Fractional Ownership. 3.6.1. Upon purchasing Fractions in a KR Coin, you will obtain a Co- Ownership Right in the KR Coin together with us and the other KR Coin Co-Owners. This does not mean that a partnership will come into existence between you, the KR Coin Co-Owners and/or Xxxx Gold.
Fractional Ownership. Xxxxxxx et al. (2015a) define “fractional ownership” as a model where “individuals sublease or subscribe to a vehicle owned by a third party. These individuals have ‘rights’ to the shared vehicle service in exchange for taking on a portion of the operating and maintenance expenses. This enables access to vehicles that individuals might otherwise be unable to afford, and it results in income sharing when the vehicle is rented to non-owners.” In contrast to P2P carsharing, this model targets more expensive car models, which most households would not 16 xxxx://xxxxxxxxx.xxxxxxx.xxxxx.edu/article/how-green-is-the-sharing-economy/ 17 Although empirical evidence is limited to one study in Portland – Xxxx (2014), quoted in Xxxxxxx et al. (2015a) be able to afford. In the words of an industry executive, “Not only does it give the fractional owner flexible access to a fleet of vehicles, but it still allows the customer to invest in and identify with a single brand.”18 As an example, Xxxxxxx et al.(2015a) refer to the “Audi Unite” fractional ownership model launched by Audi in Stockholm in December 2014. Characteristics of the supply side Whereas carsharing becoming more widespread, both carmakers and traditional car hire firms have entered the market for carsharing services (Le Vine et al. 2014). Depending on the circumstances, they compete for the market or cooperate to deliver joint services. Vehicle manufacturers face both specific challenges and clear advantages when entering this market (Le Vine et al. 2014): Carsharing is not part of their traditional core competencies and they need to “set up dedicated teams with the specialised skillsets as well as capital investments in information-technology systems”. Compared to smaller independent operators, they enjoy “financial depth to bear risks such as residual values and to self-insure” The design and the integration of the necessary telematics equipment can take place in the factory, rather than as add-ons. They can mobilize general organizational resources. Le Vine et al. mention specifically: back-end IT systems, market research capabilities, brand recognition and optimal vehicle maintenance regimes. For vehicle manufacturers, setting up car sharing schemes can also be a relatively risk-free way to explore the tastes of consumers in markets they are not familiar with. 19 Some authors (see for instance Burlando 2012) have argued that, because of the cost structure of carsharing, operators need to operate...
