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Rental Car Industry: Porter's industry analysis

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A good response should be based upon your analysis of Enterprise. If I can change "Enterprise" to "Hertz" or "Avis" in your response, and still have your analysis/recommendation fit, then it is not a good analysis/recommendation.

Besides industry analysis and resource-based view (VRIS), please consider other tools from the class as ways to frame your response. Your analysis should be based upon structured logic. Build your recommendations on analysis, not leaps of logic.

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Solution Summary

Industry analysis of rental car industry using Porter's 5 forces analysis is provided.

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Executive Summary:

The case discusses about the growth challenges of Enterprise Rent a Car company in the various segments of the rental car industry. The case provides an overview of the history and current trends in the rental car industry along with key dynamics of the industry. Further, it provides an overview of the key competitors of Enterprise and their key strengths and positioning in the car rental industry.

Enterprise is facing numerous challenges to sustain its leadership position in the off airport market as well as needs to strengthen its position in the on airport market. The market is witnessing consolidation and key competitors such as Hertz are making aggressive moves in the off airport and insurance segment in which Enterprise has a strong hold. Hence, Enterprise needs to modify its strategy in order to respond to these competitive threats.

Enterprise has to leverage on its strengths in order to create sustainable competitive advantage for the firm in various segments of the rental car industry. The company needs to focus on factors such as technological ...

Solution provided by:
Sandeep Bardia, MBA
Education
  • BCom, SGTB Khalsa College, University of Delhi
  • MBA, Rochester Institute of Technology
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