Wash Avenue Incorporated Case Study Example | Topics and Well Written Essays - 2500 words

Wash Avenue Incorporated - Case Study Example Having worked in a car wash to support his college education, he has acquired the necessary skills and has always been inspired to put up his own company. To differentiate itself from other players, Wash Avenue will be located in the mall's garage and provide services while the customers shop. The company will officially be opening its first shop in Copley Place but plans to expand into other areas as soon as it gains popularity in the market. By locating in the malls, Wash Avenue hopes to develop a core competence in (1) extending quality car wash service and (2) utilizing the best available technologies in the market. In order to translate this into sustainable advantage, Wash Avenue will outline a unique process of giving "car make-overs" and ensure consistency. The company will also partner with the car wash technology expert Seven CarWash Romania Inc (2008) which will design and update its equipment. The US car wash industry is comprised of 14,000 full-service car washes accounting for US$5 billion in annual revenue (International Car Wash Association 2008). This huge market is still highly unsaturated and business organizations are still looking for ways where they can improve their service offerings. In this situational analysis, the PEST model will be used in order to fully understand all the opportunities, challenges, and issues which confront the industry players (Thomson 2002). This strategic management technique will enable Wash Avenue to identify the opportunities and threats in its external environment and respond to this by crafting appropriate marketing strategies. Political. The nature of car wash business makes it as a subject of legislations which varies from state to state. However, the theme of these regulations is often about the preservation of water and environment (International Car Wash Association 2008) . All car wash operators are required to manage and to use only a minimal amount of water during the process. Currently, as customers are also becoming more and more aware of social corporate responsibility, car wash operators are also pressured of rethinking their solid waste management practices in order to ensure sustainable development. Economic. The United States have entered a turning point in its economic history. From long been globally respected because of its economic hegemony, the nation is now threatened by economic slowdown (US Economic Crisis 2008). This situation is