Assignment: Global Dimensions of Management and International Business

Course: EPGDM

Student Name: Shafeq Mohammed

Register No:1801016190122

Global Dimensions to International Business – GDIB – 30 Marks Total marks 30, you can
choose between Set A or Set B

SET A
A. Any Three
1. Full form of GDP and what is the difference between GDP per Capita
2. Define or explain Purchase Power Parity in two lines
3. Name two countries under Theocratic Laws
4. Name at least two of the three kinds of economies

B: Any Three:
5. Two things which went wrong with Airtel in Africa as per the case study
6. Reasons why a Management student need to read and understand Business Case Studies
7. Explain and give examples of Red Ocean and Blue Ocean strategies
8. Strategic Alliance and Joint Venture explain these and how they are different

SET B

Complete and Detailed Business Model Canvas analysis for any one of the following
Business Opportunities 1. DrivEzy - self drive car rental or Bounce scooter rental 2. Netflix,
Amazon Prime or Hotstar

ANSWER
SET B
Complete and Detailed Business Model Canvas analysis for any one of the following
Business Opportunities 1. DrivEzy - self-drive car rental
Solution:

Drivezy is an online portal were we can rent scooter, cars , motorcycles. This site is very user
friendly.

Drivezy has given platform to many to turn their vehicles into earning machines.Drivezy
allows travellers to book scooters, cars, and motorcycles from people living around them. The
company is also known for collaborating directly with the vehicle owner.

Drivezy has commenced its services in the year 2015, founded by Ashwarya Pratap Singh,
Hemanth Sah, Vasant Verma, Amit Sahu, and Abhishek Mahajan. Headquartered in
Bangalore, India.It operates in cities like Bengaluru, Mumbai, Pune ,Mysuru, Nagpur,
Hyderabad,Kochi, Manipal and Mangaluru.

Ashwarya Pratap Singh has the concept of rental and self-driving when he encountered with
an accident back then. He remembers about how he used car barely after the incident and
saving the good part of the salary to maintain the vehicle which made him realize a lot of
peers of his age feeling the same. Ashwarya started this with his friends Hemanth, Vasant,
and Amit the “Just Ride” company; a platform that lets people to rent cars to self-drive.

But the main challenge which they had to face was to convince people to share their car to
outsiders. The start up leased around 250 cars with great difficulty. As due to fund deficiency
they could afford purchasing cars. When the owner of the vehicle is not using their cars they
just need to list it on the application and need to mention the hour it is. 25 % has to be given
to Drivezy.

Initially, the company used an Aggregator model for Just Ride. Now, called Drivezy works
on Peer-to-Peer sharing model. With the new model, owners claim to earn around Rs 30,000
per month. Around 880 cars and over 600 owners listed on the platform out of which 10%
owned by Drivezy. Interestingly, Tour and Travel company owners and operators find the
new model attractive. The platform also opened for motorcycles and scooters in Karnataka.
At present, the company claims to operate 250 two-wheelers in Bengaluru alone. Drivezy
raised a total of $29.3M with 1 lead investor and 23 investors. Some of the investor names
include Das Capital, Axan Ventures, Crowd Works and IT-Farm, Y Combinatory, Punit K
Goyal, Alok Mittal, and few others.
A peer-to-peer (P2P) economy is a decentralized model whereby two individuals interact to
buy sell goods and services directly with each other or produce goods and service together,
without an intermediary third-party or the use of an incorporated entity or business firm.

A peer-to-peer (P2P) economy is a decentralized model whereby two individuals interact to

buy sell goods and services directly with each other or produce goods and service together,
without an intermediary third-party or the use of an incorporated entity or business firm.

A P2P economy can exist within a capitalist economy. Open-source software (which is P2P)
co-exists with retail and commercial software. Services like Uber or Airbnb serve as
alternatives to taxi and livery services or hotels and inns, respectively. These companies act
as hybrids between traditional capitalist firms and true P2P activity by providing intermediary
services, including a network to connect buyers and sellers and process payments, but using
private contractors to deliver services directly to customers.

Drivezy is also evaluating debt financing options, where owners finance the car and act as
guarantors while the asset is registered with Drivezy. The revenue generated by Drivezy on
renting the vehicle is used to pay off the loan. The team claims to make $950,000 in monthly
GMV and $150,000 in monthly revenue. In terms of bookings, Drivezy claims around 20,000
monthly bookings, with over 2,300 pending requests. Customers and owners are both vetted
by Drivezy through registrations. In case of accidents and damages, the driver bears the cost.

On the company’s future plans, Ashwarya says, “As a part of our growth plan, we are
focusing on adding bike rental services to the existing menu with significant offers. Going
forward, we plan to add 50 bikes and 100 cars, respectively, for the next three months. We
also plan to hold a major sale of 1,000 cars on the platform in November and December, at a
discount of $154,000-$230,000. Overall, we want to change the traditional way of cars being
purchased, used and sold.”

Just Ride is giving only self-driven cars to the customers the team came up with an idea of
adding the bikes also to the platform that can give great business to them and helpful for the
people, with the adding of the bikes to the model they changed their brand name to DriveZy
in the year 2017, which is currently running successfully in the market.

The Drivezy is using the ideal cars and bikes of the owners and making them part of the
company and earning when they are not using the bikes or cars. The individual owners and
commercial vehicles also registering with the start-up to make the money in leaser times.
Over 600 owners have partnered with the company to list 880 cars in five cities and 250 two-
wheelers in the Bangalore.
The starting of the start-up is easy but the persons who can withstand with the problem they
can only survive in the market.

The main problem they faced in the initial stage was leasing and buying the cars due to the
financial problems.
Owners are not willing to give the car or bike to an unknown person due to security reasons.

To overcome this problem they came up with the aggregator model, are on a peer-to-peer
sharing model, and now they are running successfully.

This idea is working due to we can decrease the pollution at least to some level by decreasing
the purchase of cars/Bikes. The start-up currently giving services to 20000 customers in a
month, even they are giving 20000 bookings still they are having the pending requests 2300
monthly an average.

The car rental market in India is believed to be growing at 22.9 percent annually. The team
claims to make $950,000 in monthly GMV and $150,000 in monthly revenue. The start-up
raised the $8.5 million approximately through the seed and pre-series a Funding that is from
UK Company SCM Holdings. Start-up planning to give the best offers to the public to use the
Drivezy, Planning to add 50 Bikes, and 100 cars in the near future. We are planning to
change the how the cars and bikes should be purchase sell and use the cars and selling the
1000 cars at a discount of $154,000-$230,000.