Be our Guest Be Our Guest Company, which is a successful company in the business of renting party equipment, founded in 1983 and evolved in the mid-1980s as the firm began to rent tables, chairs, and other equipment to the caterers. Due to the major fund raising event on the floor of the Boston Garden, Be Our Guest Company grew rapidly with the new business strategy. This business strategy is to emphasize on service and this concept make a key part of the firm’s strategy helping the business develop into a leading provider of party rental equipment in the Boston metropolitan area. Also, there are several reasons how this small company became to a successful company in rental field. First, one of the competitive advantages is its inner-city location in the Roxbury section of Boston. This location made it easier to cover multiple events with a single trip. Second, the firm positioned itself at the high end of the market in terms of quality of inventory and quality of service. Also, they invested and invented in more sophisticated inventory that be appropriate to be used at a large events. Finally, it is to build long-term relationships with clients. Be Our Guest generated a substantial amount of business from several clients because of their customer related business strategy. Even though they became to one of the biggest rental equipment company in the Boston, they have faced with some financial situation. First, even though their revenue and gross profits increased at substantial rate, their net earing declined over past few years because of the rapid rise in general and administrative salaries. Be Our Guest is a Subchapter S corporation. That is, shareholders in this company have limited liability, yet like a partnership, avoid double taxation. So, increases in compensation paid to the executives who were shareholders of the company affect to increase in