We also have a position in Japan-based MonotaRO Co., Ltd. (TSE:2064), an online distributor of machine tools, engine parts and consumables for maintenance, repair, and operations (MRO) and a strategic supply chain partner to Japanese businesses. U.S.-based W.W. Grainger is the company’s majority owner. MonotaRO’s online model avoids the fixed costs that store-based competitors bear, and passes on cost savings to its customers. We expect MonotaRO to grow its share of the Japanese MRO segment, and will successfully expand and compete in other large markets such as South Korea.
Baron Funds Spring Newsletter: Investing in the International Equity Markets.
