Examines whether the taxi drivers in Hong Kong will differentiate their services. Bounded by fixed tariffs and license quotas set by the government, taxi industry finds it hard to compete either on price or service. The problem in Hong Kong is that most taxis parked taxi / ranks or on the street. Price and quality competition in the taxi ranks and titles effectively prohibited either by rule or violent practices that require passengers to use the first taxi in the queue. There is also information problems to greet passengers on the street, and, thus, they are unlikely to turn away the first taxi that comes to them, they do not know when the next taxi arrives. Defines different modes of competition for the taxi. The results provide a practical framework for policy discussions to improve the quality of taxi services. "Hide
by Yue-Chim Richard Wong, Ka-Fu Wong, Alexandra Yiu, Carola Ramon-Berjano Source: University of Hong Kong, 20 pages. Publication Date: January 12, 2005. Prod. #: HKU364-PDF-ENG
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