The article hits the nail on the head. Gamestop's bread and butter business is buying used games from gamers at a low price (they claim market) and then reselling it for 20-50% higher for a profit. Realistically, how this company has been able to resist the wrath of the publishers and OEMs is beyond me. At least they are trying to diversify and sell tablets. But for most buyers, Gamestop is not the place I would go to get a tablet. I'll go to the Apple store, Best Buy, Walmart or just buy it online. Gamestop is also trying to get its own mobile and app offerings off of the group, with little success. Plus the lull between the console cycles is hurting them as well.
If games move more towards digital distribution and some publishers start to enact their tighter security measures, expect to see Gamestop suffer more in the near future.
http://beta.fool.com/wealthlift/2012/08/14/we-are-witnessing-death-gamestop/9435/?ticker=MSFT&source=eogyholnk0000001
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