Rent-a-Bike
Introduction
The enterprise has location in Geneva and its operations are carried out within the city. It targets cyclers within the city either for pleasure or/and exercise. Rent-a-Bike is preferred by customers because of the cheaper prices as well easy to use rules.
Risks
Rent-a-Bike faces few risks. For example, it is not clear in the business plan how the business intents to protect the bicycles from people with bad intention like theft or those that want to use the bikes to commit crimes. The entrepreneur needs to put that in mind and come with a creative way of mitigation like installing trackers (Baker, 2).
Another problem could arise if a rented bike is returned with damages exceeding the cost of hire. The entrepreneur needs to put that in mind and cater for that. One option is insuring the bikes to protect them against such a risk.
Corporate entrepreneurship
The bikes are fitted with large soft seats which makes riding for the customer easy and comfortable. In addition, the bikes will be fitted with baskets in front and side saddles at the back to encourage riders do some shopping. Advertising material fitted on the bikes to increase promotion (Baker, 2).
Sustained generation
The original price of the bicycle will be recovered after renting the bicycle four times. The bicycle will already be returning profits after the fourth rental.
Internal regeneration
Internal regeneration will be collected from the fifth and proceeding rentals.
Strategic renewal
This will carried out by evaluating prices in relation to competitors. In addition, strategic renewal will be done by increasing the price during peak hours e.g. when there is heavy traffic. If the enterprise is not making profits after the first year, the bicycles will be sold to schools.
Domain rendition
The business premise will be computerized to make it easy for use by the customer.
Work cited
Baker, Michael. The Strategic Marketing Plan Audit 2008. New York: Rutledge, 2007. Print.
