But now people change their cars just like they get new smartphones,” said Min.“The increasing replacement will spur people to seek more rentals than ownership, boosting the growth of the auto rental sector.”The Hong Kong-based private equity firm with $14 billion in assets under management targets new businesses, which other car rental companies have yet to offer, Min said.“The industry has relied only on a business model that collects rental car fees and sells leased cars on the used car market,” he said.“It is possible to create additional profit if we build and operate our own businesses that can be derived from the process.” VALUE CREATIONAffinity focuses on creating value by finding a company’s hidden potential before an acquisition, which Min calls the value creation strategy.“The value creation strategy concentrates on realizing potential that others have not seen, while the value-up strategy focuses on expanding and strengthening the existing businesses,” he said.
That came about four months after the private equity firm acquired SK Rent-a-Car Co., the country’s No.2 auto leasing firm, for 820 billion won from SK Networks Co.“We will develop Lotte Rental and SK Rent-a-Car into mobility service providers beyond simple car leasing companies,” Min Byung-chul, head of Affinity Equity Partners’ South Korean operations, told The Korea Economic Daily in an interview.
But it has become more important to find those gems and make them into jewelry through craftmanship,” Min said.“Affinity 2.0, which consists of the second generation, will focus more on the crafts for the value creation.”ACTIONS SPEAK LOUDER THAN NUMBERSMin is known for prioritizing actions in the workplace over numbers in portfolio management.
The story "Affinity to transform top Korean car rental firms into mobility service providers" has 574 words across 25 sentences, which will take approximately 3 - 5 minutes for the average person to read.
Which news outlet covered this story?
The story "Affinity to transform top Korean car rental firms into mobility service providers" was covered 4 days ago by Korea Economic Daily, a news publisher based in South Korea.
How trustworthy is 'Korea Economic Daily' news outlet?
Korea Economic Daily is a fully independent (privately-owned) news outlet established in 1964 that covers mostly economy news.
The outlet is headquartered in South Korea and publishes an average of 1 news stories per day.
It's most recent story was published 14 hours ago.
What do people currently think of this news story?
The sentiment for this story is currently Neutral, indicating that people are not responding positively or negatively to this news.
How do I report this news for inaccuracy?
You can report an inaccurate news publication to us via our contact page. Please also include the news #ID number and the URL to this story.
