Strategy Marketing Of Enterprise Rent A-Car Sample College Essay

Therefore, the service provider’s task is to “manage he evidence”, “tangibility the intangible”. Cassettes: We are here mentioning the part taken from the case study of Enterprise Rent A-Car showing the solutions to minimize the intangibility in services. Enterprise Rent A-Car is the world’s number 1 rental car company in North America and arguably the world. Jack Taylor founded Enterprise in 1957 in United States. It is a privately-owned business. Forbes ranks Enterprise as a number 16 in top 100 private companies in the United States.

To improve the image of the services and overcome the problem of intangibility of services being provided, certain assures were taken so that the quality of the services can be judged before taking the services by customers which include; The attitude and helpfulness of the Enterprise employees The speed of the transactions The cleanliness of the cars and their outlooks. 2- Variability Because the quality of services depends upon who provides them, when and where, and to whom, services are highly variable as they vary.

Service buyers are aware of this variability and they often talk to others before selecting a service provider. To reassure customers, some firms offer service guarantees hat may reduce consumer perception of risk. Here are 3 steps that service providing firms can take to minimize variability. Invest in good hiring and training procedures. Standardize the service -performance process throughout the organization. Zurich@ is a major financial services group that was founded in 1872. Its headquarters are in Zurich, Switzerland.

Today, the company employs 60,000 people. It serves customers in more than 170 countries. The company has offices in the Americas, Africa, Europe, the Middle East and the Asia Pacific region. Zurich operates in a very competitive marketplace. It needs to focus on providing the best possible products for its customers in order to compete and grow market share. Zurich offers a rich mix of services for these customers including: motor insurance buildings and contents insurance risk management business insurance programmer life insurance pensions and investments.

ZURICH HELLESPONT The company has developed the concept of Zurich HelpPoint@to communicate and summaries this business strategy to customers. Insurance can be taken out to cover, for example, loss or damage to vehicles or property. Customers pay a premium each year to obtain this cover. In the event of loss or harm occurring, they can claim for the cost of repairs, replacements, loss of profits or other necessary services. Hellespont started out as a free helpline for customers with motor insurance claims. Today it is far more than that.

Hellespont is an expression of the many ways in which Zurich delivers for its customers every day, all around the world helping to meet their needs. This includes providing practical advice and solutions, information, support services and help at the point of claim. It is an attitude that Zurich staff around the world take very seriously to deliver relevant alp, when it matters. Hellespont is not just about dealing with external customers those insuring with Zurich. It is also about serving internal customers people who work for Zurich.

For example, effective IT and Human Resource services are required to support all Zurich employees. All workers are encouraged to think about and implement practices that will give their customers the best possible service. HOW TO MINIMIZE VARIABILITY Zurich refocused and adapted its existing Hellespont service to provide an all- embracing help-service. The company tried to minimize the factor of variability n the services that it was providing, for that a proper procedure was made and followed strictly by the employees. They were given training.

After that they upgraded and reluctance their existing services by developing and launching innovative new customer focused services, training sessions, raising workshops etc. 3- Permissibility Services cannot be stored so their permissibility can be a problem when demand fluctuates. Demand or yield management is critical- the right services must be provided to the right customers at the right places at the right times and right prices to maximize profitability. Several strategies can produce a better match between service demand and supply.

If demand is considered measures taken include: Differential pricing Cultivation of non-peak demand Complementary services Reservation systems If supply is considered, measures possibly taken include: Part-time employees Peak-time efficiency Increased consumer participation Sharing of services Facilities for future expansion Case study Not being on the beach meant that the Vista del Mar lost out on tourist business. Owners Dave and Jane Baldwin brainstormed unique promotions designed to entice customers into visiting?and staying a while.

What does a restaurant owner running a beachheads resort in the sunny Costa del Sol of Spain have to worry about, besides cloudy days? After all, in this part of Spain, the weathers great from April to October. Tourism is the main industry, and there is a thriving beach culture thanks to the sunny skies and warm Mediterranean Sea. Dave and Jane Baldwin, looking to serve that beach culture, eagerly took over the Costa del Sol’s Vista del Mar restaurant in April of 2007. Previously, Jane had helped run a small hotel in Vermouth, UK; Dave had no restaurant management experience.

We wanted to live the Spanish dream! ” he said. The Vista del Mar restaurant is a beachheads bar/restaurant that serves Spanish and International food and wine to those looking to escape the heat. However, business at the Vista del Mar suffers a little, unlike nearby shortcomings (bars directly on the beach), because of its lack of direct access to the sand and surf. Never ones to give up, Dave and Jane Baldwin have touted the lack of sand at Vista del Mar as a benefit (“set up above the beach, with no sand! Says their website) and have started a number of promotions to drive customer traffic o the Vista del Mar. Another issue being faced was the mismatch between demand and supply of services. At the peak-times the services were lacking to fulfill the required demand of services to entertain a huge number of customers. For resolving that issue, the owner decided to hire some more employees on hourly wage rates and to increase to peak-time efficiency.

Besides this they also planned activities to increase customers’ participation in the mean time so they don’t get irritated and unhappy from the services being provided. To manage demand complementary services were introduced, measures were taken for the litigation of Nan-peak demands. 4- Inseparability Provider-client interaction is a special feature of service marketing. Buyers of entertainment and professional services are very interested in the specific provider.

When clients have strong provider preferences, the provider can raise its prices to ration its limited time. Some strategies have been existing around the limitations of inseparability. The service organization can train more service providers and build up more client confidence, as H Block has done with its national network of trained tax consultants. Case study H Block’s Tax Services segment provides income tax return preparation, electronic filing and other services and products related to income tax return preparation.

Clients are offered a number of options for receiving their income tax refund, including a check directly from the IRS, an electronic deposit directly to their bank account, a prepaid debit card, a refund anticipation loan (ORAL) or a refund anticipation check (RACE). Major revenue sources include; fees earned for tax preparation services performed at company-owned retail tax offices, royalties from franchise retail tax offices, fees for tax-related services, sales of ax preparation and other software, online tax preparation fees, RAILS and Races.

The purpose of this paper is to research the impact of the recent decision the Office of Comptroller of the Currency (COCO), the Treasury Department agency that regulates national banks, made concerning the elimination of refund anticipation loans (ORAL) funded by HASH, H&R Block’s lender. We will also look at Block’s new management strategy to combat their decision. History of Block H&R Block is one of the world’s largest tax services providers, utilizing more than 100,000 trained tax professionals and having prepared more than 550 million tax turns worldwide since 1955.

Brothers Henry W. Bloch and Richard A. Bloch founded the company in 1 955 and grew the business to become a brand and franchising icon. The Kansas City based company also offers banking, personal finance and business consulting services. Today, H Block operates 12,500 retail tax offices in the United States plus an additional 1,400 abroad. H Block is using certain techniques to minimize the issue of inseparability which are mentioned above including the maximum use of internet and social connecting media so that services are available to the clients 24 hours.

Malaysia Car Industry Research Paper 10


1.1 Background

Malaysia is one of the smaller Southeasterly Asiatic markets for motor vehicle production and gross revenues and ranks behind South Korea, the People ’ s Republic of China, Taiwan, Thailand and Indonesia. Since 1985, when the first made-in-Malaysia auto, Proton rolled off the production line, it have been spearheading Malaysia ’ s ambitious program to go one of the universe ’ s most advanced industrial societies by the twelvemonth 2020. To day of the month over one million Protons have been sold in 51 states throughout the universe.

By contrast, Malaysia ’ s motor vehicle industry really remains to a great extent protected with import responsibilities runing from 140 to 300 per centum on autos, and really high local content demands. Malaysia besides maintains an import prohibition on motor vehicles from Israel and South Africa. These protectionism clause in big has made Proton to became the figure one best merchandising rider auto in Malaysia. It has besides maintained a immense market portion of over 50 % since 1987 from it infancy beginnings in 1985.

1.2 Market Review

Year 1998 Position Makes Gross saless Unit Share

  1.  Proton ( EON ) 67595 49.5 %
  2.  Kancil 38921 28.5 %
  3.  Proton ( USPD ) 19894 14.6 %
  4.  Honda 4100 3.0 %
  5.  Toyota 1930 1.4 %
  6.  Nissan 1407 1.0 %
  7.  Mercedes Benz 1160 0.9 %
  8.  BMW 672 0.5 %
  9.  Volvo 422 0.3 %
  10.   Peugeot 350 0.3 %

Entire Passenger Car 136451 100 %

1.3 The Proton Story

In 1983, the Malayan authorities formed Proton ( Perusahaan Otomobil Nasional ) – a 70/30 joint venture between the Malayan authorities and Mitsubishi. Assembly of its first national auto, the Proton SAGA, began in 1985. The SAGA contained 70 per centum local content in the beginning, with programs to increase this finally to 90-95 per centum. Presently the Proton is between 60 and 62 per centum local content harmonizing to GSP standards.

Product Launch

  • 1985 Proton SAGA 1.3 and 1.5 liter
  • 1992 Proton ISWARA 1.3 and 1.5 liter
  • 1993 Proton WIRA 1.5 and 1.6 liter
  • 1994 Proton SATRIA 1.3 and 1.6 liter
  • 1995 Proton PERDANA 2.0 liter
  • Proton WIRA 1.3, 1.8 liter and
  • 2.0 Diesel ( new coevals )
  • 1996 Proton TIARA 1.1 liter
  • 1997 Proton PUTRA 1.8 DOHC
  • 1998 Proton SATRIA GTi 16V
  • Proton PERDANA V6

1.4 EON ( Proton Leading Car Distributor )

EON, a member of the DRB-Hicom Group, was established on 16 May 1984 as the exclusive distributer of

Proton autos. On 1 September 1985, it marketed the first Proton Saga, and thenceforth at that place was no looking back. As the taking distributer for Proton autos in Malaysia, it has besides became one of the state ’ s fastest emerging group. Gross saless volume increased quickly – from 7,494 units in 1985 to 140,968 units in 1997, averaging an one-year growing rate of 18.7 per cent. For the fiscal twelvemonth ended 31st December 1998, the group recorded a turnover of RM 3.95 billion with a pretax net income of RM 101.6 million.


In Malaysia, for the last 10 old ages, the auto industry was practically taken over by Proton trade name. Of the vehicles sold yearly, 70 per centum are Proton gross revenues. Some 25 other makers compete for the staying 30 per centum. The old best selling auto like Nissan Sunny was wholly wipe out about nightlong since Proton immense coup d’etat in market gross revenues more than 10 old ages ago. Over the following decennary, the Malayan Proton vehicle market is expected to increase near to 90 per centum from 230,000 units at present to about 375,000 units in the twelvemonth 2000.


3.1 Marketing-Mix Schemes

The most basic marketing-mix tool as in Product, Proton offers unimpeachably the best warranty bundle of any maker. The most of import portion being the power train guarantee, which guarantees the engine and transmittal assemblies against failure for six old ages.

The following most aggressive marketing-mix tool in Proton gross revenues is Promotion and Place. Proton through EON as distributer has been able to set about to pass on efficaciously and promotes its merchandise to the mark market. It has set up communicating and publicity plans extensively dwelling of advertisement, gross revenues publicity, public dealingss, and direct and on-line selling.

The really first publicity Proton used was to form the auto calling competition, and it was from here that a certain trade name belonging nationalism towards Proton SAGA name was instill among Malayan. The authorities itself besides unrelentingly prosecute the publicity of Proton auto on a state broad graduated table with the Prime Minister establishing about every new theoretical account class in the Proton auto line of descent. This itself has been widely covered in all major newspaper for the benefit of market trade name consciousness.

As in late the Prime Minister as a premier mover in advancing Proton autos have launched legion universe events viz. , the World Cup Golf ‘ 99, and Le Tour De Langkawi, presenting a Proton auto to its victor. The recent accomplishment of Malayan jocks who had set and broken records in Kuala Lumpur 98XVI Commonwealth Games was besides non forgotten, as the jocks were each awarded a Proton PERDANA.

Besides this Proton through its selling arm EON, have besides been patronizing universe events to advance the auto viz. , FIFA/Coca Cola IXth World Youth Club, 34th International Youth Skill Olympics, Motor Rallying Activities and the Malaysia Thomas Cup squad to reconstruct the badminton glorification. These intensive publicities particularly at universe maps have however promoted Proton autos to a huge bulk of people in Malaysia every bit good as overseas.

Proton besides tried to show its markets strength by set uping a national record of 2713 Proton autos in perfect convoy at the Penang Bridge Merdeka Proton Drive for the Guinness Book of World Records. This will certainly convey about trade name belonging nationalism. Further to that, Proton carried on lastingness advertisement by making a successful parachute leap at the North Pole utilizing a Proton WIRA 1.5.

Recently in a promotional blitz to excite demand for the automotive industry and to help the state ’ s economic recovery attempt, national auto distributer EON promoted the weekend mega EON Auto Carnival – The Main Event. Hundreds of new autos were sold at this carnival. Aside from this, Proton besides supply refurbished and used autos to be sold at EON Motoria Autofair as to aim the following lower income group.

The following aggressive marketing-mix tool by Proton is Pricing and its convenience. Here Proton decides on good for value monetary value, price reductions and good recognition term.

Besides the aggressive advertisement, promotional and gross revenues schemes being adopted by EON, the authorities move to loosen up the end-financing opinion for vehicles below RM40,000 to 85 per cent and the extension of the footings of refund to seven old ages have besides been a conducive factor to the addition in gross revenues. EON ’ s paradigm displacement in selling is aimed at doing auto purchases more low-cost. This will certainly be welcomed by many Malaysians who may hold encountered troubles in acquiring finance in the past times.

In the recent economic downswing, EON have besides managed to re-categorize its pricing. Customers have shown peculiar involvement in the no-frills Proton Iswara 1.3S Aeroback that was being promoted at an low-cost RM29,683. In a short period, 3,160 units for all discrepancies of this theoretical account were sold.

The thrust to sell remains a high precedence at all degrees in EON despite a dampened market. The company is besides offering a RM4,000 price reduction on the new Proton Perdana 2.0 SEi Auto ( corporate edition ) to pull the executive and fleet market. At one clip, a buyer-get-buyer fillip inducement programme of a service salvation voucher valued at RM300 is besides offered to proprietors of Perdanas who introduce new clients to the pleasances of a Perdana ownership.

On the mentality, EON is confident of the gross revenues for Proton vehicles increasing in tandem with T

he country’s economic recovery.

In an effort to command the monetary value farther, EON and the authorities have besides:

  1.  Raise freedom of excise responsibility on Proton autos from 50 per cent to 70 per cent for a limited period. ( This meant a loss in Government gross of RM 126 million in 1998 ) .
  2.  Widen the 50 per cent freedom on excise responsibility for Proton ’ s Tiara for an extra 6 months. ( Loss in Government gross for 1998 at RM 35 million ) .
  3.  Eliminate optional accoutrements to take down the monetary values of Proton autos by about 10-12 per cent from the current monetary value of the auto.
  4.  Suspend temporarily the 13 per cent import responsibility on Proton ’ s constituents as an incentive to export to new markets, which are consistent with the WTO regulations. ( This release cost the Government RM 58.3 million in gross in 1998 ) .
  5.  Proton besides trives on the discriminatory authorities intervention, paying merely 13 % responsibility in imported parts while it ’ s challengers forked out 42 % .

Ideally, the strategic vision for PROTON is to be a planetary automotive maker, able to vie with emerging auto manufacturers in all markets. A pre-requisite towards recognizing this vision is through making the degree of economic system of scale production therefore enabling production at low cost degrees.

As portion of its long term capacity enlargement program, the edifice of its new works in PROTON City, Tanjung Malim, 90 kilometers from Kuala Lumpur, marks a important milepost in achieving the car maker ’ s vision.

PROTON’s vision is to construct an incorporate automotive metropolis that will supply the necessary substructure and resources to back up high volume fabricating operations and enabling low unit cost production.

As an illustration, PROTON’s sellers will be incorporated into the metropolis ’ s programs for easiness of parts bringing based on the Just-In-Time bringing system. Vendor mills will be built alongside PROTON’s works to organize closer networking between PROTON and its supply concatenation.

3.2 Effectiveness Strategy

The Proton ’ s scheme, in retrospect, was a lesson in effectivity:

  • The Merchandise: Well-known national auto or besides known as “ kereta rakyat ” , sedan household size, mean design and cheap stuff.
  • The Monetary value: Value pricing and lowest in the rider auto scope.
  • Distribution: Extensive distribution Centres ( EON ) , one at every town with lively salesrooms.
  • Selling: Proton appointed exclusive distributer EON, to to the full concentrate on Proton trade name.
  • Ad: Aggressive advertisement in all major media, particularly print media and Television with strong authorities support.


The Malayan auto Proton Wira ’ s waiting list is approximately 6-month as it is ; and they will non sell the auto to you unless you trade in an old auto. It is racket truly. And the Salesmen, they do non come to you any longer, you go to them if you want to purchase a Wira auto. Even if you go to them they still avoid you ; ( because they can non present? ) . And if you have the money you still can non purchase the auto. Probably because Proton Wira is the cheapest auto of its category ( other autos of the same category are taxed so to a great extent that they can non vie reasonably ) .

And now with the export of the Proton Wira, it has made it a hard trade good to get in Malaysia. Most will wondered why they call it a Malayan auto at all if Malayan have to wait 6 months to purchase the auto? With a waiting period of 6 months ( and holding to merchandise in a 2nd manus auto to acquire a new Proton Wira ) is it truly deserving while purchasing it? But so purchasing another brand of auto one would be branded as disloyal. Waiting in line for a Proton, even when you finally acquire one, the salesman offers you X ringgit if you are willing to give it up to person else. The grief starts after you drive it place. Then you realize the pride of the state comes with a few rattlings and noises. Thingss come off easy. Sometimes, the wireless comes off in your custodies. And this is NOT a security characteristic. And, if you have been awake in the last few old ages, you would cognize that the National auto has been steadily lifting in cost over the old ages. Reason: Hankering. A hankering for net income.

The criterions for Proton is besides far below what you should acquire for the money you pay. Partss are replaced non knocked because they are easy crushed on impact, therefore doing it worthless for strike harding.

The Proton was supposed to be an low-cost auto for the mean Malayan. With it ’ s entry into the Malayan market more than 10 old ages ago, within a few months revenue enhancements on foreign low cost autos ( like the antic Sunny Extra ) was increased seting it out of range of most Malaysians. It became ‘ the best merchandising autos of all time ’ due to unjust advantage. Not that it was of high quality, it does non run into the minimal criterions required by, state UK, Australia.

When one looks at the broader image, Proton is a suffering failure. It has made autos less low-cost for the mean Malayan. It has given the Malayan consumer less pick when purchasing a new auto. It has made EON, a non-company prior to the being of Proton, THE most powerful auto franchise in Malaysia, despite consistent ailments of hapless client service. And, as you say, it has given Malaysians a poorer quality auto than they could hold bought for the same money before the import duties were imposed.

The justification for the protections that Proton enjoys is called the baby industry statement. Simply said, as a new industry Proton needs an excess border to vie against imports. Duties on imported autos increase their monetary values doing Proton autos more monetary value attractive. However, duty on imports should be bit by bit lowered to maintain Proton awake.

Now that Proton is so really popular and such a great auto, the authorities still can ’ t afford to take off the duties on other autos. If people have already realized that the PROTON is a good auto ( as claimed ) , so it does non necessitate to be protected. It is past the newcomer phase and now must larn to stand on its ain pess. Let EON come in a free market place … If it is genuinely good, it will last, otherwise it will DIE.

This will non go on until 2003 … . when the Asian Free Trade Area ( AFTA ) takes full consequence.

5.0 Selling Analysis

5.1 SWOT Analysis

Strength Identified

  1.  Well-trained sales/service force conformity to the demands of clients.
  2.  Wide distribution Centres.
  3.  Efficient production reduces the cost and sensible monetary value to give value to the merchandise.

Failings Identified

  1.  Long bringing agendas.
  2.  Customer claims.

Opportunities Identified

  1.  Effective distribution.
  2.  Lower to Medium category cliente – market portion.
  3.  Currently monopoly of trade.
  4.  Marketing communicating.
  5.  Assortment theoretical accounts to pull clients.

Menaces Identified

1. AFTA. in the twelvemonth 2003.

6.0 Decision

I believe 90 % of Proton purchasers choose Proton over the imports because of monetary value. Once you lift the duty as it will be in 2003, you

  1.  loose the hard currency flow from the duty
  2.  free enormous market portion for the Proton.

Therefore, the auto market industry which has been monopolize by Proton will surely alter in the following 3 old ages to come. No uncertainty, anyone could populate with a Proton ( lived with one for over 5 old ages ) , but I don ’ t believe its many ’ s dream auto except for the the monetary value characteristic. Proton hereafter may travel on but it surely will non be the No. 1 auto after the twelvemonth 2003.

When AFTA is in force ( in the twelvemonth 2003 ) , most of the other auto monetary values will besides be down. AFTA pushes for release of trade in the part through the riddance of intra-regional duties and the riddance of non-tariff barriers. Then Proton will hold to vie with the same equal construct for market portion. It is popular because it is the cheapest auto in Malaysia. It is the cheapest after they impose 300 % revenue enhancement on import autos. Proton selling scheme is by and large built upon this low monetary value distinctive difference to keep as No. 1.

Responsive The Organization Change.

There are two types of boundaries: (1) internal- the horizontal ones imposed by work specialization and differentiations and the vertical ones that separate employees into organizational levels and hierarchic (2) external- which is the boundaries that separate the organization from its customers, suppliers, and other stakeholders (Robbins, peg 168). Do you agree with the following statement, “The boundaries organization has the potential to create a major shift in the way we work”?

Below will explain the answer to this question a long with the advantages and disadvantages of a traditional work environment, contemporary work structure, how these affect the business and employees , and explain how GE uses “boundaries” organizational structure. Greer with the following statement “The boundaries organization has the potential to create a major shift in the way we work”. The reason for agreeing with this is it helps an individual with self confidence, takes initiative, and trusts others. These traits are built because employee’s feel more like a part of a team than having to worry about what they are doing wrong.

They are being worked with than against. A company that uses a “boundaries” organization is General Electric (201 2, p. 2). This type of organization is founded upon interdependency and trust. General Electric CEO Jack Welsh has eloquently described this new organizational model, “Our dream for the sass’s,” welsh wrote in Gee’s 1990 annual report, “is a boundaries company . -where we knock the walls that separate us from our key constituencies on the outside” (201 2, p. 5). The roles are not defined by formal organization. These differences present both managers and employees with an added challenge.

In the corporation that has no boundaries , then, creating the right kind of relationship at the right time is key to having productivity, innovation, ND effectiveness. A traditional organizational structure is typically setup as somebody leads, others follow and with extra managers deputies to help run things. An advantage off top boss, middle management, and employees because it provides control and stability. There is a clear understanding of authority and responsibility of all the staff. Each manager in simple organization is independent and can take quick decision making within his authority.

Every employee is responsible for completing their own work. Depending upon the requirement, more managers can be added. The simple organization is economical in operation because it does not have a provision of experts and specialists to provide guidance to the top level management. On the other hand, there are disadvantages of a simple organization is the overload on managers, inefficiency, and lack of stability. Managers have to perform a wide range of functions. In other words, managers need to get involved in different jobs of their nature. This makes it difficult to devote sufficient time to creative functions.

This is why inefficiency is seen. Inefficiency is the lack of provision of experts and specialists in the decision making process. The subordinate level of employees need to have knowledge and authority about their performance which causes lack of stability in enterprise performance. Every organization is different and therefore there is no “best” organizational structure for a company. It is important to understand when establishing a company that how you structure the organization will have implications on how responsive the organization can be to change.

Also, the size of the organization is a key factor of knowing how to structure the organization. The main keys are trust and independence when structuring an organization. When managers and employees know that they can trust one another and each others work you can rely on a great outcome.

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