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Autozone Case Summary

Satisfactory Essays

AutoZone has responded to changes in its macroenvironment. In 2015, AutoZone ranked No. 4 in the commercial market share in the automotive parts industry (Meek, 2015). They responded to this challenge by increasing investments towards more supply-chain initiatives. AutoZone developed a new mega hub strategy by increasing the frequency of their shipments from its distribution centers to its retail stores. AutoZone has a total of eight distribution centers in comparison to the twenty eight distribution centers owned by O’Reilly Auto Parts. Currently, the distribution centers work twenty four hours a day, seven days a week to keep up with the high demand. AutoZone estimates that if they open three new distribution centers, they will have

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