world price of crude oil As the world price of crude oil increases

world price of crude oil
As the world price of crude oil increases, fuel prices rise; therefore, the cost to operate taxi and limousine services will rise. The world price of crude oil is expected to rise sharply in 2018, representing a potential threat to the industry.

consumer spending
A rising level of consumer spending indicates that consumers are more willing to make discretionary purchases, such as taking taxis and limousines instead of relying on public transportation. Therefore, an increase in consumer spending leads to greater demand for industry services, causing revenue to rise. Consumer spending is projected to increase in 2017.

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Corporate profit
Growing corporate profit provides the private sector with more discretionary spending power. Confidence in future earnings means businesses are more likely to permit employees to use limousine and luxury sedan services rather than less-expensive substitutes, such as taxis.

new vehicle
As consumers purchase more vehicles to use as their primary mode of transportation, the likelihood that they will use a taxi for transportation decreases.

increased tourism
Increased tourism and business travel results in greater demand for taxi and limousine services. Both tourists and business travellers generally have high disposable incomes which means they have more discretionary spending power. Hence they go for taxi services rather than public transport.

percentage of services conducted online
this is the area which represents the proliferation of e-commerce, mobile technologies and other innovations that have transformed the retail and service sector in recent years. In the context of this presentation it represents the transition towards the e-hailing technologies such as Uber and Lyft which are attracting new customers and disrupting the business model of traditional taxi and limousine industry.

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