockbuster.
Prior to joining Blockbuster in 1996, Peterson was the chief operating
officer for Southeast Frozen Foods in Miami. The University of Texas at
El Paso business administration graduate also previously served in high-level
management posts with Carter, Hawley, Hale Stores and Wal-Mart. In an interview
with THE BLACK COLLEGIAN, Peterson discussed several key issues
important to Blockbuster Video.
THE BLACK COLLEGIAN- How do you assess current and
future entry-level and managerial-track level employment opportunities
at Blockbuster for African-American college graduates?
Peterson- As the top renter of videos and video games in
the United States, we have many opportunities for individuals interested
in retail store management. The entry-level position of store manager
allows qualified employees opportunities for growth to district manager,
regional director of operations, zone staff and corporate and international
staff.
THE BLACK COLLEGIAN- What's Blockbuster's commitment
to diversity in the workplace?
Peterson- Blockbuster values diversity and wants a workforce
that is representative of the company's diverse customer base. Diversity
is an important goal of the company. To help us achieve this, we
have a significant involvement in community-based organizations including,
the NAACP, the National Newspaper Publishers Association, the League of
United Latin American Citizens and the Mexican-American Legal Defense and
Education Fund. We also have a strong human resources program for
recruiting, hiring, promoting and developing diverse employees within the
organization.
THE BLACK COLLEGIAN- What types of internship and/or
co-op employment opportunities are available at Blockbuster?
Peterson- In the fall of each year, we ask each department
head in the corporate office to determine if they will sponsor an undergraduate
or graduate intern in their area for the following summer. This year
we are anticipating approximately 12 interns in corporate in such areas
as human resources, legal, marketing, information technology, finance,
distribution and corporate communications. We post our undergraduate
opportunities at local Dallas Area Schools and also at Texas A&M and
UT Pan America for Industrial Engineers. We are not yet sure where
we will post our one finance MBA internship opportunity, but more than
likely that will be local also. The field organization is also working
to add a Zone Operations Management Intern to each of our seven zones,
but that has not been finalized for the summer of 1999. If that is
rolled out, the opportunities would be posted at universities in the area
surrounding each zone office.
THE BLACK COLLEGIAN- Blockbuster is the world's
largest video store chain and home video is Hollywood's single biggest
source of revenue. As such, what impact will vast technological advances
in computers and video CD Roms have on Blockbuster in the future?
Peterson- It is Blockbuster's mission to be the global leader
in rentable home entertainment by providing outstanding service, selection
and value. To accomplish this, Blockbuster will provide its members
with the latest and best technology in home entertainment. Our intent
is to participate in, and profit from, technology, not be a victim of it.
THE BLACK COLLEGIAN- What are the key overall business
challenges impacting Blockbuster now and in the projected future?
Peterson- Our key business challenge is always the same
vying for people's leisure time. Today, especially with the expansion
of the Internet, consumers have more options than ever before. In
addition, many of us find we have less free time available for leisure
activities. However, America's love affair with the VCR continues.
In 1997 and 1998, VCR sales hit record numbers, and it shows no signs of
letting up. So Blockbuster will be here to serve our customers' home
entertainment needs for years to come.
|
