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Erac

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Submitted By PNecres1965
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ENTERPRISE RENT-A-CAR : CASE
Learning objective:
Apply the concepts of value creation and value capture? Understand the interaction of internal and external strategies in creating competitive advantage? Understand the difference between market-level and firm-level demand elasticity? Understand economies of scale and network externalities? Determine the applicability of skills and resources to new markets I> -------------------------------------------------
Markets
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Offerings
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Capabilities
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Competitive Advantage
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Porter forces
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I. Business Definition
How would you define the Car rentals business , within the perspective of this case / What markets are being served, with what kind of offerings and to what customer segments ?

How is ERAC positioned in this industry? What is its unique proposition? Is this sustainable? Are there any inherent gaps or weaknesses in this position?

Who are its competitors? What are the sources of ERAC’s competitive advantage? What capabilities are demanded to create value … II> II. Industry Structure
How would you characterize the economic forces that influence outcomes in this industry – of all the five (customer power, suppliers, barriers to change i.e. entry and exit, substitution and competitive rivalry), which ones seem to dominate the most by impact. Read Porter refresher below 1. A primary force represents the barriers to change in industry structure, either from new competitors entering the industry or current competitors existing the

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