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Operations Management: Processes and Supply Chains, 12th Edition by Larry P. Ritzman, Manoj K. Malhotra, Lee J. Krajewski

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Case Wolf Motors

John Wolf, president of Wolf Motors, just returned to his office after visiting the company’s newly acquired automotive dealership. It was the fourth Wolf Motors dealership in a network that served a metropolitan area of 400,000 people. Beyond the metropolitan area, but within a 45-minute drive, were another 500,000 people. Each of the dealerships in the network marketed a different brand of automobile and historically had operated autonomously.

Wolf was particularly excited about this new dealership because it was the first “auto supermarket” in the network. Auto supermarkets differ from traditional auto dealerships in that they sell multiple brands of automobiles at the same location. The new dealership sold a full line of ...

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