Pros And Disadvantages Of Bikeshare

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First let us consider that a company providing a reliable source of transportation will make more profit than a company who maximizes possible consumers by convenient transportation to the first consumers but nothing to the rest. The reason for this is the second company may maximize profits for the first term of its business by having all its products being used at once, in the long term the company will suffer. This is because those consumers that come later will never be sure that they will receive a product, and indeed most likely they will not. Over time, these consumers will stop coming because they can not rely on this transportation. This can be clearly seen in the case of a restaurant. Even if a certain cafe provides the most delicious, …show more content…

Essentially, we want to make t so that there are always bikes that can be checked out and places to park a bike. This solution means attracting a group of people to use BikeShare that are willing to walk a couple extra blocks to get their bikes, in short it means having only those consumers who were planning on using BikeShare in the first place. BikeShare looses the possibility of attracting consumers on the spot. Because BikeShare relies on most of its consumers being tourists this spontaneous use is an important part of business. The reason tourists are crucial is that the other consumer option is locals without a bike or a local acting as a tourist. The first option, a local without a bike, will not likely use bikeshare because they already have a routine based upon the lack of a bike. If they go to places regularly they will have a preferred method of transportation (if they wanted to start using a bike, buying one would be much more economical than using BikeShare). For an irregular bike use it suffices to treat this local as a tourist. The local is more than likely to be using a bike because it is more convenient or amusing than another form of public transportation or

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