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Translated again: People who value it the most highly can get it when they need it, while people who don't need it as much can wait or find alternatives. When d
by ufmace 11y ago
Translated again: People who value it the most highly can get it when they need it, while people who don't need it as much can wait or find alternatives. When demand is highest, they do the simplest and most effective thing to draw in more drivers who are free agents - offer them more money.
In effect, the earlier riders who accept the surge and book anyways pay more to draw more drivers in, and in return get their rides first. Riders who can't afford or don't want to pay for the surge prices can just wait for more drivers to come and the earlier demand to be satisfied. It's effectively the same as a crowded cab stand, but instead of the arbitrary order of who got there first, it's ordered by who's willing/able to pay the most, and thus who getting that ride fast is the most important to. A lower-income person who needs to get somewhere on time can sacrifice a little more and get it, instead of having no options.
FWIW, the actual 1% most likely have actual private drivers and entourages. And are important enough that almost anything they're going to will wait for them.