In the biggest review of its business to date, DSGi will close 77 stores, trial new retail formats and is even re-thinking product lines.

Chief executive John Browett says the review offers "radical and detailed plans" and will "transform the very DNA of our business over the next three years".

The decision to close 77 outlets will leave 100 shops in the chain that will focus more on stocking laptops, accessories and consumer electronics rather than small appliances and white goods.

PC World will also undergo redevelopment with a new store format to help it become the "destination for computing and new technology digital products and services".

Online the group is doing well as the number one electrical retailer in Europe, with over £1 billion in sales in 2007/08 and has revealed plans to roll out PIXmania's backroom systems across its entire internet retail operations.

The shake up is thought to be in preparation for the arrival of the American Best Buy chain in the the UK and European markets later this year, who are rumoured to be considering a buy out of the DSGi group.