Business Development Strategy for Enterprise Holding Inc.

Abstract

This report provides a clear analysis and understanding of various strategies that Enterprise Holdings Inc. (EHI) could implement when entering the Asian market, as well as a detailed overview of the Asian car rental industry. Despite its global reach, EHI’s lack of presence in the Asian market presents a major missed opportunity for the company in the foreign market. The main aim of this report is to assess EHI’s business model and create a market penetration strategy to help the company position itself for the long term, as well as capitalise on opportunities, in the Asian market. To fulfil the project aim, five milestones were constructed, focusing on studying the three largest car rental markets in Asia and determining which is the most suitable for EHI to enter. The milestones also encompassed macroenvironmental, industrial, and organisational analyses to determine the key external factors that could affect EHI when entering the Asian market. The last objective, which is the most crucial, concerned identifying the most suitable market penetration/positioning strategy for EHI. This report was realised with mainly secondary data resources, and both quantitative and qualitative data analyses were conducted. Quantitative data was mainly used for a market analysis of the Asian car rental market, while qualitative data was used for PESTLE, Porter’s five forces, competitor comparative, and SWOT analyses. The main findings indicate that the Chinese car rental market is the most suitable market for EHI to enter since it currently holds the highest market share in Asia and has achieved the highest recovery rate from the COVID-19 pandemic. Other favourable factors of the Chinese market include increasing tourism and cheap passenger car prices. The findings also indicate that the best market penetration and positioning strategy for EHI to adopt is partial acquisition with a cost-focused approach, as it evens out the risks and rewards when acquiring a foreign company while keeping the focus on offering electric vehicles to consumers in the long term.