Your Time Car Rental

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BACHELOR OF BUSINESS ADMINISTRATION- HONOURS PROGRAM

DIPLOMA IN BUSINESS ADMINSTATION

Winter 2018 – Both Friday Sections 01 & 02

BADM 4120- BUSINESS CONSULTING

Case Submission Format – YOUR TIME CAR RENTAL Case 3

 Due March 16th at beginning of class.

Format

1. Both essay style and report format with headlines are acceptable.  Short form is not.
2. The case is to be done in groups of four or five.  Failure to follow the group format as stated will result in a mark of zero.
3. The group must submit a peer evaluation form that indicates clearly the % contribution of each member.
4. Each member of the group MUST sign the submission.  Failure to sign the report will result in a grade of zero.
5. The case submission should be 5-7 pages, double-spaced plus appendices.  Please make sure your submission is permanently bound.  A staple is acceptable.
6. Extensive use of the textbook and in-class lecture material as a resource to support your position is strongly recommended in order to receive a good grade (higher than C).
7. Use APA formatting for sourcing your paper.
8. The case submission is due at the beginning of the class on March 16th, 2018.  Late submissions will not be accepted.  Therefore late submissions will receive a grade of zero.

Mike Manjuris March 2018.

BADM4120 Business Consulting

Case 3

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In 2016 Trevian Rhys-Jones moved to Toronto from Los Angeles and he met and fell in love with a local singer called Krystl Masterdom.

 Krystl worked for a national car rental agency in her spare time and soon Trevian had to take a job as a car cleaner at Krystl’s location.

The car rental business is relatively straightforward: national chains control the majority of the market and are set up on a branch basis with (mainly) corporate-owned branches. Each branch has a number of cars at its disposal and the key is to have them available when customers require them. Rental car customers come from one of three segments: local customers who need a car due to emergency circumstances (that is, their own car is in for repairs), tourists and travellers on business from outside the area.

The large rental companies spend great efforts to attract corporate customers by offering them corporate accounts and all major rental car companies have a nationwide billing system to funnel customers to any location required.

Once a car is returned to the branch, a worker goes through the car and ensures that it is thoroughly clean and ready for the next customer. Any major repairs are done at independent garages. Quick turnaround time is crucial to success since profit is made or lost in the business according to car availability.

Cleaning up a rental car is not exactly fun work; wages are low and employee turnover is high. Surprising to many who knew him, Trevian was extremely reliable when it came to his work duties in this part of the operations. He also had a keen eye for business opportunity and recognized numerous areas of improvement which led to cars being ready for rental sooner than ever before. Trevian was offered a promotion by the branch manager to be his assistant.  Trevian accepted and this led to him being trained in the company’s national corporate training centre.

After a successful year as a branch assistant, Trevian and Krystl recognized that there were a large number of city people who called and asked if they could rent a car by the hour or half day. They also wanted to know if the car could be dropped off at their home so they did not have to take a bus or taxi to the branch depot. Many of these potential customers did not want to use Uber, because of the risk involved in Uber driver’s not having proper insurance.

The branch that Trevian worked at was not set up to handle extremely short-time rentals so he and Krystl decided to purchase three or four of the rental cars coming off lease and start their own business.

They called their company Your Time Car Rental to reflect the focus on the customer. They rented a small location in the back lane of a restaurant on Queen Street in Toronto and soon orders began to come in. Trevian had to quit work at the national car rental company as things became very busy and within three months Krystl was needed to work full time as well. By the fall of 2016 they had 27 cars and were in four Toronto locations: two downtown, one in the Beach and the other near High Park.  They began plans to expand into the smaller communities of Barrie and Collingwood Ontario.