It is no surprise that the car sharing industry has emerged due to the rising costs of cars and fuel. It is no longer feasible to buy a car due to cost volatility and the economic situation. Zipcar is the first company to enter this industry by offering car sharing and fleet management to consumers. After its founding in 2000, Zipcar quickly became recognizable as an environmentally friendly brand that offers car sharing as opposed to sustainability. Although Zipcar has captured more than three-quarters of the U.S. market share in this sector, it still faces a number of problems. The company has yet to turn a profit due to its high fleet costs. It has been a challenge for the company to find and maintain convenient and convenient parking for its vehicles. After Zipcar entered the industry, many companies followed suit. Zipcar faces increasing competition from industry rivals along with an abundant supply of available substitutes. Some competitors are able to leverage integrated infrastructures to enjoy economies of scale, which enable competition at lower costs. Zipcar has no such capabilities. It is imperative that Zipcar utilizes its other advantages to contain its market share. Perhaps one of the biggest issues Zipcar faces is uncertainty regarding the sustainability of the company's long-term growth. Additionally, Zipcar recently went public, which alienated some of the original Zipcar members who bought into the idea of ​​an alternative lifestyle to transportation. Zipcar follows an integrated cost leadership/differentiation strategy. This strategy has provided the company with a number of competitive advantages. Zipcar stands out...in the middle of paper...target markets. Zipcar needs to expand to new campuses. To retain college users after graduation, the company should continue to promote the Zipster culture. They should highlight the rising costs of car ownership. Retaining these consumers would lead to long-term sustainable growth. Zipcar should develop the ability for consumers to return the Zipcar in more locations. The Zipcar product would then be more readily available to a wider selection of customers. They should also pursue new parking contracts with cities. Another recommendation is to expand IT investments. Innovation helps a company stay ahead of the competition. IT has given the company a reputation for great customer service and this needs to be expanded. A final recommendation is to collaborate with automakers, such as Ford, to reduce the high fixed costs that plague the company.