FlyerTalk Forums - View Single Post - Why don't car rental agencies build their own cars?
Old Oct 16, 2022 | 9:24 pm
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Plato90s
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For the same reason that Delta and Emirates doesn't build its own jets - it's not cost effective.

Manufacturing is a capital-intensive business and car rental companies rely on float from its customers to servie debt on the depreciating asset (cars) that it finances. That was illustrated when Hertz was forced into bankruptcy during the pandemic when people stopped renting and they had to quickly sell off their rental fleet .
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