Abstract
McCarthy Motors Limited is owned by Bid Auto (Who Owns Whom, 2008). Bid Auto is the vehicle retail and services division of the Bidvest Group Limited, a JSE listed investment holding company. Bid Auto is one of the largest competitors in the South African vehicle retail market with more than 130 dealerships and service outlets countrywide (www.bidvest.com, 2008). The Bidvest Group Limited acquired full ownership of McCarthy Motors Limited in 2004, giving Bid Auto access to all existing McCarthy dealerships and the 500,000 McCarthy customers nationwide (estimation, www.fin24.com, 2004). McCarthy Motors retained its brand name and its (highly experienced) top management team of 11 executive directors and 7 non-executive directors, with Mr. Brand Pretorius becoming Chief Executive of Bid Auto after the 2004 acquisition. This acquisition provides McCarthy Motors with the stability and resources of an international, highly diversified holding company. Their position within Bidvest gives McCarthy the capacity to absorb the current economic storms in South Africa better than their competition. Bid Auto currently forms 21% of the Bidvest Group (Who Owns Whom, 2008), with the other 79% diversified across other retail markets.
