Strategic Management Assignment 2.docx

In a narrative format, discuss these firms from a strategic perspective for AutoZone. Information concerning recent changes in the firms is readily available online and should be accessed. Strategic issues should be discussed in “real time.”

In 1979 The AutoZone was founded by one of its owner name J.R “Pitt”. Opened an automotive spare part on a very small scale. Later the company grows enough to attain a sustainable market share in this industry. AutoZone name become official in 1987 and it was not long until the AutoZone made its debut on the biggest stock exchange of the world which is New York stock exchange. This become one of the biggest store who was offering warren ties in local parts . Redesigning correspondence through satellites in 1994, helped AutoZone correspondence among stores and expanded deals about $1.5 billion. Year later, AutoZone made their own Durmast battery exchange mark alongside their 1,143 stores in 26 states achievement. In 1919,AutoZone is a Fortune 500 organization that right now has stores in 48 states, Puerto Rico, and Mexico and has in excess of 65,000

representatives. Financial strength was the biggest strength of the company which enhance its performance over the years even when other organizations in the same industry was facing challenges in economics down turns. Companies has superior products and services to offer other than competitors (Orchard street, 2015). The challenge proceeds with the vehicle dealership parts office and car fix shops that offer parts. This is a danger to AutoZone in such a case that any of its rivals happens to discover or enhance an approach to offer similar items and techniques at a superior value it could affect sly affect the yearly income and plans for extension. AutoZone is the biggest claim to fame retailer of automotive parts and assistants to do-itwithout anyone else's help people. For more than 37 years, AutoZone has been committed to providing the best parts, prices and customer service in the automotive aftermarket industry. We have a rich culture and history of going the Extra Mile for our customers and our community. Today, AutoZone is the leading retailer and a leading distributor of automotive replacement parts and accessories in the U.S. In 2008, the firm had 4,032 stores in the U.S. furthermore, 130 in Mexico. The organization works its business program out of 2,233 of its stores, offering conveyance of parts to neighborhood, provincial, and national fix carports, merchants, and administration stations. The firm likewise moves ALLDATA car analytic and fix programming (Autozone.com).

References Autozone.com.

(n.d.).

About

the

Autozone

Industry

.

Retrieved

from

https://www.autozone.com/company/ Orchard street. (2015). AutoZone, Inc. PESTEL & Environment Analysis. Retrieved from http://fernfortuniversity.com/term-papers/pestel/nyse4/2587-autozone--inc-.php

How would you define Auto Zone's industry? Would you include new car dealerships and/or discount stores in the industry? Why or why not? This industry is an automotive part industry which is distributing its parts all over the united states. It has different set of product range to meet and satisfy the customer demand . company has strong financial back ground history so it can cope up with the current and last financial down turns. We can say that according to the market evaluation, AutoZone holds the majority market in terms of the entire auto parts retail industry. Company has the strongest market share and we can say that company is the biggest company in current automotive part industry in united states of America. According to my point of view this could be good or bad decision in both ways if company is efficient enough to develop such a good system to control the market and dealership problems this company could be the best company due to the strong financial back ground and company history . (reuters.com, 2019)However, we can consider that the firm would still benefit if they invest into

this model, utilizing the fact that this would create another market for the requirement of the supply of automotive parts for repair which they can consider as being a profitable market, especially for their business model.

References Autozone.com.

(n.d.).

About

the

Autozone

Industry

.

Retrieved

from

https://www.autozone.com/company/ Orchard street. (2015). AutoZone, Inc. PESTEL & Environment Analysis. Retrieved from http://fernfortuniversity.com/term-papers/pestel/nyse4/2587-autozone--inc-.php reuters.com.

(2019).

Autozone

Inc

(AZO).

Retrieved

from

https://www.reuters.com/finance/stocks/company-profile/AZO

How has Auto Zone responded to changes in its macroenvironment? Is Auto Zone immune to threats associated with economic downturns? Why or why not? Automotive industry is most leading industry in todays world and in United states the Auto zone is the leading retailer and distributor of automotive replacement parts. Playing more than 35% of total industry. Companies has to face both internal and external challenges. Companies make strategies to cope with such challenges. They make strategies to deal with macro and micro environments. The general environment within the economy that influences the working, performance, decision

making and strategy of all business groups at the same time is known as Macro Environment. It is dynamic in nature. It always continues changing so as it for the Macro every other Business it’s also being changed for the AutoZone industry. For AutoZone Industry it constitutes those outside forces that are not under the control of the firm but have big impact on its performance. Its includes the organizations, groups, agencies through which they are working and dealers. There were many changes and challenges in its macro environment such as increase in gas price, energy price, etc. Despite such challenges, AutoZone remained calm and acted according to the situation.  Continuous changes in pricing and policies so they can attract more customers and can take care of old customers. They believed that the industry will continue to grow in do-it-yourself (DIY) and do-it-for-me segments.  They are promoting such advertisement on media and other advertisement channels that customer should learn how to safe money through fuel efficiency. 

They continued to refine their retail offering through customer satisfaction survey results and enhance commercial offerings to their existence customer (Orchard street, 2015).

No. Auto Zone was not invulnerable to dangers related with financial downturns. Infact no organization can be insusceptible because of monetary downturn. In spite

of monetary downturn, AutoZone could perform uncommonly great since they recognized the changing client inclinations of do-it-without anyone else's help DIY which they thought about and began executing the procedure. They gave incredible administration and furthermore begun utilizing the business through web. They began instructing client about their items and benefits and urge them to buy on the web and expanding familiarity with the organization's online nearness.

References Orchard street. (2015). AutoZone, Inc. PESTEL & Environment Analysis. Retrieved from http://fernfortuniversity.com/term-papers/pestel/nyse4/2587-autozone-inc-.php

Review the discussion in the reading on changes in social forces associated with automobiles. Suppose that you are the CEO of Auto Zone. What changes present opportunities for your firm? Which changes concern you the most? There are both internal factors and external factors which can be discussed. Most important factors which be discussed are 5 forces model which will includes the threats of new entrants. I think being C.E.O companies are heavily investing in the social media strategies which helps new entrants to become more competitive in the

first place. For example, the awareness of society towards sustainable manufacturing may require existing automobile companies to mend their existing processes Apple is going to enter automobile sector in 2020 and can pose big challenge to the existing companies. The increasing concern for safety needs to be dealt with care in this sector. Vehicle segment gets profoundly influenced in a subsidence period. There are normally more prominent deals in this industry toward the year's end. Anyway in subsidence, as car is considered as an extravagance, there is extremely less or no interest of the items. For the most part in subsidence, the customers will in general abridge on extravagance needs. Vehicle industry in creating nations like India is developing at an extremely quick pace. 100% FDI in this area, has prompted more challenge.

References Autozone.com.

(n.d.).

About

the

Autozone

Industry

.

Retrieved

from

https://www.autozone.com/company/ Orchard street. (2015). AutoZone, Inc. PESTEL & Environment Analysis. Retrieved from http://fernfortuniversity.com/term-papers/pestel/nyse4/2587-autozone--inc-.php reuters.com.

(2019).

Autozone

Inc

(AZO).

https://www.reuters.com/finance/stocks/company-profile/AZO

Retrieved

from