Name.郝禹 Student No:16300680126 means the younger generation requires flexible access to a car on a regular basis, not he sense of ownership which Beacon's rental business adds to. Rental cannot offer such freedom and liberating assets is the wave of the future Village Car varies from Beacon for the customers owing to distinguishing ervices,corporate cultures, and brand positioning. For instance, Village Car has its proper community in which users call themselves"Villagers". In the community, they have both fixed social circles and latent contacts. This is a lifestyle, even a culture more than a special service. Therefore, people who choose Village Car would be firmly loyal to the brand of Village Car. Making good use of customers'brand loyalty is a sensible choice. As Tony says, if they merge the brands, they will alienate a portion of the village Car customer base-and possibly for Beacon customers, too II Concern of the business model and cost performance From the perspective of macrostructure, the business models of Beacon and Village Car are distinguishing. The former is a traditional car rental company, and the latter is a car-sharing company. Even though Beacons corporate brand is attractive to those car owners and business travellers, the downturn of the whole industry has strong impact on Beacon. Car rental is the mainstream in the market for the time being, but the characteristic of the product itself determines that sharing is more convenient and efficient than rental. as a result. beacon needs innovation in business models, such as using share economy model for reference Moreover, as Henry remarks, the company should consider not only marketing but also efficiencies and costs. Totally separate operations cost and risk a lot, and different directions may lead to inefficiencies. Combined with all the factors above, a feasible way out of this dilemma is put forward i The planned operational mode in the short term With regard to operational modes, the stage division is of vital importance. In the short term(probably in the next five years), it is effective and economical to integrate Beacon and village Car as a merged company. That means the two companies shareName: 郝禹 Student No.: 16300680126 3 means the younger generation requires flexible access to a car on a regular basis, not the sense of ownership which Beacon’s rental business adds to. Rental cannot offer such freedom, and liberating assets is the wave of the future. VillageCar varies from Beacon for the customers owing to distinguishing services, corporate cultures, and brand positioning. For instance, VillageCar has its proper community in which users call themselves “Villagers”. In the community, they have both fixed social circles and latent contacts. This is a lifestyle, even a culture, more than a special service. Therefore, people who choose VillageCar would be firmly loyal to the brand of VillageCar. Making good use of customers’ brand loyalty is a sensible choice. As Tony says, if they merge the brands, they will alienate a portion of the VillageCar customer base—and possibly for Beacon customers, too. Ⅲ Concern of the business model and cost performance From the perspective of macrostructure, the business models of Beacon and VillageCar are distinguishing. The former is a traditional car rental company, and the latter is a car-sharing company. Even though Beacon’s corporate brand is attractive to those car owners and business travellers, the downturn of the whole industry has a strong impact on Beacon. Car rental is the mainstream in the market for the time being, but the characteristic of the product itself determines that sharing is more convenient and efficient than rental. As a result, Beacon needs innovation in business models, such as using share economy model for reference. Moreover, as Henry remarks, the company should consider not only marketing, but also efficiencies and costs. Totally separate operations cost and risk a lot, and different directions may lead to inefficiencies. Combined with all the factors above, a feasible way out of this dilemma is put forward. Ⅳ The planned operational mode in the short term With regard to operational modes, the stage division is of vital importance. In the short term (probably in the next five years), it is effective and economical to integrate Beacon and VillageCar as a merged company. That means the two companies share