Carvana has disrupted the traditional car-buying model by leveraging its extensive logistics network to sell vehicles well beyond the usual geographic limits of franchised dealerships. Unlike conventional dealers, which operate within local market areas, the company’s nationwide infrastructure enables it to reach customers across broader regions. This approach challenges the long-standing industry practice of relying on physical showrooms and regional sales territories. The strategy raises questions about how it could reshape competition and consumer access to vehicles.
Carvana is relatively new to the franchised dealership business, but its national logistics network allows it to sell cars far outside the typical dealership market area.
