Zipcar: Refining the business enterprise Model

 Essay regarding Zipcar: Improving the Business Unit

Zipcar Circumstance

Case Research Template

Browsing: Zipcar: Improving The Business Model

Who: Robin the boy wonder Chase, CEO and Co-Founder of Zipcar

Immediate Issue/Problem Being Faced:

Zipcar needs additional funding if it desires to15325 survive and expand. In order to gain additional financing they would need to bring in presently there best arguements to for what reason they should be financed by outdoors investors. В On pages you and eleven it claims that Pursue needs to focus on a message that will get investors obtain. In other words, your woman needs to look at revising the present business model therefore investors would want to buy in.

Basic Problems:

Lack Of Experience with start ups and automobiles has led various investors to dismiss all of them. Overhead is growing faster then simply she predicted, parking and fuel service fees are more expensive than expected, which usually increase the dependence on additional funds. Not all set to open. The technology has not been perfect; only some the auto parking deals negotiated. Make a mistake in locating the wrong dude to be director, Chase has to think out ideas to let him go. 5. Management is unbalanced; Chase is fully commited full time, although Danielson is merely part-time (but they reveal ownership and profits) 5. Venture may not be big enough (offer enough return) to attract sophisticated investors 2. " Daily max pricing” means that costs continue to get while billable revenue does not; cars every member is actually less than predicted because of this utilization pattern. Make sure you take a close look at the sortie.


It is very urgent since it is the end of September and she needs an effective demonstration at the Springboard conference that takes place towards the end of October if the girl hopes to increase additional financing in Zipcar. So the urgency/importance level is definitely Four.

Decision Criteria:

(Getting a plan W in business, we need to identify a good idea to go after. Taking the step, we have to discover the analogs, antilogs and some judiciously chosen. The market was growing with little marketing in Europe, people were almost certainly hearing about this from personal experience being spread. This is an excellent arguement because it means the theory is doing work and dispersing through potential clients.

The U. S market was scarcely touched, a lot of people got public transportation, this could mean more individuals would want to take advantage of this services in city or non-urban areasВ

In order to better serve customers, Zipcar would have to develope so sort of technology to admit the particular admitted new driver to the car and also record data consumption. ) These content appear to be implementation. В Yes, it does.

Is the Zipcar rewarding?

Is the plan environmentally friendly?

Is the technology excellent and superior now?

Can there be reduction of variable expense and expense cost?

Is a customer satisfaction level high or low?

Perhaps there is good quality of management?

These types of sound like issues the shareholders will be taking into consideration in making their decision; yet , Chase could have very different standards in deciding which option solution to go after to solve the immediate issue. What insight will the assigned article give you?

(Risks with this matter:

2. Competition had been found in 3 different firms in America (different between Zipcar plus the competition is that Zipcar basics their firm motto with it has a great environmental influence, rather the fee and comfort. ( this might target many green friendly target market) * Competitition with car manufacturers and car rental locations could regularly be a problem, if perhaps they discover there is high demand for this support and if it is profitable. ) This component can be put in the basic concern, but not the choice criteria. Hazards are good to distinguish as part of decision criteria; nevertheless , there are various other important factors that Chase must consider. Generally, all of them need to help her revise the organization model. Alternatives:

1 . Environmental Impact of this type of support. They are going for a different viewpoint on the...

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