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[Alpha Biz=(Chicago) Reporter Kim Jisun] Two corporate taxi companies of Kakao Mobility, Jinhwa Taxi and KM2, have decided to close the entire business.
Kakao Mobility says it has no choice but to close its business due to worsening business conditions. With taxi costs rising sharply and households' purchasing power falling due to the economic downturn, it is difficult to find taxi drivers and it is impossible to operate normally.
"Corporate drivers are facing severe financial difficulties as the taxi operation rate has worsened due to the shortage of drivers and falling demand in the corporate taxi industry. We have decided to temporarily close two drivers with large losses due to desperate measures," Kakao Mobility said on the 23rd. It is a direct taxi subsidiary of TJ Partners, a subsidiary of Kakao Mobility, and has nine corporations, including KM1, KM7, Jinhwa, and Donggo Taxi.
Kakao Mobility emphasized that it is not a process of closing down, but a temporary shutdown to normalize management. An official of Kakao Mobility said, "We will make efforts to normalize the management of corporate operators by streamlining management after closure."
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
