In certain markets, namely Hong Kong, Singapore, Bulgaria, Latvia and Lithuania we operate a VIR or vertically integrated retail distribution model, where we are both the exclusive Distributor and exclusive Retailer delivering higher margins through the seamless management of the complete value chain
In some markets, namely Hong Kong, Singapore, Bulgaria, Latvia and Lithuania, Inchcape operates a vertically integrated retail distribution system - or VIR as it is known - where we are both the exclusive Distributor and the exclusive Retailer of a brand in that particular market.
VIR is advantageous in City State markets where we receive 100% of the benefit, from scale at the local level into a small number of showrooms, but with high volume throughput.
Where Inchcape operates VIR, we are able to deliver operational efficiencies - and therefore healthy margins - through the management of the complete value chain, from supply, logistics and inventory all the way through to retaining, servicing and repair.
