Case ID: KEL612
Solution ID: 10800
Words: 3082
Price $ 45

Enterprise Rent A Car Case Solution

Case Solution

Differences in a company's performance come from the industry structure. The level of competitiveness in the industry determines the position of each firm. There are different sets of challenges faced by different firms in different industries. It is important for companies to analyze these challenges and develop appropriate strategies for overcoming these challenges. Some challenges are more secondary in nature. These challenges may include some customer needs that may not add up to increase the overall satisfaction level. If the secondary challenges are considered, it will increase the costs for the company. The differences between the costs from the firm's end and the willingness to pay from the consumer's end should be wide in order to increase the profitability of the company(Ghemawat & Rivkin, 2006). The company 'Enterprise Rent a car' work on one basic principle of prioritizing the consumer interests. This principle has led the company to become the market leader in the local rental service companies. It has not only worked on it one function, but improved to add value to its offerings. This improvement has led Enterprise to create a sustainability factor in its competitive advantage. The company analyzed the costs and made efforts to reduce these costs through agreements with third parties. These efforts have reduced the costs, and thus, increased the profitability for the company. There has been a significant increase in the firms with car rental services. Surviving such competition and becoming the leader of the industry despite the industry being so open to new entrants is a challenge in itself. This report will cover the company's overall assessment that will include the history of the firm's operations and the overview of the company's current strategies. It will assess the strategic challenges faced by the company and the recommendations for further strategic formulations for the company.

Excel Calculations

Questions Covered


Company Assessment

Strategic Challenges Faced by Enterprise

Strategic Recommendations

Industry Structure

Airport Competition

Willingness to Pay

Type of Competitor

Competitor Reactions

High turnover rates