Driving Profitable Growth at US Auto Parts
Posted: 4 Feb 2012
Date Written: September 16, 2011
USAP faces extraordinary opportunities to change the way that automobiles are serviced in the US by selling parts at fair prices though online channels.
Learning Objective: The case demonstrates how a young CEO of an entrepreneurial company is disrupting the long-established and highly profitable automotive retail industry by implementing a focused, low-cost strategy for onlining retailing of parts. The business model has the potential to overcome the agency problems associated with expert technician repair of vehicles.
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