Zipcar
Upon receiving first round financing of $1.3 million, Zipcar is, as CEO Robin Chase describes, “poised for action”. The measures that the company intends to take moving forward will likely determine its future viability as the dominant player in the relatively untapped market of car sharing in North America. Currently, Chase is testing the concept in the single market of Boston, and has ambitious goals to break into other markets along the East and Mid-coast by the end of next year. Having received preliminary positive customer responses, Zipcar has potential to establish a secure market foothold and revenue traction; however, the start-up company is not without problems, namely the short lead time on their competitive edge, the
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It is the latter, however, that will determine the company’s long-term ability to remain competitive. Currently, the software that Zipcar is using is certainly innovative but simply not complex enough to create several years of lead. Whilst obtaining a patent on the technology will usually protect it for 20 years, there is no guarantee that this will deter competitors from entering the market if prospects appear to be lucrative; nor will it impede them, particularly given the potential competitors of car rental agencies and car manufacturers, both of whom have the resources to develop a competing, if not more sophisticated, technology. Given these concerns, Chase will want to consider allocating $300,000 removing any technology risk from the current “wave” and driving a third wave that focuses on innovation and creation of unique attributes that can be associated specifically with Zipcar cars.
In terms of the management team, it is clear that Robin Chase is “running the show” single-handedly, having committed to the venture on a full-time basis. However, her partner Antje Danielson has maintained her Harvard commitments and is due to give birth in the coming month. If Chase intends to seek second round financing, having a committed and cohesive leadership team will become imperative if she intends to make a positive impression on
There are several emerging technologies that could help the company to gain a competitive advantage.
Summary: Who: Robin Chase CEO and Co-founderWhen: October 14, 2000What: Option 1: Reach out to other investors Option 2: Create a new business model Option 3: Close the businessMain Players: * Robin Chase * Antje Danielson - * Corporate PresidentOthers * Glenn Urban – Dean and mentor to Chase * JohnSnow – Consulting Firm * Paul Covell – MIT engineer * Investors CircleAlliance Partners: * Dan Holland – Venture partner * Transit Stations * AP reporter – press coverage Competitors: * Europe car sharing companies - Swiss Mobility CarSharing, Drive Stadtauto * Rental Car Companies –
Enterprise Rent-A-Car has started its operations in 1962 by establishing and successfully developing a new niche in the car renting industry. The business had strictly focused on replacing local citizens’ cars due to repairs. Later on Enterprise started to serve two additional segments, leisure & discretionally rentals and business rentals. Newly launched segments were successful; however the main focus of Enterprise continued to be the initial business stream – the Replacement Rentals. This business section takes up 78% of Enterprise’s resources, which enables the company to capture approximately 55% of the US replacement rentals market share. Yet, the total replacement Rent-A-Car
The second objective is to find disruptive innovations that threaten the product roadmap and which, ideally, can be incorporated into corporate strategy to yield a competitive advantage [3].
With this analysis, we will be familiar with the competitive forces that could significantly impact the success of this product. By analyzing these threats, we will be able to create more accurate planning strategies.
On a medium/long terms the company has the opportunity to be the pioneer in developing a innovative product with a positive impact among clients and
Innovation and innovation strategies are critical to keeping companies competitive in their chosen fields of endeavor. Consumers benefit significantly from the availability of and access to the latest in technology. This paper
Zipcar needs additional funding if it hopes to survive and expand. In order to gain additional funding they would have to bring in there best arguements to why they should be funded by outside investors. On pages 1 and 11 it states that Chase needs to work on a pitch that will get investors to invest. In other words, she needs to look at revising the current business model so investors will want to buy in.
As things stand most Millenials and some Baby Boomers along with the Gen-X crowd understands the value of the latest trend in share rides knowingly both Lyft and Uber. We have all seen the news stories about those idiots that have done the unthinkable and of have gone to jail. Moreover, regardless of the “bad eggs” in the business people still want to use the share ride services we are becoming accustomed to.
Upon leaving the Navy, former decorated WWII pilot Jack Taylor founded Enterprise Rent-A-Car in 1957. Using the lessons learned from the military, he was successful in incorporating the concept of hard work and team spirit into building one of the largest car rental companies in the United States. Today in addition to renting cars, customers can also rent SUVs, minivans, moving and cargo trucks and there is an exotic car collection available in select cities. The company also offers over 250 models of used cars, trucks and SUV’s for sale complete with warranties.
General Motors applies the IEEE Spectrum Patents Scorecard to measure its patent prowess in the automotive and parts industry where GM was ranked third in the 2010 patent power rankings. This was a decline from the number one position it held in the 2008 patent power rankings. (7) Correspondingly, GM Engage is another tool that is exercised to measure innovation. It is a crowd sourcing instrument designed to harness the knowledge and creativity of every GM employee for product innovation. In other words, how receptive the culture is to open innovation. (8) On a whole the importance of innovation cannot be overestimated because it leads to prosperity and a higher quality of life for everyone.
The firm will compete with firms C, D, and E who currently hold varying market shares in Economy, Minivan, and Utility respectively. How we intend to win is by introducing the crossover vehicle that has the functions of the Utility, the same capacity of the Minivan, and a different styling than the Economy vehicles.
This course for juniors and seniors explores firm strategies related to innovation and technological change. We focus on how the success of technological innovations—new products, processes, and services—depends on the firm’s business model. Other key topics include intellectual property rights and the management of technological uncertainty through organizational arrangements such as corporate venturing, spinoffs, and alliances.
This study discusses Toyota, General Motors’ (GM), and Tesla Motor’s competitive strategies. These three companies are top leaders in the automotive industry, and this paper focuses on what their current strategies are and how they develop and manage their opportunities. The paper will also address what can impact these three companies, how they protect their company from competitors, and some recommendations for each companies.
Innovation offers the companies a competitive advantage. Presently and within the future, more than any time in history, the key to competitive advantage is innovation. However innovation will facilitate businesses meet all of their strategic challenges, not simply competition; to illustrate, in confronting accelerating rates of change, globalization, apace advancing technology, a additional numerous workforce, associated a modification from an industrial to a knowledge-based economy. Meeting all of those challenges helps the firm attain competitiveness, and meeting these challenges suitably depends on innovation. Innovation allows a firm to workout its challenges in distinctive ways in which build competitive advantage either through relative differentiation, a relative low-priced position, or few acceptable level of each. Innovation cannot assure success, however success cannot be achieved within the end of the day without it.