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Right now Uber is beneficial because it brings competition in a sector that used to have none. There's a huge difference in term of service in cities that have
by song 11y ago
Right now Uber is beneficial because it brings competition in a sector that used to have none. There's a huge difference in term of service in cities that have Uber and cities that do not. Taxi service in cities without competition is awful
Just as an example, when coming back by train late at night I along with 4 other passengers waited at the taxi stand from the train station for 40 minutes to get a taxi (and that is despite having called the central before to confirm that there would be taxies). And when the first taxi finally arrived, he refused to allow us to share a taxi to go to different destinations, which meant more waiting. It's just anecdote, but it's something that's happened quite often to me and my friends and it's why we're happy that Uber comes to finally bring some competition.
Of course, if Uber got the monopole on taxi service, I'm under no illusion that they would be benevolent, any monopolistic situation is detrimental to service and prices. I believe though that the barrier of entry to compete against Uber in the future would be much lower than competing against the current taxi lobbies so I don't think Uber would ever get enough shares of the market to be a monopole (based on the money they are losing by subsidizing fares in China and India, I think that owning a big share of the market and being in a monopolistic position is there plan, I believe it's doomed to fail though).
- kuschku 11y agoBut that happened already 8 years ago in Germany. Check out taxi.eu – an app from the Taxi companies, offering the same service as uber. Or MyTaxi. The German market already went through that phase, competition is there – it’s just not uber.
- Nursie 11y ago>> Right now Uber is beneficial because it brings competition in a sector that used to have none. There's a huge difference in term of service in cities that have Uber and cities that do not. Taxi service in cities without competition is awful My city (Southampton, UK) has competition already, without Uber. I guess the situation is different in different places, but to me there is no value proposition in Uber. In fact the prospect of a large multinational taxi-corp moving in could make things worse if it damages the ecosystem we have in place here already (and have had for many years).
- _Codemonkeyism 11y ago"There's a huge difference in term of service in cities that have Uber and cities that do not. Taxi service in cities without competition is awful." In which way, I would be interested. Your points seem unconclusive to me. Berlin had "no competition". Taxis are available, have an app, arrive in a time frame of 5min after calling, prices seem reasonable (20 EUR from one end of city to the other, Berlin isn't that big though). Minor downpoint not all of them take CC, but usually not a problem when you order one with CC. Only been cheated once in 15yrs although I pose as a tourist quite often when arriving at the airport.
- song 11y agoWell, in France, I've been cheated more than once (often in Paris), had very rude service, I often end up having taxis that fail to show even though I booked and as I mentioned taxis are not at the taxi stand from the Train station or the airport despite saying they would be there when I called the central. They also refuse passengers sharing a taxi (which shouldn't be something they're allowed to refuse). In Lisbon, in Portugal, I've taken taxis and Uber often enough to compare. Very often taxis refuse to use the GPS (even if they have one) and take much longer routes than they should (and pretend not to understand my Portuguese when I correct the route they're taking). I agree that in certain countries, Taxis usually provide good service (Japan for example and China to a lesser extent) but for now Uber does introduce much needed competition in some countries that really need them. Also, unless I'm mistaken, Berlin has competition, Uber is available there. In Paris, the taxis only started having an App after Uber came. So, at least, in Paris, it definitely contributed to improvements (I'm not sure in Berlin if the app came before or after).
- _Codemonkeyism 11y ago"Also, unless I'm mistaken, Berlin has competition, Uber is available there." Yes might be, but the situation I've described is the way since I've been in Berlin (which is 15 years) - except the app of course.
- exDM69 11y ago> Right now Uber is beneficial because it brings competition in a sector that used to have none. I'd welcome competition if it was fair, but predatory pricing by subsidizing fares to unsustainable rates (using their unicorn valuation money) and shitty treatment of drivers - no thanks. Add to that the usual tax evasion schemes of multinational corporations that Uber surely employs. I have an excellent taxi service in my home town, albeit a bit expensive. I'll stick to using it. Same goes for many places I've visited (e.g. Berlin, Stockholm). Uber itself isn't illegal here, but the drivers are required to have a taxi license. Non-compliant drivers have been fined by the police. There are places where taxi regulation is more of a racket than actual regulation (I think Paris, France would fit the bill) and that probably should be challenged by some means.
- song 11y agoBased on the prices they have in Europe, I'm not sure how predatory their prices are (I know that they operate at a loss in China and India). In term of treatment of drivers, there's also been a lot of issues before in countries with Taxi companies owning the medaillon and not treating the drivers well either. From my experience talking to Uber drivers in Paris and Lisbon, they're often employed by a separate company that hires them and provide them with a car (That's uberX, not uberPop though since uberPop is illegal in both of those countries). The few drivers I met who were independent were quite happy with the opportunity they had. In the end, the problem is that in quite a few countries, Taxis are a regulated business with rules that have been created not for the benefits of the customers but instead to guarantee the benefits and monopoly of the existing taxi owners. And Uber (and other companies that are sure to follow in it's wake if the barrier of entry are lowered) helps counter that.
- exDM69 11y agoThere is good taxi regulation and there's bad taxi regulation, depends on which countries we're talking about. That is why the discussion is so polarized and your opinions are opposite to mine. I'm not sure what the situation is where you're from, but here Uber can't provide any advantages over the local taxi service apart from price (at the drivers' expense) and supply at some peak hours.