A Sustainable Solution Paper ( Ssp ) For Pep Boys ' Automotive Inc.

A Sustainable Solution Paper ( Ssp ) For Pep Boys ' Automotive Inc.

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Sustainable Solutions Paper
The purpose of this paper is to create a sustainable solution paper (SSP) for Pep Boys’ Automotive Inc. otherwise known as Pep Boys parts, tires and service, is part of the automotive aftermarket retail parts and service industry. Since 1921, Pep Boys have been in business (The Pep Boys--Manny, Moe & Jack SWOT Analysis, 2015). Consequently, Pep Boys operates over 800 stores and 7,400 service bays across the country and Puerto Rico while also employing over 20,000 associates (The Pep Boys--Manny, Moe & Jack SWOT Analysis, 2015).
Through the Great Depression, and World War Two, Pep Boys survived, defying the odds that affected many businesses at that time (The Pep Boys, 2016). However, Pep Boys suffered years of slow growth and negative profits as a result of high costs in supply parts as well as high turnover due in part to non-competitive wages in relation to Pep Boy’s competitors (Senge, P.,Smith, B.,Kruschwitz, N.,Laur, J,.& Schley, S, 2008).
“The Road Ahead” is a concept implemented by Pep Boys resulting in a new retail and customer service experience. This concept is similar to the lounges and waiting areas found in most high end dealerships (The Pep Boys, 2016). However, this proved to be only a modest success. As a result, Ichan Enterprises Holdings, L.P. acquired Pep Boys in 2016 hoping to jump start slow growth and profits (The Pep Boys--Manny, Moe & Jack SWOT Analysis, 2015). Two of pep Boy’s main competitors are Sears Roebuck & Co which affects the service portion of their bottom line, and Autozone which affects the retail side of their bottom line ( The Pep Boys--Manny, Moe & Jack SWOT Analysis, 2015).
The focus of this paper will include the business strategies of Pep Boys in order t...


... middle of paper ...


... acquisition of Pep Boys by Icahn Enterprises in 2016 (Schaefer, 2015). According to (PepBoys., 2015), John Sweetwood noted that Pep Boys suffered a 27.3 million dollar loss in 2014. The expenses that caused the loss are the goodwill, asset impairment charges and severance. However, John Sweetwood also noted that Pep Boys invested in high growth areas which are generating increased revenue, however depressed margins exist also (PepBoys., 2015).
General Force Analysis: External – Remote Environment
General Force Matrix Analysis
The general forces analysis determines the external environment of Pep Boys which consists of five factors (Senge, 2008). These five factors are economic, social, political, technological, and environmental (Jurevicius, 2013). The effects of the five forces provide an organization with a sort of “dashboard” indicator that shows the threats

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