Enterprise Rent-A-CarIntroduction to the enterpriseEnterprise Rent-A-Car is the largest car renting company in North America but it has subsidiaries in other countries such as Australia and United Kingdom. The Enterprise Rent-A-Car company has more than 5000 locations globally and this has made it gain competitive advantage in the competitive market. The firm wants to open new branches in North of London and South-East region due to high demand of its services (Plunkett 2006, p. 230). The regions identified are East Midlands, Milton Keynes, Glasgow, Dublin, Manchester, Steveneage, Luton, or Hemel Hepstead.
The enterprise will conduct market analysis to determine which one is the most suitable and viable. The firm is highly reputed because it dominates and controls most of the customers who want to rent cars. The enterprise has branches in most cities and airports apart from the newly established cities and airports (Pasiuk 2006, p. 122). The firm buys its vans from USA because its market coverage is expanding rapidly and the demand for US made vehicles is high. Enterprise Rent-A-Car main focus is the local rental car market which has not been ventured by most competitors.
It also focuses on the household who are employed and do not have personal cars. In addition, it focuses on car rentals to customers and potential customers who need their cars be replaced (Grant 2009, p. 302). The enterprise wants to specialize on providing services for a short period such as leisure or short business trip to some tourist who visit the country. The Enterprise Rent-A-Car has embarked on expanding its operations to include all the airports and major cities for it to gain competitive advantage.
It wants to expand to France and Ireland so that it can control the market. It has more that 900 offices in Canada for marketing and operation purposes (Pasiuk 2006, p. 123). The car rental market is becoming competitive due to its high quality services that meets customer’s needs at all times in UK. Its services are distinct because it provides short term holiday and vocational services or products for special occasions and breaks. The enterprise offers services such as taking customers to their hire cars centres.
Though there is high competition in the market, the enterprise has maintain its neck high in the market by satisfying its customers; hence, the main factor that determines the growth of the enterprise in UK (Plunkett 2006, p. 231). The three key competitors of Enterprise Rent-A-Car are the Europcar, Avis Budget Croup incorporation, Dollar Thrifty Automotive Group Incorporation, and Hertz Global Holdings Corporation. Avis Budget Group has car rental brand that competes with Enterprise Rent-A-Car. Its services are same with those of the company. The company’s Avis Rent-A-Car unit targets leisure and corporate travelers at the high end of the market (Markides 2008, p.
62). It has more than 2000 locations in the region and found in more than 120 countries in the world. The Avis Rent-A-Car unit beat out Dollar Thrifty Automotive Group Incorporation and Hertz Global Holdings Corporation in 2010. This later led to the acquisition of Dollar Thrifty Automotive Group (DTG). This has strengthened Avis Budget's group in the leisure rental market which had been low and dominated by Enterprise Rent-A-Car (Grant 2009, p. 303).