Radio Shack at this point is a sad caricature of itself. I remember being able to buy all sorts of ICs, analog parts, interesting radios and kits. Now it peddles cell phones and overly prices things -- I recall needing a battery for my cordless phone recently, they wanted $23 for a battery for a $50 phone? Uh, no. Two other bay area places that have changed a lot are Frys and the now closed Quement Electronics. Fry's…
Radio Shack always did that -- especially on batteries. High margins on things like batteries is what provided the cash flow that paid for the floor space devoted to more unique things that sold less but brought in customers who bought the batteries.
The problem Radio Shack has now is that with the internet and big-box electronics stores, RS's dinky stores aren't particularly great places for hobbyists (and wouldn't be even if they devoted more of their floor space to them), and they don't have a competitive selection of mass market goods either, so the basic format doesn't work.