HMV just came to an agreement with their suppliers and creditors for a debt relief and a long term business plan change. HMV are still in deep shit, but not as deep as Game. The difference being that passing trade, high volume and low yield works for movies and music better than it works for games which are much more expensive.
HMV make a lot of money from their £5 DVDs and £10 Blu-ray sales and their live events arm is still profitable. Even so, HMV still need to shrink their footprint and limit their presence to busy high streets and shopping centres and have just one location in each town. There is no need for HMV to have two Oxford Street branches for example. No one else competes with them in the DVD/Blu-ray sales arena now that Woolies are gone and they should get rid of the branch on the Topshop side of Oxford street and keep the Marble Arch one going because of its historical importance to the company. The other key bit of influence that HMV has is with the independent record labels, they still depend on HMV's continued existence to survive and get their wares onto the market. Game have no such relationship with smaller publishers and indie developers, again a strategy they have actively denied in favour of bigger, more front-loaded releases from Activision and EA. It has come back to bite them in the arse.
HMV will still be around in some shape or form a few years from now, Game, otoh, will not. I feel that gaming, and the high street will be better for it as new competitors come in and try and forge themselves a path in a £1bn consumer market. There will be so much opportunity for indie developers and smaller publishers to strike deals with independent game shops than dealing with one all-powerful games retailer. I feel bad for the employees and I'm sure the better ones will start looking at taking over their retail locations if they are marginally profitable and rebuilding their customer base with the local consumers and rebuilding relationships with publishers and devs.
The Game in Enfield is actually pretty decent and I definitely feel bad for those guys who work there when they lose their jobs, but if one was to come to me with a business plan I would probably give them a hearing and some start-up funds for an indie shop with closer links to indie developers.