The company should not get bounded to just these few locations and analyze the probable market opportunities that are prevailing in some other countries. There are places where the concept of car rental services though is known but has not gain importance which can be an opportunity for the company. There are even locations having very few limited number of players in car rental services or countries that have huge demand from the tourist for such car rental services which can prove to be a good opportunity for Zipcar capture and increase its revenue margins.
The major reason behind the expansion of Zipcar’ s business operations into other countries except those it is already operating is to increase its market share and establish its brand image in other locations. The company can opt to enter in few more of European countries such as Switzerland, Greece, Germany, France, and Italy. Apart from the European countries, the company can even opt for entering into some of the Asian countries such as UAE, Malaysia, Thailand, Singapore, and Sri Lanka. The European countries the existing demand in the consumer market towards such car rental services and the company can generate high revenue margins if it plans to enter into the selected countries.
Amongst the European countries, the major countries that can be targeted by the company would be of Germany, Italy, and France which have high tourist visits and there is a high demand in these markets towards such services. In Asia countries, the company can attempt to enter in the markets of UAE and Singapore at the initial stage as per consumer market demand and a stable economic condition so has to facilitate people towards opting for such car rental services. There are different forms of an expansion strategy that can be undertaken by a company depending on what is the major objective of the company behind such an expansion.
The expansion objectives of one company differs from another company as in case of some companies the major objective of expansion can be to adjust its products or services as per the local tastes and preferences so as to create a impact on the consumer market
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