How you can benefit from Best Buy's bad news

Best Buy (NYSE: BBY) says that its sales will fall fast. But that creates opportunities to snag bargains if you've got the cash. I think the key is to go into your local Best Buy armed with information about the lowest prices on the item you want to buy. Then ask the manager for a price break.

How much trouble is Best Buy in? It cut its earnings estimates 29% from between $3.25 and $3.40 per share expects to between $2.30 and $2.90 for the fiscal year ending in February. And its same-store sales dropped 7.6% in October -- a situation that prompted CEO Brad Anderson to complain that "seismic" changes in consumer behavior have created "the most difficult climate" his company has ever seen.

What's sad for Best Buy could be good for you though. Let's say you want to buy a flat screen TV. Wholesaleconnection.com offers the Sharp LC 32D43U 32" LCD TV for $577.54. Best Buy offers what looks like the same item for $599.99 on its web site. I don't know whether Wholesaleconnection.com is a reliable vendor or even whether there's a better deal out there.

But I think it would be worth trying to bring the better offer in to your local Best Buy store and ask them to match or beat it. If you have a better idea, please comment below.

Peter Cohan is President of Peter S. Cohan & Associates. He also teaches management at Babson College and edits The Cohan Letter. He has no financial interest in Best Buy securities.