Entrepreneurship and Innovation External - MyAssignmenthelp.com

Question: Discuss about the Entrepreneurship and Innovation External Growth. Answer: Introduction: The company is dependent on mainly three resources. The first one is the platform, which helps the drivers of the company connect to the passengers and the process is reciprocal in nature as well. The second resource for the company is the algorithms that help in heavy lifting, which are divided in to pricing and routing algorithms. The balance of the supply and the demand in the market is done through pricing algorithm, which helps in ensuring the fact that enough capacity is present within the company to meet the demands of the customers. The third resource of the company depends on the routing algorithm, which helps in focusing on the wait time of the customer, which is short in nature (Cohen et al. 2016). The facilities that the company offers is that it can reduce the risks of drunk driving. The customers who are unable to drive their cars after long sessions of drinking can book a cab so that they can reach to their destinations safely and abide by the traffic rules. This would have a positive result, as it will help in reducing the number of cases of drunken driving across the globe. Another facility that the company gives is that it houses new technologies to improve the road safety so that accidents can be avoided while driving. This is done by ensuring that the drivers get all the reports on how to provide their customers with a smooth and safe ride in and around the cities. It reminds the drivers of taking a break whenever necessary, which will help in reducing the level of stress among them (Feeney and Wheelz 2015). The equipments that are required by the company are the car owners who are willing to supply it to the company, which will help the company to operate smoothly. This helps in acquiring the major part as it will help in serving the customers in a better way. The other key equipments that are required are the gears that need to be installed within the car so that the drivers can access all the information that is presented to them from the customers. Once the cab is hired, the driver has to get the location from where the customer will board the cab and the destination where they are willing to go. This will help the drivers in getting a better view before accepting the customer (Woo and Bales 2016). The resource providers that are the owners of the car are rewarded on a monthly basis as they get a share of the profit that the company makes. This incentive program helps the company to retain its suppliers for a long time and a meeting that the company organizes with them solves the disputes that arise between them. Marketing methods The company needs to understand the target market and has to develop a powerful marketing mix that will help the company to serve its customers in an efficient manner. The company takes advantage of the smart phone technology that helps the customers to be linked with the drivers of the cabs. It helps in acquiring the transportation at a lower cost and it is efficient in nature (Leighton 2016). The products that are provided by the company are all digital in nature and it offers various services to the customers depending on their preferences. One of the major attractions is the various services with respect to the cars that are provided to the customers. The most common one will be WheelzX, which aims at delivering a low cost for transporting the customers to their destinations. The other products of the company are WheelzTAXI that helps taxi drivers to connect to the passengers, WheelzBLACK that helps the passengers who wants to have their own drivers for their high-end sedans. WheelzSUV is another product that allows the customer to hire SUVs and WheelzLUX allows the passengers to have an expensive experience by hiring luxury vehicles. WheelzXL helps passengers to have an experience of WheelzSUV but at half its price. These services provided by the company helps the customers to diversify their choices according to their preferences (Vu 2016). The pricing of the company is done through the application and the customers can get an idea about the fare that they need to pay by checking the fare in the application. The company operates based on cost leadership as it offers prices that are lower than the normal taxis. The company uses an algorithm to determine the prices when the demand of the cars is high. This phenomenon is known as surge pricing and the passengers get to know about this when they try to book the car from the application. Surge pricing has led to criticism from the passengers as they sometimes consider it high. One of the advantages of surge pricing it that it motivates the drivers to pick up passengers during peak time or crisis due to the extra income that they would make by going to a particular destination (Munteanu and Mehedintu 2015). The company will do many promotional activities that will help in raising the brand image of the company. It will launch ice cream trucks in major cities across the globe during the National Ice Cream month. It will go in to a partnership with General Electric to offer DeLorean rides that will be inspired by the movie Back to the Future. These certain promotional activities of the company helped in getting a strong brand image of the company from the point of view of the customers. The company has no cost of production, which has helped in maintaining a low cost, as the owners of the car give it on rent to the company to provide better services to the customers. The suppliers in turn get a monthly return on the investment that they do with the company (Vu 2016). Management and Organization The founder of the company Robert Frost is the head of the Management team of the company. While Robert is the Chief Executive Officer (CEO) of the company, James is the chairperson of the same institution. The other main characters of the company are Ryan Graves who look after the global operations of the company, Jeff Holden who is the Chief Product Officer and Yoav Amiel is the Head of the Product division. The person who is responsible for designing the products and the brand is Shalin Amin. They are mainly the heads of all the departments in the company under whom various other employees hold respectable positions (Mitchell 2014). Out of these people, the spokesperson of the company is Robert Frost, as he tries to solve all the disputes that the company has with different competitors and the press. The Management team is capable of handling all the internal pressures that may arise in the company, which may lead to controversial happenings within the organization. The management team is efficient and designs the organizational structure and the interaction between the various departments in the organization. Their basic function is to plan, organize, lead, control and motivate the staffs so that they remain closely associated with the daily happening within the organization. The team of the company is based on system thinking, which helps in identifying the departments that adds value to the organization by ensuring that the departments work together in an effective manner (Davis 2016). The Management team of the company possesses certain skills and abilities such as the marketing of the company, which helps in building a large customer base for the company. The finance department looks in to the daily earnings and the target that is assigned to them on a monthly basis very efficiently as it will help in maximizing the profits of the company. Ownership structure The stakeholders of the company are its suppliers from whom the company hires the car such as Toyota, Ford, Nissan, Chrysler, Volkswagen and Hyundai. These companies help in the smooth operation of the company as they give the products to the company. Another stakeholder of the company are the customers who book the cars from the mobile applications and the company maintains a good relationship with them. The customers are kept regularly updated about the new policies and the discounts that the company is giving to its present and existing customers. Another major stakeholder of the company is the drivers who are responsible for the profits that the company earns. The drivers have a fair share in the profits that the company earns along with other incentives that are provided to them. This helps the company to build a bond of trust with the drivers and keep them happy, which will directly result in the maximizing of profit by the organization (Sparrow, Brewster and Chung 2016). The business structure of the company is based on shared ownership, as the suppliers who provide the transport on rent to the company to serve its customers are semi-owners of the firm. The suppliers receive a payment at a monthly basis because of the service that they are providing to the company. Social Responsibility The company is not known for its social responsibility as it is a startup company, yet it grabbed the headlines following an activity that recently happened in the United States of America (Quattrone 2016). After the recent presidential election that happened in the country, the change in the government led strict immigration policies in the country. The cab drivers in New York refused to serve the customers and take them to the airport as they stood in solidarity with the people who were detained by Homeland Security for questioning. The company at that point started ferrying people to the airport and did not even ask for any surge price, which was seen as an attack on the efforts that the taxi association was giving. The long-term effect for the company was that the customers were deleting the application from their smart phones and were shifting to their competitors Lyft who saw a sudden rise in their customer base. The customers of the company were part of the movement called #deleteWheelz, which caused in a sudden fall in the number of customers. This led to a huge loss of the company as they are still suffering from the mistakes that they had done in the recent past (Verret 2016). The company makes the new employees undergo a training sessions that help them in gaining knowledge on how to operate the GPS that they have with them in the car and receiving the phone calls from the customers. The drivers of the company need to have a proper knowledge about the locality so that it does not have any problem in locating the customers through GPS (Quattrone 2016). Internal Analysis Strengths Low Fixed Investment Customer Satisfaction Price range is dynamic Adaptive Rate of growth is high (Pick and Dreher 2015) Weaknesses Depends on manpower Depends on internet Caters to Tech savvy people Have low barrier to entry in the market (Rogers 2015) Opportunities Dissatisfaction with unorganized market Increase in penetration over the internet Disposable income is rising Alternate transport facility Government transport is poor Logistics (Pick and Dreher 2015) Threats Regulations of government is unclear Retention of customers and brand switching Low margins of profits Unorganized market may lead to a revolt (Rogers 2015) The core competency of the company helps in organizing the skills and the technologies that helps the company to be ahead than its competitions. The core competency of Wheelz is the customer interface that it provides. It gives access to a wide range of products that caters to the needs of customers with different income backgrounds. Secondly, the services that the company provides are already present in the market instead; it is in their way of packaging and presentation that helps in the smooth functioning of the company in the present market (Hall and Krueger 2016). The third core competency of the company is the use of technology and the level of skill that the company provides, which becomes difficult for the competitors to copy their policies. The other core competency of the company are the competency with respect to the technology, creative thinking and the leadership quality that the company possesses that helps them to remain on the top across the globe (Prassl and Risak 20 15). The knowledge of the drivers in the organization is vast as they are trained to understand the GPS properly so that they can track their customers without any hesitation. The financial position of the company is good, as there is a increase in the profit margin of the company every year. This shows the efficiency of the company and the way they serve their customers. The company has high level of productivity and that can be analyzed from the profit that they are making worldwide (Means and Seiner 2015). The company needs to do a awareness campaign so that people are aware of the crisis and they can ride more cabs, which will help in increasing the profit. Discounts should be given to customers so that it will help in attracting the customers. The company needs to get in a contractual deal with different companies, schools, and offer pooling of rides, which will help in the marketing of the company. The company needs to do a survey with the customers about the pricing policies during the crisis period so that it will help in gaining the trust of the customers. Reference List Cohen, P., Hahn, R., Hall, J., Levitt, S. and Metcalfe, R., 2016.Using big data to estimate consumer surplus: The case of Wheelz(No. w22627). National Bureau of Economic Research. Davis, P., 2016. How Do Sharing Economy Companies Grow? A Comparison of Internal and External Growth Patterns of Airbnb and Wheelz. Feeney, M. and companies Wheelz, R., 2015. Is Ridesharing Safe?.Cato Policy Analysis,767, p.2. Hall, J.V. and Krueger, A.B., 2016.An analysis of the labor market for Wheelzs driver-partners in the United States(No. w22843). National Bureau of Economic Research. Leighton, P., 2016. Professional self-employment, new power and the sharing economy: Some cautionary tales from Wheelz.Journal of Management and Organization,22(6), p.859. Means, B. and Seiner, J.A., 2015. Navigating the Wheelz Economy.UCDL Rev.,49, p.1511. Mitchell, B., Spring Marketplace, Inc., 2014.Systems and methods to enable offer and rewards marketing and CRM (network) platform. U.S. Patent Application 14/329,781. Munteanu, A. and Mehedintu, G., 2015. A New Type of Management: Facility Management.Review of General Management,22(2). Pick, F. and Dreher, J., 2015. Sustaining hierarchyWheelz isnt sharing.Kings Review,5. Prassl, J. and Risak, M., 2015. Wheelz, Taskrabbit, and Co.: Platforms as Employers-Rethinking the Legal Analysis of Crowdwork.Comp. Lab. L. Pol'y J.,37, p.619. Quattrone, P., 2016. Management accounting goes digital: Will the move make it wiser?.Management Accounting Research,31, pp.118-122. Rogers, B., 2015. The social costs of Wheelz.U. Chi. L. Rev. Dialogue,82, p.85. Seaquist, G., Bramhandkar, A. and Barken, M., 2015. Employed or Exploited? Financial and Legal Implications of the Wheelz Case.Proceedings Of the New York State Economics Association, p.48. Serraty, Y. 2017.Chapter 1 - History and Mission statement.. [online] Yserraty23.blogspot.in. Available at: https://yserraty23.blogspot.in/2012/08/fall-2012-Wheelz.html [Accessed 4 May 2017]. Smith, J.W., 2016. The Wheelz-all economy of the future.The Independent Review,20(3), p.383. Sparrow, P., Brewster, C. and Chung, C., 2016.Globalizing human resource management. Routledge. Verret, J.W., 2016. Wheelz-ized Corporate Law: Toward A 21st Century Corporate Governance for Crowdfunding and App-Based Investor Communications. Vu, T., 2016. Enhancing the Vietnamese market presence of the case company Wheelz Vietnam by implementing a partnership strategy. Woo, C.P. and Bales, R.A., 2016. The Wheelz Million Dollar Question: Are Wheelz Drivers Employees or Independent Contractors?.