Introduction
Communauto is the second biggest car sharing company in North America. The company has a fleet of over 1, 100 vehicles and 27,000 members in four cities across Quebec. The company was started by an entrepreneur Robert Benoit.
Benoit dream of having a transportation for his conveniences came when he enrolled at the Laval University in Quebec. The scholar undertook Urban Planning as his degree and researched on car sharing. The findings for his academic presentation convinced him to do a business plan and eventually ventured into car sharing business. In 1994, the business started with 3 fleet of used cars with fifteen customers.
Blue Ocean Strategy
The growth of the industry was challenged by the rival monopoly, Zipcar on the …show more content…
Fourthly, alternative transports system were incorporated into its systems forming a consortium of transport network. The partnership with existing transport industry complemented the transport services on a broader scale. Fifthly, it cleared the misconception of the new system to the potential users. Sceptics were proven wrong when weighing the costs benefit analysis of the car sharing system to the car ownership.
Finally, it launched incentives like the online community Communauto for the communities as an obligations to better serve its members on ideas, car free living and other related issues on the daily basis. These were some of the blue ocean strategies Communauto initiated.
Blue Ocean strategy will now be analysed in detailed on the three management strategies, the blue ocean index, the canvas model, and the pathway that the company was …show more content…
Communauto was competing against the big monopoly company Zipcar. Zipcar had big publicity and was receiving financial assistance from stakeholders. Communauto was self-funded and was challenged to operate on its own.
In order to increase its asset value, Communauto purchased new integrated electric vehicles; something new in the car sharing business. It also overhauled its fleets such that more monies were spent on procurements and maintenance affecting marketing & advertising with less allocation. In order to solve this problem, Communauto used a cheaper mode of marketing & advertising strategy. The company opted for media press coverage and word of mouth exposure. This proved to be effective where mouth exposure was 60% of these two marketing strategy.
Pathways
With the car sharing system, vehicle ownership were reduced and membership increased. This system however, was not accepted at first sight. There were doubts in the system. There were fears that convenience will not be presented. There were also fears that cultural fashion of owning cars will deprive freedom and independence. These preconceived thoughts were considered before executing the system it
Communauto is the second biggest car sharing company in North America. The company has a fleet of over 1, 100 vehicles and 27,000 members in four cities across Quebec. The company was started by an entrepreneur Robert Benoit.
Benoit dream of having a transportation for his conveniences came when he enrolled at the Laval University in Quebec. The scholar undertook Urban Planning as his degree and researched on car sharing. The findings for his academic presentation convinced him to do a business plan and eventually ventured into car sharing business. In 1994, the business started with 3 fleet of used cars with fifteen customers.
Blue Ocean Strategy
The growth of the industry was challenged by the rival monopoly, Zipcar on the …show more content…
Fourthly, alternative transports system were incorporated into its systems forming a consortium of transport network. The partnership with existing transport industry complemented the transport services on a broader scale. Fifthly, it cleared the misconception of the new system to the potential users. Sceptics were proven wrong when weighing the costs benefit analysis of the car sharing system to the car ownership.
Finally, it launched incentives like the online community Communauto for the communities as an obligations to better serve its members on ideas, car free living and other related issues on the daily basis. These were some of the blue ocean strategies Communauto initiated.
Blue Ocean strategy will now be analysed in detailed on the three management strategies, the blue ocean index, the canvas model, and the pathway that the company was …show more content…
Communauto was competing against the big monopoly company Zipcar. Zipcar had big publicity and was receiving financial assistance from stakeholders. Communauto was self-funded and was challenged to operate on its own.
In order to increase its asset value, Communauto purchased new integrated electric vehicles; something new in the car sharing business. It also overhauled its fleets such that more monies were spent on procurements and maintenance affecting marketing & advertising with less allocation. In order to solve this problem, Communauto used a cheaper mode of marketing & advertising strategy. The company opted for media press coverage and word of mouth exposure. This proved to be effective where mouth exposure was 60% of these two marketing strategy.
Pathways
With the car sharing system, vehicle ownership were reduced and membership increased. This system however, was not accepted at first sight. There were doubts in the system. There were fears that convenience will not be presented. There were also fears that cultural fashion of owning cars will deprive freedom and independence. These preconceived thoughts were considered before executing the system it