First Free Story (1 of 3)Join Skift Pro
Most of the country’s cities were built out of farm towns after the automobile was invented and thus are designed specifically to cater to door-to-door transportation. They sprawl in low density over multiple counties rendering public transit hopelessly expensive and ineffective. Car ownership is not an option; it is essential to the vast majority of residents.
So I’m impressed with what Zipcar has achieved so far; but the Market is most certainly not, having steadily battered the stock price from its IPO of $28 to its current low of just under $8, with every sign of sliding lower.
The Market is unhappy with two things: Membership growth is declining faster than anticipated; and competitors are arriving on the scene.