Is Zipcar a High Potential Venture

faster for less money than before. This, in turn, allowed for wider market areas in

It has everything a consumer leaving in a busy area of a metropolitan area can ask for. Convenience, cheap, and accessibility. This is everything that a customer living with out a vehicle in an area that a car is needed periodically can ask for.Weaknesses: To start up a business like this as Chase realized you need a lot of capital. Finding the money and investors that believe in your company is going to be the hardest thing to do. To lease new cars or not have enough cars for the demand of new customers can also be a hindrance in the growth of this company. Other areas of concern that need to be addressed are the costs and insurance and liability exposure that renting a car to somebody can have. With multiple of even a few wrecks or fatalities can easily close the doors to a company like Zipcar that is just getting started. Opportunities: The Zipcar company is a company that can be very easily started once the right infrastructure is in place and can even be pitched to investors as a franchise store. That can be duplicated in other areas of the country. There is not current niche for the type of people that Chase is targeting and is untapped market place with the proper marketing plan.Threats: Rental car companies can also offer rental of cars on an hourly basis. They can pick up customers as well. This is not advertised but can be done. Most importantly if Boston or New York, or Chicago have a very efficient Public

“Lyft is all about taking cars off the road via ridesharing. This is NOT merely a cool new use of technology to efficiently onboard and route more cars, cabs, town cars and limos. Lyft wants to use technology to get everyone who currently owns a car to join a trusted information network to share rides.” – Scott Weis, 2013

The American car-sharing company Zipcar was founded in January 2000 in Boston, Massachusetts. As one of the first car-sharing companies in the United States, Zipcar offered solutions to everyday issues for urban dwellers as well contributed to the long-term sustainability of the environment (Ancona and Reavis 2014, 2). By dispersing vehicles available for short-term rental across urban areas, consumers are allowed access to vehicles on-demand, reducing the need for personally owned vehicles. As a result of the reduction of vehicles on the road, urban areas become

Secondary Data. This source of data will be collected from government departments and agencies, and also competition in the car sharing market. The secondary data will be used to assist in answering the research questions. Market research information was done on two car sharing businesses currently operating in the US and globally, they are: Zipcar and Enterprise.

To launch our business we will be partnering with Airbnb, airports, hotels, and businesses. Partnering with Airbnb will allow us to accommodate customers who are looking for a car while they are staying at their Airbnb. Knowing a car will be handy for them to use at their selected destination will allow customers to choose and pick the best place for them to stay and it can all be done easily together when partnering with Airbnb. Partnering with airports will be another way to cater to customers needs. Having airports designate a select area for RIGHTRIDE’S cars will allow traveling customers to know that they will have a car to use while they are in whichever state they are traveling to. Hotels is also another partner that can help our product

It is working efficiently within its resources and does not require any additional funds from outside resources for its operations. Its plan to pay off its debt by applying the company’s profits to repay long term debt is a good plan for the company to lessen incidental expenses that relates to it. The company should regularly review its performance and match it against the industry mark in order to ensure that it is functioning at an optimum and effective level which is beneficial to its

Through the video, I have learned that Uber is not the first one come up the idea of sharing cars. Jitney has applied this idea over 100 years ago, and it was created or invented by LP Draper. He saw people stand in a long line waiting for trolleys to take them to where they want to go, and he came up an idea, why not put a sign on the car that takes people to where

These barriers include, but are not limited to, the following: large established competitors, high capital requirements, limited initial access to distribution networks, and environmental regulations. Due to the existence of massive brand name manufacturers like General Motors and Ford, any new entrants in the automobile industry will be competing with companies benefiting from strong customer loyalty, economies of scale, and impressive marketing budgets. Therefore, new entrants must be able to achieve the difficult task of entering automotive manufacturing at high capacity while simultaneously building a solid consumer base. Such an entry would be quite expensive, especially in conjunction with the billions of dollars needed to construct high-volume manufacturing facilities and develop effective distribution networks to deliver new automobiles. Finally, new entrants must be able to design and manufacture their automobiles according to contemporary environmental regulations. Abiding by such regulations would further drain new entrants’ funds. Overall, entering the automotive industry competitively requires an exorbitant amount of money, so the threat of new entrants is low.

The company expects to generate at least in annual sales by the end of the first year of operations with a gross margin of %. The company will incur higher expenses for startup

Benefits: Communications both internally and externally with dealers and partners have been radically improved. Information is now hosted centrally on a web-based portal, allowing all parties to access real time, up to date information at any time.

SIGNature 's pays of its creditor within a month in 28 days this good for keeping a good relationship with their suppliers, because the suppliers will trust them to pay them back and the business could afford to ask for an extension from them if they need it because of the trust.

You have the benefit of being able to drive and really enjoy the vehicle without any hassle.

[Case: Zipcar] Zipcar’s SWOT and financial analysis a) Strengths Firstly, Zipcar seized 80% of US market share, making it the strong player in the market. Secondly, as the company is able to acquire its competitors (Flexcar-US, Streetcar Ltd-UK), they can reduce the competitors as well as gain those market shares and customer bases from those 2 companies. Thirdly, Zipcar’s customer-friendly and disruptive business model is what makes it unique. They leverages accessibility, make it available close to where people live or work and need access to vehicle, which is one of the threat of car renting. The company also allows the members to use a car when required, which provides true flexibility. Supported by advanced technology (RFID System r),

In today’s time where the price of the vehicle is increasing, the cost to maintain it is becoming more difficult. In such situations, car sharing is the need of time. Car sharing plays a big role to meet the demands of the people who doesn’t use the vehicles often or who cannot afford to have one, which in ways helps to solve public and environment issues as well. Car sharing (often used in North America or Europe) or Car clubs (used in UK) allows people to rent a car for short time periods, often by the hourly basis. The organization which rents the car can either be commercial business or may be a public agency, cooperative or ad-hoc grouping.