Creating an AutoZone Store in the Dominican Republic Prepared by: Natalia Miguel President, Management and International Services Eduin Medina Senior Vice-President Jairo Estrella Vice-President Autozone is the leading retailer and a leading distributor of automotive replacement parts and accessories. Mission Statement The mission of the AutoZone auto parts retail chain is fashioned around a Customer Service Pledge called "WTTDTJR." This acronym stands for "What it Takes to Do the Job Right.” In the Dominican Republic there isn’t an organization at the same level of our company. AutoZone is NOT located in the Dominican Republic Location: Santo Domingo, Dominican republic Start-up Costs Total Requirements in Dominican Pesos $36,289,150 Total Requirements in Dollars $29, 644,050 ÷ 43.15 $841,000 Competitive Advantage Our competitors would be local retailers, but they wouldn’t have the same advantages as us. Benefits to Our Business Bring more profit. Cost savings Once we establish our first store there, we can build more and more. Lower Operating Costs Composition of the Vehicle Fleet By 2012, 65% of vehicles in the Dominican Republic where originally from Japan. Percentage 35% 65% Products • Mexico is in Central America so it is going to be cheaper to export all the products to the Dominican Republic. We will be using the Port of Santo Domingo. • Port of Santo Domingo is a multi-purpose private port with a focused in efficiency and security in its port operations, service-oriented and highly committed to social and ecological responsibility. • Is the leading port in vehicles processing in the Dominican Republic. SWOT Analysis STRENGTHS: We always have products in stock and since we have a good reputation internationally our customer base is high. Our business also has a lot of experience so that’s a plus. WEAKNESSES: We are located a developing country and currency. OPPORTUNITIES: Lower wage costs and lower costs to run the business. THREATS: Japan might come and overrun the market since they already Disadvantages ● We would have to invest money to train new people to do the work. ● Our organization would have to export the products from another country where we have a Distribution Center. ● New environment & regulations. ● Cultural Differences. Exit Strategy Our exit plan is to either harvest or close down and try somewhere else.