Cuts both ways with PC World though, when they want to get rid of games or misprice it downwards, you can get good stuff for Â£5-10.
With HMV, they were stupid not to link up the relaunched loyalty card with Waterstone's considering I've bought more books in HMV than music for a long time. Last week was my first visit to Waterstone's since the final Harry Potter was released - three and a half years ago. Sadly even with no VAT on books and a really good sale, the book chain might still lose money.
Then as Mantis says, the prices are stupid outside of seasonal big sales and you have to look in both the sales section and the normal section where the CD/DVD sits to make sure you're getting the good price - eventually that becomes too big a faff. They might do downloads but they have the perception of being overpriced, so compared to Amazon and Play that compete over MP3 DLs, I've never even checked HMV.
Game on the other hand, do smart promotions like all the DLC for Empire Total War, if you want it on disc, that's a fiver in their sale, so even competing with Steam if you have the full game and haven't added the extras. Also game's Reward scheme is still good, even when they dumped PC I would still get enough points for a gamepad or a strategy guide, and I wasn't even spending that much. Plus they have the wholesale Ebay shop and their own website.
HMV can survive but they've really got to get off their backside and sort out their own website and go for broke this Christmas. They will certainly throw Waterstone's to the wolves before the main business goes anywhere, and they'll just hope enough people go to concerts to bring in that live entertainment money so they can hang in there. They'll shut more than Bond Street to stay afloat, the shop rents kill businesses every time and TheHut won't be there to rescue them like they did with Zavvi.