Our company feels justified to charge a higher rental because the newer model cost more. They don't care about the unhappy reaction from taxi commuters or suffering of taxi drivers. Now, many taxi commuter avoids taking i40 if other models of taxis are available. Do you know that taxi companies are like Food Court Operators (eg. Kopitiam & Food Republic). Once they renovate their premises, stall rental and food price increased correspondingly.. It's the consumers and hawkers who suffers.
On the other hand, the company makes more money introducing new models. As evidence, ComfortDelGro revealed in their 2012 financial report that in Singapore their revenue from taxi business was10.1% higher at $824 millions due to higher rental from a larger fleet and an increase in new replacement taxis. Taxi business form the single biggest income generator for ComfortDelGro.
SMRT's Toyota Priuses at $3.80
In my opinion, the greatest handicap in the taxi industry is a lack of serious competition. COMFORT, the biggest taxi company in Singapore controls 60% of the market and is a GLC (Government Link Company). You don't need to be a rocket scientist to speculate whether they are bedding each other.
"Uncle, what's your greatest grievances against your company?
"Wow, you talk so bad about your company. You're not scare to get sacked like blogger Gintai of SMRT? (Link)?
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