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Case
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Reference no. 303-158-1
Authors: A Mukund; V Sarvani
Published by: IBS Center for Management Research
Published in: 2003

Abstract

The case discusses the strategies adopted by the car rental company, Avis Rent A Car System, to gain market share in the US and European car rental industries. It provides detailed background information about the company, tracing the continual changes in ownership over the decades. The case examines the marketing strategies undertaken by Avis, in particular its transformation of its runner-up status into a marketing virtue, to become the market leader in Europe and attract an extremely loyal client base in the US. The case also takes a look at the various humanitarian programmes launched by Avis over the years to support its marketing initiatives. The case is structured to enable students to: (1) understand the strategies adopted by a multinational corporation to increase its share in the global car rental industry; (2) analyse how an organisation can continue focusing on excelling at the operational level, despite a rather unstable ownership; (3) examine the ways in which a ''number two'' company can challenge the market leader and explore the strategies that can be adopted to enhance market share (either in the domestic market or global markets); and (4) understand the importance of developing different ways of providing better services to customers in the car rental industry. The case is aimed at MBA/PGDBA students, and is intended to be part of the strategy and general management curriculum. The teaching note does not contain an analysis of the case.
Location:
Industry:
Size:
Large
Other setting(s):
Late 1980s to 2003

About

Abstract

The case discusses the strategies adopted by the car rental company, Avis Rent A Car System, to gain market share in the US and European car rental industries. It provides detailed background information about the company, tracing the continual changes in ownership over the decades. The case examines the marketing strategies undertaken by Avis, in particular its transformation of its runner-up status into a marketing virtue, to become the market leader in Europe and attract an extremely loyal client base in the US. The case also takes a look at the various humanitarian programmes launched by Avis over the years to support its marketing initiatives. The case is structured to enable students to: (1) understand the strategies adopted by a multinational corporation to increase its share in the global car rental industry; (2) analyse how an organisation can continue focusing on excelling at the operational level, despite a rather unstable ownership; (3) examine the ways in which a ''number two'' company can challenge the market leader and explore the strategies that can be adopted to enhance market share (either in the domestic market or global markets); and (4) understand the importance of developing different ways of providing better services to customers in the car rental industry. The case is aimed at MBA/PGDBA students, and is intended to be part of the strategy and general management curriculum. The teaching note does not contain an analysis of the case.

Settings

Location:
Industry:
Size:
Large
Other setting(s):
Late 1980s to 2003

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