CarMax is the nation's largest used-vehicle retailer, operating a network of stores that buy, condition, and sell used vehicles directly to consumers at transparent, no-haggle prices, while also acquiring vehicles from consumers and third-party sources and reselling surplus inventory through wholesale auctions to licensed dealers. The company generates revenue from retail vehicle sales margins, acquisition spreads, wholesale auction dealer fees, extended service plan commissions, repair services, and auto financing through its captive finance subsidiary, CarMax Auto Finance, which finances a substantial portion of retail sales and serves customers across the full credit spectrum. CarMax competes on scale, omni-channel capabilities (online and in-store shopping), vehicle quality standards, proprietary technology and pricing systems, and inventory selection across a nationwide network, serving a highly fragmented U.S. used-vehicle market where private buyers and dealers trade in their vehicles.