Car rental should be given legal status

October 25, 2011, the measures for the management of Beijing car rental (modified draft draft) (hereinafter "the draft") by the Beijing law office open to the public for comments and decisions will be implemented on November 8, which rules about chauffeur services, individuals have the following views. &Nbsp;

a draft "" support car rental   prohibited car rental

the draft "after" additional "notes" clear car rental "public transport plus" function, determines its position in the transportation industry and its future development direction. On this basis, the "draft" article fourth specifically identified on the car rental industry's "management principles", namely: "in accordance with the unified plan, the principle of total control, standardize management, security services, promote the development of industry, intensive, network, improve urban transport services. Encouraged between the car rental business and cooperation in different places in the same city, booking services, e-commerce business. Car rental car rental operators are encouraged to provide shared services. "Obviously, for the car rental industry in the ascendant, the management is in supporting and encouraging attitude, urged their development.

However, in recognition and support of car rental at the same time, the "draft" and "car rental" Business Act expressly prohibits. Such as "draft" 13th "operator code of conduct" eighth expressly provides: "' car rental operators ' ... ... Not providing driving services. "Such as" draft "the 15th" obligations of the lessee "clear definition of the sixth:" the lessee uses the leased vehicle ' ... ... Car rental operators offer driver services shall not be required. "In other words, for" car rental "in this business model, management has the demand and supply sides securely tube died, whether the supply of services or the demand, is expressly prohibited by management. Thereafter, "draft" of 26th article also not forget lists clear of punishment efforts: "violation this approach 13th article subsection (three), and (four), and (five), and (six), and (seven), and (eight) items of provides, car rental operators not comply with business service specification of, by transport management institutions give warning, and ordered deadline corrected; late not corrected of, at 500 Yuan above 1000 Yuan following fine. "Is worthy of attention," draft "and no specific penalties for demand-side measures. Indeed, as this absurd provisions needs to be banned, and even policymakers to put in violation of sanctions.

characteristics and market position of chauffeur car hire

so, "car rental" between car rental is what kind of relationship? Why car rentals is encouraged and supported, and "car rental" is banned? This requires looking to the industry as a whole to be analyzed. Car rental, chauffeur service, chauffeur car hire these three actually forms a broad industry. Among them, car rentals to provide consumers with simple "car rental" or "car rental"; chauffeur services provide a simple "driver"; while car rental will be combined, providing "vehicle" also offers "pilot", its most popular model, is the traditional taxi. According to China's laws and regulations, car rental and chauffeur service with legal status. However for chauffeur car rental, except for "taxi" with monopolistic operations privilege, the driver of the other car rental do not have legal status.

so, chauffeur car hire and car rental, chauffeur services, what is the difference? Actually no. Variety of market needs. Some consumers only need cars, it would just rent a car can be. Some consumers need only the driver, then buy only chauffeur service. Of course, some consumers, they require both vehicle and need the driver, chauffeur car rental came naturally. In other words, these three only face different markets demand different services, is the spontaneous products of the market, with essentially no difference.

the rapid development of the car rental is the product of market demand

in that case, why car rental receipt policy banned it? This is because the "taxi" industries exist. At present, these three major areas, car rental and chauffeur service there is no "administrative access restrictions" or "administrative monopoly". These two areas in the free State, any enterprises or individuals provided that they meet the appropriate operating conditions and qualifications, may enter the industry, free provision of services to consumers. With this distinction, in the area of car rental, only the regular cab has qualified for both the vehicle and the driver's "bundled services".

number of taxi industry in China has long been under the control of, the industry's potential entrant faces very stringent administrative restrictions on access. The situation in the country, without exception, in many cities even more than 10 years a number of taxis increased. But at the same time, with the economic, social and urban development, daily travel demand is growing fast. Along with this growth, the growing contradiction between supply and demand of taxi industry, also gave birth to the "car rental" service market development. "Car rental" can actually be a broad concept, it includes low end to "black" high-end "wedding car" of the market.

despite facing a policy of repression, but the development of the car rental industry as a whole is spectacular. According to statistics from related departments, the current domestic "traditional taxi" market, "black" population has reached more than twice times the regular taxis. But on the other hand, different from the traditional taxi market, an emerging, what we call the "about car rental" car rental services and rapid development in the country. About car rental do not patrol the streets, not camp, saving costs, diverse models, access to a market of great favor.

in Pinggu county of Beijing, for example, through a telephone booking service "5 element" has a history of 6 years. Its low price high quality service, assumed the patronage of tens of millions of people every year, creating a big market for a turnover of more than 50 million Yuan. In Suzhou, Jiangsu Province, about car rental companies, hundreds of vehicles of tens of thousands of units. Its patronage of millions of passengers every year, a turnover of more than 400 million Yuan. Meanwhile, many car rental companies are also providing this type of car rental services. And this is car rental's policy reasons in special care.

car rental had been repeatedly suppressed, but is the trend

so, received warm welcome on behalf of the market: why do car rental being suppressed by management? In fact, opposition to chauffeur car hire is likely more vested interests--from committing it to regular taxi groups. Either a regular "black", or new "about car rental", these two types of car rental models possess huge market size, which touches the interests of formal taxi groups as the monopoly operator. Therefore, as the monopoly industry practitioners, the existing regular taxi licence owners and operators are likely to exert influence on policy-makers to ban car rental services are provided. Examples of this is common in the taxi industry's history.

about car rental in the birthplace of the United States in New York, as the number of taxi regulation makes it difficult for supply to meet demand, about car rental in the 50 's of last century in New York City. The taxi part of the market because, CA car rental along with long-term attack by the taxi industry, has been unable to obtain legal status. However, was welcomed by the market, some caught up in strong development of the car rental, not only created a new service delivery model, and the number increased significantly. Through continuous efforts, and by 1986, CA car rental was eventually granted legal status, by taxi and luxury vehicle Committee (Taxi and Limousine Commission) for unified management of all rental vehicles, ending the embarrassing history of guerrilla operations, and this road for more than 30 years. Today, about car rental in New York City more than a traditional taxi number number 3 times, become an indispensable part of urban traffic in New York. In London, about car reached 49,000 units, more than a taxi number twice. The experience of developed countries shows that about car rental, and even the development of the car rental industry is the trend of the development of transportation.

compared to the traditional taxi, chauffeur car hire, especially about car rental also has many advantages. First, it saves the time cost of the supply and demand sides, and to ensure that passengers enjoy convenient point-to-point service. Second, it saves taxi-empty fuel costs for the period. Third, it reduced idle running of maximizing rates, reduce the bearing pressure of road traffic. Finally, about car rental can provide diversified services for different groups of passengers. Based on these advantages, about car hire and regular access to its unique advantage in the competition. Today, in many countries, about rent a car has become the most important force within the industry.

should address market demand   car rental legal status

indeed, in China's car rental market, many problems still exist. "The Black Rider" poor service quality, lack of insurance, there are security risks; "about renting" the lack of uniform standards of services and prices, supply and demand sides are facing potential risks. However, all these problems due to their illegal status and position. Once the chauffeur car hire to get legal status, management to these vehicles and drivers are required to buy insurance, vehicle services, training and daily supervision and rewards and punishments.

in other words, a sustainable growth and development of the market, there must be long-term and huge market demand behind it to support. Faced with this demand, we should do, is to constantly improve our services to meet the demand, rather than suppression, suppression of demand supply. Management, policy formulation is not how to control consumers, punish persons for services, but should meet the market demand, promote and regulate the industry supplying direction, on the road to lead the industry toward healthy and orderly development.