Stopped by a Fry's Electronic store. Shelves, walls, departments were empty of people and productions. San Francisco Chronicle has a story. The company is denying any problems. The shelves on the other hand looks like a store in Venezuela or old Soviet Union.
According to SF Chronicle, Fry's is claiming to be converting their stores to a consignment business. Fry's is claiming 200+ vendors are agreeing to the new model and shelves will be stocked again after the transition is completed. If Fry's is getting 200+ manufacturers agree to consignment, then manufacturers are desperate.
Manufacturers business model is built on selling container loads to retailers. This will stress the manufacturers further as their carry costs will explode. Fry's probably doesn't have the cash to order goods anymore. If Fry's is converting, then good luck. Their days are numbered as large scale consignment businesses don't survive. The manufacturers will not survive either.
But hey, everything is great, don't mind these minor events.
I guess Micro Center is the lone survivor in this space.