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Structure of the sourcing department

GameStop is a wireless services retailer, consumer electronics and video game entity based in the United States. After its incorporation in 2005, the company became an omnichannel video game retailer. According to GameStop, the company operates its over 7,100 retail stores under brand names such as Micromania, EB Games and GameStop. It conducts its activities under five segments comprising of four Video Games Brands segments in Technology Brands, Europe, Australia, Canada, and the United States.

The success of GameStop relies on the structured, centralized purchasing as the sourcing function adopted by the company. The director of the department negotiates with company’s suppliers; therefore, acquiring items of good quality at the right price. According to Benner (707) by running a centralized sourcing department a company makes sure that all the items are available for supply so that to meet the customer needs. This type of sourcing function accommodates all the purchases made for the whole company.

GameStop has it centralized purchasing organization located at its headquarters in Grapevine,...