Comments by "चतुर्वेदी हर्ष" (@hershchat) on "The Wall Street Journal"
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Rental car companies serve a purpose, they’re aren’t evil, but neither are they unassailable, or irreplaceable. Cars are an underutilized asset, sitting in parking spaces for 90% of their lives. Cars are underutilized also in terms of space— they hardly every carry four people and cargo. There is no reason car owners shouldn’t be able to extract the intrinsic asset value they paid for.
As far as regulatory and taxation goes— its ALL a game to some extent. If Avis doesn’t pay sales tax (fill in your reason here), but I do, that is NOT a red herring, but a substantial difference in economic treatment.
Car companies are not monopolies al la harfindahl index. But who the heck is stupid enough to think the old business model is not ripe for change. There is a lot that could improve with how cars are rented out today. For one, if the private asset sharing model, a la AirBnB, works to reduce cost to rent, then power to Turo.
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