AutoZone is a Memphis, Tennessee based corporation that operations a leading distributor and retailer network of automotive replacement parts and accessories throughout the United States, Mexico, Columbia, Puerto Rico and Brazil (AutoZone, 2016). The majority of the retail and distribution centers are positioned in the United States for which comprise 5,141 of the 5,609 retail locations and 8 of the 10 distribution centers. While AutoZone has certainly witnessed its ups and downs since it initiated operations in 1979, the year 2015 saw great success with AutoZone surpassing the $10 billion sales mark for the first time. Furthermore, the average sales per a store rose exceeding $1.75 million purchasing stocks prices higher which have tripled over the last five years.
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In 2015 and going forward, AutoZone has placed a bet that having more availability will increase sales, therefore it has invested heavily in the creation of 5 “Mega Hubs” that are considerably larger that its other 176 hub stores which has allowed for an increase in the in-stock status of their core offerings (Evanoff, 2016). In the future, AutoZone has plans to increase these supply chain support mega hubs from 5 to over 25 locations that will continue to expedite the availability process and allow for a greater array of
In 2015 and going forward, AutoZone has placed a bet that having more availability will increase sales, therefore it has invested heavily in the creation of 5 “Mega Hubs” that are considerably larger that its other 176 hub stores which has allowed for an increase in the in-stock status of their core offerings (Evanoff, 2016). In the future, AutoZone has plans to increase these supply chain support mega hubs from 5 to over 25 locations that will continue to expedite the availability process and allow for a greater array of