Rental Cars: Hello, Operator, I'M Lost

When mobile phones became popular in the early 1980s, rental-car firms embraced the new technology as a potential profitmaker. But demand for phone- equipped cars, particularly from executives, has been lower than expected. Says Avis Spokesman John Britton: "We found that if a businessman is on the road, that means he needs to see his clients in person. So what does he need a phone for?" Avis has dropped phone-equipped cars, and Hertz has trimmed its fleet from 250 to 50.

But other companies are rolling along in the opposite direction. Dollar Rent a Car announced last week that it will put 6,000 phone-equipped cars on the road by May. Dollar hopes to attract business with a new phone service called Pathfinder. When driving in unfamiliar places, customers will be able to dial a single digit and reach a Dollar operator, who will consult a battery of maps and give directions. Budget Rent a Car will soon equip a fleet of 1,500 autos with portable phones that can be operated outside the car and are small enough to fit inside a customer's briefcase.