15 Nov Instructions: Complete a 3-5 page draft of the financial aspects of your Capstone project. Upload this draft to your group section of Blackboard.   This assignment should include the

Gabriel A. Nunez

Unit 3.3 Assignment: The Capstone Project II: Goals & Objectives

Concentration: Supply Chain Management

Malcolm Baldridge School of Business

Post University

BUS 700: Capstone

Professor McGivern

November 12, 2023

Transforming Car Rental: A Peer-to-Peer Car-Sharing Platform for G&G Liberty in Houston

Problem or Opportunity

The peer-to-peer car-sharing market has emerged as a dynamic and rapidly expanding segment within the broader transportation industry. With a projected value of $7.2 billion by 2023, this market's growth signifies a fundamental shift in how individuals approach car rental services. G&G Liberty, recognizing its substantial market potential, seeks to position itself as a key player in Houston's shared mobility landscape. The opportunity at hand is to tap into the rising demand for convenient, flexible, and cost-effective transportation solutions (Valaštín, Košt’ál, Bencel, & Kotuliak, 2019). By embracing the shared economy principles through the Turo platform, G&G Liberty aims to facilitate a seamless connection between car owners looking to monetize their underutilized vehicles and consumers seeking on-demand and app-based car rental services.

The core of this opportunity lies in addressing the evolving preferences of modern consumers who increasingly value accessibility and efficiency. G&G Liberty's envisioned platform aims to provide a solution beyond traditional car rental models, offering a technologically advanced and user-friendly interface. This approach aligns with the broader trend of shared mobility, where individuals seek alternatives to traditional ownership and embrace accessing resources as needed (Svangren, Brereton, Skov, & Kjeldskov, 2019). By creating a platform that streamlines the rental process and incorporates the principles of the shared economy, G&G Liberty not only facilitates a means for car owners to generate income from their vehicles but also caters to the growing appetite among consumers for app-driven and hassle-free car rental experiences.

General Background

The traditional car rental industry is experiencing a profound transformation driven by the emergence of peer-to-peer car-sharing platforms. Companies like Turo, Getaround, and Zipcar have disrupted the conventional model by connecting car owners willing to rent out their vehicles with individuals seeking short-term rentals (Svangren, Brereton, Skov, & Kjeldskov, 2019). This shift signifies a broader societal move towards the shared economy, where the emphasis is on optimizing the utilization of assets, such as cars, through collaborative consumption.

The traditional paradigm of owning a vehicle outright is gradually replacing a more efficient and sustainable approach, aligning with contemporary trends emphasizing access over ownership. As a result, the peer-to-peer car-sharing model has gained traction, reshaping the dynamics of the transportation industry (Vélez, 2023). The success of G&G Liberty's venture hinges on several critical factors. Strategic planning is essential to negotiate the intricacies of the changing car-sharing ecosystem and understand the demands of both car owners and renters. Effective implementation entails developing a streamlined, user-friendly platform that promotes simple transactions and builds user confidence.

Staying ahead of the competition regarding creativity and customer experience is critical to differentiating G&G Liberty and ensuring long-term success. G&G Liberty wants to not only ride the tide of change in the automobile rental sector but also set new benchmarks for efficiency, accessibility, and customer pleasure by aligning with shared economy principles and personalizing services to match the unique demands of the Houston market (Vélez, 2023).

Overarching Goals and SMART Objectives

Goal 1: Establish a Robust Peer-to-Peer Car-Sharing Platform

Objective 1: Develop a user-friendly mobile application integrated with Turo, ensuring seamless navigation and transaction processes by Q2 of Year 1.

Creating a user-friendly mobile application is paramount to the success of G&G Liberty's car-sharing platform. By focusing on user-friendly design and functionality, G&G Liberty aims to facilitate easy navigation within the app, ensuring that users can effortlessly locate and reserve vehicles (Byun, Yang, & Chung, 2020).

Objective 2: Collaborate with Turo to customize the platform for the Houston market, considering local preferences, regulations, and specific user needs, achieving completion by Q1 of Year 1.

Customizing the platform for the Houston market is crucial for G&G Liberty to resonate with local users. This objective involves strategically collaborating with Turo to tailor the platform to Houston's unique characteristics, considering local preferences, regulations, and specific user needs.

Objective 3: Implement a comprehensive onboarding process for car owners and renters, including identity verification, vehicle inspection, and insurance validation, ensuring a secure and trustworthy platform by Q3 of Year 1.

Ensuring a secure and trustworthy platform is paramount for the success of G&G Liberty's car-sharing initiative. This objective entails implementing a thorough onboarding process for car owners and renters. Key components include identity verification, vehicle inspection protocols, and insurance validation procedures. By establishing a robust onboarding system, G&G Liberty aims to instill user confidence, fostering a sense of security and reliability.

Objective 4: Conduct user testing and gather feedback to refine the platform continuously, aiming for a minimum 90% satisfaction rate among users by the end of Year 1.

Continuous refinement based on user feedback is integral to the success and evolution of G&G Liberty's car-sharing platform. The target of achieving a minimum 90% satisfaction rate by the end of Year 1 underscores G&G Liberty's dedication to providing a service that meets and exceeds user expectations (Hoyer, Kroschke, Schmitt, Kraume, & Shankar, 2020).

Objective 5: Develop strategic partnerships with local influencers and businesses to enhance platform visibility and attract a diverse user base, achieving a 20% increase in registered users by the end of Year 1.

Building a diverse and engaged user base is critical for the success of G&G Liberty's car-sharing platform. This objective focuses on developing strategic partnerships with local businesses and influencers to enhance the platform's visibility. By leveraging the reach and influence of local entities, G&G Liberty aims to attract a broader audience.

Goal 2: Ensure Regulatory Compliance and Legal Framework

Objective 1: Conduct a comprehensive legal analysis to understand and comply with local and state regulations related to peer-to-peer car-sharing, completing the analysis by Q4 of Year 1.

This objective involves thoroughly examining local and state regulations pertinent to peer-to-peer car-sharing, ensuring that G&G Liberty operates within legal boundaries. By conducting a comprehensive legal analysis, the company aims to gain a deep understanding of the regulatory landscape by Q4 of Year 1. This proactive approach demonstrates G&G Liberty's commitment to compliance from the outset, mitigating legal risks and laying a solid foundation for the venture.

Objective 2: Establish partnerships with legal advisors and regulatory authorities to ensure ongoing compliance and stay updated on legislative changes, maintaining a 100% compliance rate.

Building partnerships with legal advisors and regulatory authorities is crucial for G&G Liberty's continuous adherence to evolving legal frameworks (Van Loo, 2019). This objective seeks to develop ongoing relationships that enable the firm to stay abreast of any legislative changes affecting the peer-to-peer car-sharing industry.

Objective 3: Develop a transparent and clear policy framework for users and communicate it effectively through the platform.

G&G Liberty aims to create a comprehensive policy framework covering key areas such as insurance coverage, liability, and dispute resolution to ensure user trust and compliance. This objective emphasizes the significance of clear and transparent communication of these policies through the platform.

Goal 3: Build a Strong Brand Presence in Houston

Objective 1: Develop a targeted marketing and advertising strategy, utilizing offline and online channels, to attract a minimum of 10,000 app downloads by the end of Year 1.

This comprehensive strategy will leverage digital platforms, traditional advertising channels, and local events to maximize reach and engagement. Achieving this target establishes a solid foundation for G&G Liberty's brand recognition and user base, fostering a strong initial connection with the Houston market (Lesscher, Lobschat, & Verhoef, 2021).

Objective 2: Implement a customer loyalty program, offering discounts, rewards, and exclusive promotions to encourage repeat business and positive word-of-mouth, aiming for a 30% increase in repeat customers by the end of Year 2.

Building on the initial user acquisition, G&G Liberty seeks to cultivate customer loyalty through a targeted program. This objective involves the implementation of a customer loyalty initiative, providing incentives such as discounts, rewards, and exclusive promotions to encourage repeat business.

Objective 3: Use social media platforms to engage with the local community and share user testimonials, achieving a 50% increase in social media followers within the first six months.

This objective involves leveraging social media for community building, sharing user testimonials, and highlighting the unique benefits of peer-to-peer car-sharing. This engagement strategy enhances brand visibility and facilitates direct communication with users, fostering a positive and interactive relationship with the local audience (Appel, Grewal, Hadi, & Stephen, 2020).

Goal 4: Ensure Financial Sustainability and Profitability

Objective 1: Conduct a detailed financial analysis to determine a sustainable pricing model, achieving breakeven within the first 18 months of operation.

By conducting a detailed financial analysis, including meticulous cost projections and revenue forecasts, the company aims to determine a sustainable pricing model. The target of achieving breakeven within the first 18 months signifies a strategic approach to financial sustainability.

Objective 2: Explore opportunities for additional revenue streams, such as advertisements and partnerships, to diversify income sources and enhance overall profitability.

This objective involves identifying and capitalizing on opportunities for partnerships and advertisements. This strategic approach aligns with the goal of creating a well-rounded and financially sustainable business model that can adapt to changing market dynamics.

Objective 3: Implement cost-efficiency measures, including optimizing operational expenses and negotiating favourable terms with service providers, to maintain a healthy profit margin of at least 15% by the end of Year 2.

By carefully managing costs and maximizing operational efficiency, the company aims to build a financially resilient platform that can weather industry challenges and sustain profitability over the long term (Rathnasiri et al., 2022).

Goal 5: Foster a Culture of Continuous Improvement

Objective 1: Establish a dedicated customer support team equipped with the necessary tools and training to address user inquiries, complaints, and feedback promptly, achieving a 95% customer satisfaction rate within the first year.

This objective strongly emphasizes customer satisfaction by establishing a dedicated and well-equipped customer support team. G&G Liberty aims to ensure prompt and effective resolution of user inquiries, complaints, and feedback by providing the team with the necessary tools and training.

Objective 2: Implement a continuous training program for employees, focusing on technological updates, customer service skills, and industry best practices, ensuring that the team remains well-equipped to adapt to changes and challenges.

To maintain a high level of expertise within its workforce, G&G Liberty plans to implement a continuous training program. This approach enhances employee satisfaction and ensures that the company remains agile in a rapidly evolving industry.

Objective 3: Conduct regular internal audits and performance evaluations to identify areas for improvement and innovation, fostering a culture of continuous learning and adaptation.

By fostering a proactive approach to learning and adaptation, the company can respond swiftly to emerging trends, customer feedback, and industry developments (Christ, Eulerich, Krane, & Wood, 2021). This objective creates a dynamic organizational culture that values learning and growth, positioning G&G Liberty as an adaptive player in the peer-to-peer car-sharing market.

Conclusion

Specific and quantifiable aims and objectives lead G&G Liberty's entry into the Houston peer-to-peer car-sharing sector. This initiative's success depends on execution, technical innovation, regulatory compliance, and a customer-centric strategy. By fulfilling these objectives, G&G Liberty hopes to establish itself as a market leader in the Houston car-sharing sector, adding to the bigger story of the shared economy's influence on the transportation industry.

References Appel, G., Grewal, L., Hadi, R., & Stephen, A. T. (2020). The future of social media in marketing. Journal of the Academy of Marketing Science, 79-95. Byun, D. H., Yang, H. N., & Chung, D. S. (2020). Evaluation of mobile applications usability of logistics in life startups. Sustainability, 9023. Christ, M. H., Eulerich, M., Krane, R., & Wood, D. A. (2021). New frontiers for internal audit research. Accounting Perspectives, 449-475. Hoyer, W. D., Kroschke, M., Schmitt, B., Kraume, K., & Shankar, V. (2020). Transforming the customer experience through new technologies. Journal of interactive marketing, 57-71. Lesscher, L., Lobschat, L., & Verhoef, P. C. (2021). Do offline and online go hand in hand? Cross-channel and synergy effects of direct mailing and display advertising. International Journal of Research in Marketing, 678-697. Rathnasiri, S., Ray, P., Vega-Mejía, C. A., Islam, S. M., Rana, N. P., & Dwivedi, Y. K. (2022). Optimising small-scale electronic commerce supply chain operations: a dynamic cost-sharing contract approach. Annals of Operations Research, 453-499. Svangren, M. K., Brereton, M., Skov, M. B., & Kjeldskov, J. (2019). Investigating the use of an online peer-to-peer car-sharing service. Human-Computer Interaction–INTERACT 2019: 17th IFIP TC 13 International Conference, Paphos, Cyprus, 740-759. Valaštín, V., Košt'ál, K., Bencel, R., & Kotuliak, I. (2019). Blockchain-based car-sharing platform. International Symposium ELMAR, 5-8. Van Loo, R. (2019). Regulatory Monitors. Columbia Law Review, 369-444. Vélez, A. M. (2023). Economic impacts, carbon footprint and rebound effects of car sharing: Scenario analysis assessing business-to-consumer and peer-to-peer car sharing. Sustainable Production and Consumption, 238-249.

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