Cabelas is an iconic American outdoor recreation retailer that was founded in 1961 by Dick and Mary Cabela. The company is well-known for its wide selection of hunting, fishing, and camping gear, as well as its commitment to customer service. In 2017, Cabelas was acquired by Bass Pro Shops, another iconic American outdoor recreation retailer, for $5.5 billion. The acquisition of Cabelas by Bass Pro Shops marked the end of an era for the beloved outdoor recreation retailer and left many wondering, “Why did Cabelas sell out?”
The Struggles of Cabelas
The short answer to the question of why Cabelas sold out is that the company was struggling financially and was unable to compete with larger retailers. Cabelas had been in business for nearly 60 years and had established itself as a leader in the outdoor recreation retail market. However, in recent years, Cabelas had been facing increasing competition from larger retailers such as Walmart and Amazon. These larger retailers had the scale and resources to offer lower prices, more selection, and better customer service than Cabelas. This put Cabelas at a disadvantage and made it difficult for the company to compete.
The Acquisition of Cabelas by Bass Pro Shops
In 2017, Cabelas was acquired by Bass Pro Shops for $5.5 billion. This acquisition was seen as a strategic move by Bass Pro Shops to expand its presence in the outdoor recreation market. By acquiring Cabelas, Bass Pro Shops was able to expand its selection of products and services and gain access to Cabelas’ loyal customer base. Additionally, Bass Pro Shops was also able to benefit from Cabelas’ established infrastructure and brand recognition.
The Benefits of the Acquisition
The acquisition of Cabelas by Bass Pro Shops was beneficial to both companies. For Cabelas, the acquisition provided the company with much-needed capital to invest in its infrastructure and expand its product offering. Additionally, Cabelas was able to benefit from Bass Pro Shops’ larger customer base and existing infrastructure. For Bass Pro Shops, the acquisition provided the company with access to Cabelas’ loyal customer base and established infrastructure. Additionally, Bass Pro Shops was also able to benefit from Cabelas’ brand recognition and selection of products and services.
The Future of Cabelas
The acquisition of Cabelas by Bass Pro Shops is seen as a positive step for both companies. Cabelas will now have access to Bass Pro Shops’ larger customer base and infrastructure. Additionally, Cabelas will be able to benefit from Bass Pro Shops’ established brand recognition and selection of products and services. For Bass Pro Shops, the acquisition provides the company with access to Cabelas’ loyal customer base and established infrastructure. Additionally, Bass Pro Shops is also able to benefit from Cabelas’ brand recognition and selection of products and services.