Office Depot Bets on Tech Makeover to Offset Retail Slump

Office Depot is undergoing a strategic transformation by acquiring CompuCom Systems for $1 billion, aiming to shift focus from retail to business clients. The acquisition will integrate kiosks in 1,400 locations, leveraging CompuCom's 6,000 technicians. Despite this move, Office Depot faces declining sales and financial challenges, exacerbated by hurricanes affecting key markets like Florida, Texas, and Puerto Rico. The failed merger with Staples has pushed Office Depot to seek alternative strategies to stabilize and grow its business.

What is the primary goal of Office Depot's acquisition of CompuCom Systems?

• To expand its retail locations

• To reduce operational costs

• To focus more on business clients

• To increase its workforce

Why is Office Depot focusing more on business clients?

• To merge with Staples

• To reduce the number of retail locations

• To diversify its business

• To increase retail sales

What financial challenge did Office Depot face in the third quarter?

• Rise in retail sales

• Increase in operating income

• Decline in same-store sales

• Successful merger with Staples

How did hurricanes affect Office Depot's business?

• They had no impact on sales

• They led to a successful merger with Staples

• They increased sales in Florida

• They contributed to a decline in sales

What strategic move did Office Depot make after the failed merger with Staples?

• It became an acquirer to stabilize its business

• It increased its focus on retail sales

• It decided to close several retail locations

• It reduced its workforce