The Gateway

‘the only passage to all your destinations’

By
William Dorrington
Josie Fraser
Alex De Warrane
Niven Gopaul

Source: http://images.google.co.uk/imgres?
imgurl=http://image05.webshots.com/5/8/75/45/2584875450094942475EiwwDV_ph.jpg&imgrefurl=http://travel.webshots.com/photo/2584875
During this presentation we will achieve the
following points:

 Environmental analysis of the industry

Via PESTEL
Via 5 Forces
 From this will stem our key drivers for change
Including scenarios (Contingency planning)
 The SWOT will appear after this
 A brief analysis of the ‘strategic customer’
 Recommendations for ‘The Gateway’
 PESTEL

Political Economic

Social Technological

Environmental Legal
 Environmental (Macro) Analysis
P.E.S.T.E.L analysis.
• P-Political: Improvements in public transport

Canterbury’s MP: Julian

Brazier (Conservative)
Source: http://news.bbc.co.uk/1/shared/mpdb/html/122.stm
•E-Economic
• Credit Crises

• Increase Interest Rates

• High Unemployment

• Oil Prices
S-Social

 Aging and Student Population

 Attitudes and Values

T-Technological

 Communication issues

 Economic Technology
 • E- Environmental

Source: http://www.ft.com/cms/s/0/c2725b3c-9e01-11dd-bdde-000077b07658.html?nclick_check=1
 • Environmental C’ntd

Carbon Emissions

Source: http://cfit.independent.gov.uk/pubs/2007/climatechange/02.htm
•L- Legal
•Laws- Criminal Justice and Public
Order Act 1994

•Regulations - Transport Act 1980

•Licenses - Driving Standards

Agency Assessment Test
Key Drivers for Change

• Security
• Ecological factors/economic/political
• Technology innovation
Scenarios
Scenarios c’ntd
Porters 5 Forces
• Threat of new entrants
- Entrance barriers
- Cost

Black Cab

costs

Cost of taxi Cost of

Insurance Licenses
and staff Technology

Radio-equipment £170,
Licenses £25-300 and
New Cab 25,000, Older GPS £10 a month, group
Possible to get cover up for operator is £250-
Cab £27,000 (update), radio system £100+ and
to £5mil, but needs 300.
Knowledge Exams, £25 to rent a month,
quoting phone mast radio £1000 Radio Licenses £75-
Medical exam £60 to £80 200 Annually
instalment and annual
rent of 16,000
 • Power of supplier

Source: http://www.ft.com/cms/s/0/f402fed6-0c16-11dd-9840-0000779fd2ac.html?nclick_check=1
•Threat of substitutes

figure 17  Contribution of Factors Affecting Total

Substitute Generalised Cost Elasticity's for Bus Passengers,
ACT

Own Transport Buses Trains

-Regular
-More freedom -Quick and direct
-Cheap
-More flexibility -Perceived as expensive
-Convenient
-Lack of parking -Available Saver tickets
-Available Saver tickets
-Congestion
Power of Buyers
Causes of high buyer power
 High level of competition.
 Low Switching Cost.
 Maximum fares charge which increases competitive
pricing
 Customers are very price sensitive (will use different
options if doesn’t meet perceived value for money)
Causes of Low buyer power
 Set price journeys
 Metered fares cannot be changed and therefore that is
what you pay.
• Competitive Rivalry
• SWOT on general Cabs

-Reliability.
-Frequent use of transport.
-Affordable depending on situation.
-Quick and Efficient.
Strengths
Weaknesses
-Competition could drive business out of
industry.
-Limitations on distance that taxi travels.
-Pollution.
-Increased road congestion.

SWOT

Opportunities
-Decline in use of Taxis.
-Establishing relationship with rail
industry to increase business. -Unlicensed Taxis.
-Lower cost or free travel on taxis, -New Legislations.
(Government Initiative. Threats
-Use of taxi Warden to increase safety.
 • Recommendations for Maximising
Competitive Advantage

Strategic Reliability
Customer

Availability

Ultimate Perceived Valued

CSF’s
Customer Values service

Comfort

Safety
Recommendations
 Thank you for
Listening!
Any Questions?