For any car buyer, the largest decision is not where to purchase a vehicle; it is where to service your vehicle. Midas is an automotive repair business that operates nationally and performs limited services for all makes and models of vehicles (Vonderembse & White, 2013). By performing a limited number of services, it reduces their inventory of automotive parts and creates specialists amongst their mechanics. It also increases their efficiency in speed of repair for these specific tasks.
On the other hand, many dealerships have service centers. Genoa Ford is an example of a dealership that buys and sells cars and incorporates a service center for their customers. Typically, dealership service centers will focus working on their specific brand of vehicles. At Genoa Ford, it would be typical to find mostly Ford cars and trucks and their mechanics would be working on all service repairs, not just limiting them to mufflers or oil changes (Vonderembse & White, 2013).
Midas and Genoa Ford may offer an overlap of the similar auto repair services, but they are not competitors. The positive impacts are that a consumer has a low cost choice for limited services at Midas. For example, Ford Fusion is a popular compact car, designed for people with long commutes. If the muffler on a Ford Fusion needs repair, the owner may choose to go to Midas for a quick and cost effective transaction. If the same owner realizes that the muffler is defective and still covered under warranty, he may choose to go to the Genoa Ford dealer service center (Vonderembse & White, 2013). The dealership may be able to do the service and charge the Ford Motor Corporation for the repair, plus supply a loaner vehicle for the duration of the service.
Minimizing Negative Impacts
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