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Business / Talking Business

Mobilizing idle hands during a downturn

By Li Xiang (China Daily) Updated: 2015-06-11 10:55

The rosy prospect has also been shadowed by the issue of legality of car-hailing apps, especially private cars. Transport authorities in Beijing have reiterated that private cars offering unlicensed taxi ride violate regulations.

The governments appear to be hesitant on embracing the new service as it challenges not only the existing public transportation regulations but also the traditional taxi business which is mostly controlled by State-owned enterprises.

Nonetheless, people's enthusiasm remains strong. Drivers like Zheng are still willing to take the job despite the regulation risks.

Some of my friends have even given up the idea of buying a car because the private car service saves them from parking troubles and the high expenses of car maintenance and insurance.

The bright part is that Shanghai is likely to become the first Chinese city to legalize the car-hailing apps as it is already working with the companies to include their services in a government-sponsored taxi-booking platform. Hopes are that it could lead to a breakthrough nationwide.

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