Company Research: AutoZone (AZO) AutoZone has risen to become one of the market leaders in U.S. aftermarket auto parts (Jackson, 2014). The company’s modest start is still demonstrated in their nature of continuing to provide home-town store customer service. However, the company has moved into the international market. Although they are now a giant in the auto parts industry, the also have faced the challenges of any business in both domestic and international markets. The company continues to grow in the domestic and international market with and they strive to lead in this market internationally. AutoZone will undoubtedly continue to face market challenges and they will need to continue to answer these challenges by making the correct management …show more content…
Hyde III began the AutoZone Inc. as Auto Shack. The single store auto parts dealer was a subsidiary company of the family’s wholesale grocery business, Malone & Hyde Inc. After college, J. R. Hyde had previously worked at Malone & Hyde, and he had even attempted drug stores and sporting goods stores prior to opening Auto Shack. The first Auto Shack began in Forrest City, Arkansas and started with a mere 25-member workforce (Rhodes, 2014). With future plans of expansion in mind, Hyde set-up a warehouse in Tennessee with 12,000 square-foot capacity (Rhodes, 2014). The Auto Shack concept was to provide high quality automotive parts, at a reduced cost, to do-it-yourself (DIY) mechanics. Auto Shack also wanted to differentiate themselves in the market by offering their customers expert advice. Auto Shack achieved this by employing professional mechanics in their stores. At the end of the company’s first business year, Auto Shack had already introduced seven additional stores across Arkansas and Tennessee. Hyde’s strategic plan was to locate stores that were centered around populated neighborhoods. Hyde believed this was where the majority of Auto Shack’s target market would be living and working. To further cater to the DIY market, Auto Shack kept their stores opened late throughout the week, and the stores were also open during weekends to further support the DIY customers who worked day jobs throughout the …show more content…
In the same year, Hyde voluntarily gave up the CEO position and became a member of the board of directors (Advameg, 2014). AutoZone continued to expand and in 1998 commercial truck fleets were added to the company’s target market. In 2001, AutoZone recruited Steve Odland, how had previously managed a chain of 7,000 grocery stores, to become their new CEO. Odland gave the company a new approach to a variety of retail tactics and revamped the companies go-green strategies, further enhancing AutoZone’s ability to adapt to cultural change (Battle, 2001). However, AutoZone was eyeing for expansion into the international market. This desire was answered by the opening one parts store in Brazil and one store in Mexico. In 2004, AutoZone began sponsoring NASCAR. This was followed by Hyde becoming the first retailer to ever be inducted into the Automotive Hall of Fame (Advameg,