CORPORATE

PIRATES

MADE BY
ANIKA – anika.jain0906@gmail.com
DHARVI – dharvisinghal2003@gmail.com
TOPICS 1. PEST and PORTER’S Analysis
2. SWOT Analysis
COVERED 3. Pros and Cons for acquiring Vroom and Yucars
4. Long term plan of action of Xyper
5. Solutions of Challenges
6. Car Rental Market size in India
 Car Rental
PEST Analysis Industry PORTER Analysis
Political
1. Solid Democratic Set Up – Provide Stability
2. Corruption – Affect the long run advantage of Democratic Setup
3. Leads to unemployment - Government may not support since Rental cars are Threat of New Entrants
1. Threat of initial investments
driverless and cause unemployment
2. Significant economies of scale

Economic 3. Impact on profitability by new players

4. Benefit for consumer from innovation and booking services

Threat of substitutes
1. Public transportation as common alternatives
2. Decrease in Mobility due to technological advancements

Social Bargaining power of Consumers

1. Minimal Switching od Consumers
1. Easily available to wide range of customers 2. Say of Corporate purchasers
3. No influence of leisure sector Consumers
2. Increase aspirations maximize the need for rental cars

Bargaining power of suppliers

Technological 1. Important suppliers include Car dealers, fuel, experienced drivers, and
technology items
1. Social Media influence 2. Various incentives provided to maintain customer loyalty
3. Little negotiating power of technology such as GPS
2. Likelihood of technological disruption
 SWOT Analysis of XYPER
Strengths
Opportunities
• Operational cost is less and

O
• Road infrastructure, rise in millennial
affordable since it does own its cars.
population and growing tourism gives Xyper an
• When compared to typical taxi
opportunity to expand in the Indian Market.
drivers, the charges are more
affordable.
• No shortage of cars and vehicles
S • Expand in areas where taxi services are not
available.
• It can exploit big markets in developing and
under-developed countries.

Weaknesses
• Does not involve active presence of car T Threats

W
• The low-profit margins for drivers
owners in car maintenance
leave them dissatisfied
• There is no solid relationship between the
• Due to increased competition,
company's drivers and its customers.
dynamic pricing model may not work
• In the event of inclement weather, rates
may change.
XYPER acquiring VROOM CARS
PROS
• Easy availability in many Tier 1 and tier 2 cities
• 80% users accounts for professional travellers,
generating more revenue.
CONS
• Vroom car is a self-drive rental company which is not a
popular concept in India. Hiring a car along with driver is
a more popular concept in India
• Pricing plays a big factor in the car rental industry. Vroom
cars operate on premium level models, charging more
from customers.
• High capital investment and operational cost.
• Unavailability of Economical vehicles by Vroom in the
Indian market.
• Niche market segment
XYPER acquiring YUCARS
PROS
• Low operational cost and minimal capital investment
• Flexible pricing model
• Transparency between providers and users ensures security
and protection to users.
• Providing common platform to car users and providers
• Use of latest technology know-how
• Refunding of price money if transaction is not finalised
• Availability of economical as well as luxury cars
CONS
• Available only in top 8 Tier-1 cities in India
• Minimal revenue and profits

By analyzing car rental industry using PESTEL AND FIVE FORCES ANALYSIS and by conducting
SWOT analysis of XYPER we come to the conclusion that XYPER should acquire YUCARS for expansion
in Indian Market
 Long Term Action Plan Of XYPER
Differentiation Catering to consumer needs
The services may not be unique but the
(what’s new )
customer experience can surely be different
and better. Xyper will work towards car rental industry is a volatile industry.
enhancing the consumer feedback, which Xyper will introduce new schemes, new
will not only create a brand image but will routes. Xyper can partner with various
also market the brand companies who are working towards the P2P
model like General motors.
Strong brand image
people try new things but they also
stick to brands having a good image.
Since Xyper is setting its base in Customer services
India, it will compete with already
existing companies like Ola and The consumer is king, and firms should
Uber. Therefore a good branding will place a high priority on client
be essential. happiness. Offering schemes like
discount coupons, gift cards, free ride
Aggressive digital marketing efforts and rewards would be the focus for
Xyper.
To improve online traffic, Xyper will use
two important digital marketing strategies:
social media marketing (SMM) and email
marketing.
 Management of International Travelers
1. As we know India is a widely known tourist spot. Many of Price management and Vast booking
these tourists instead of hiring a cab or buying their own
cars, turn up to the rental car services. 1. companies may face challenges in
2. Many travelers are not aware of the traffic rules of the managing bookings, keeping the same
country and some of them are used to driving on the other record, and identifying the income.
side of the road. 2. Providing better deals, and planning to
3. Xyper in this case can provide training to these customers automate car rental service with car rental
before lending them the car. It is a good way to inform management software or ride sharing apps
customers about the traffic rules before they take out the will help Xyper reach milestones.

Overcoming
vehicles.

Challenges

Customer Service and Maintenance

Competition and Brand Awareness

1. Since its the post covid era, it is really
important for Xyper to keep the cars in a good
condition and keep them vaccinated. Customer
satisfaction should be the priority.
2. It is important to provide quality services
because a bad review about your offering can
spoil your image.
1. Brand awareness is a difficult task as there are many recognized
companies in India such as Zoom cars and Uber rental that are already
established and well known.
2. Xyper can establish a brand name by Acquiring Yucars.
3. Xyper should not only use the traditional promotion technique such as
television promotions but also use new techniques such as User
Generated Content
 Car Rental Market Size in India
Until 2010 and 2011 the car rental business in India was totally unregulated and un organized.
People relied on the hyperlocal taxi and cab aggregators for going on outstation trips. Ola started
intra-city cab service in 2010 and become the first major player in the car rental business in India.
However, there was still a gap in inter-city transportation services. 
Today there are multiple car rental companies in India catering to the self-driving as well as the
chauffeur-driven audience making it one of the fastest growing industries in India. According to a
report the car rental industry in India is growing at the compound annual growth rate of 35% and is
expected to accelerate further. It is expected to be worth more than INR 1000 billion by 2022
The India car rental market is projected to grow at a CAGR of 9.83% to reach US$2.030 billion
by 2026, from US$1.053 billion in 2019

Technological Advances Improved Connectivity Increase in millennials population Growth in Tourism

Technological advances will increase
market growth in the long run.  This
includes integrating customer information
management with the development of
convenient online booking applications
The highway network in India has increased from
1,32,500km .It is a testament to India's improved
pan-Indian connectivity. For driving enthusiasts to
explore India's unexplored places, it is necessary to
have easy and affordable access to rental cars.
The average age of the Indian population is
below 30, and young adults prefer to rent a car
to drive intercity for weekend getaways rather
than own a car. The high cost of maintaining
personnel vehicles has led to a lower rate of car
ownership among millennials
As compared to traveling on tour
packages, most travelers now
prefer to be able to see the world at
their own schedule and pace,
which is possible by renting car
rentals
APPENDIX
 REFRENCES
• https://www.globenewswire.com/news-release/
2021/11/25/2340991/28124/en/India-Car-Rental-Market-
Report-2021-Market-is-Projected-to-Grow-at-a-CAGR-of-
9-83-to-Reach-2-030-Billion-by-2026-from-1-053-Billion-
in-2019.html
• https://www.knowledge-sourcing.com/report/india-car-
rental-market
• https://startuptalky.com/car-rental-industry-india/

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