So I'm currently in my third year in college in the United States with an intention to go into consulting after graduation. I about 3 months ago was offered an analytics summer internship at a fortune 500 retail company.
To be honest I really have no intention of working there after graduation (they're known for high turnover and I have no interest in retail), however, I felt that it would look good on a resume to have worked for such a well known company and the experience that I would gain there would be very applicable to consulting.
Just recently I was accepted into an internship program from a top tier consulting firm with higher pay, in a better location, and with a company that I would love to work for after graduation.
I clearly would prefer to work at the consulting firm but I don't want to start out my career with a bad reputation or burn any bridges I may need later on.
I'm not particularly concerned about being potentially blacklisted from that specific retail company where I received the offer, however, I want to know what potential damage this could do to me in the short and long term and how poorly this will be viewed given that they would probably have difficulty finding a candidate to replace me before this Summer.
I signed an acceptance letter for the retail company several months ago and have only received sporadic contact from them given that the internship doesn't start until this Summer anyways and I applied in the Fall.
If it is acceptable for me to reneg on my signed acceptance letter how should I go about doing so to ensure least possible fallout?