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Uber seems like they were extremely reckless YES. I live 10 feet away from the garage. I've noticed over the past few months that they've been ramping in typic
by automatwon 10y ago
Uber seems like they were extremely reckless
YES. I live 10 feet away from the garage. I've noticed over the past few months that they've been ramping in typical startup fashion: hockey stick growth.
After reading about Lyft's CEO, a narrative of "nice guys finishing last", I started realizing how unscrupulous Uber is. Sadly, cut-throat businesses win.
I recently took an Uber ride, where the driver was an un-retired man in his 70s. He recently just abandoned his failing dry clean business. This one hits close to home for me, because my parents are approaching their 70s, holding on to a failing dry clean business, too. For me, hardworking people like this, with arguably bad business acumen, are counter example to the notion of "if you're poor, it's because you didn't work hard enough." Before the dry clean business, the Uber driver ran a deli business, but that was a failure, too. No doubt he possesses an entrepreneurial spirit, albeit he probably shouldn't. I can't fault him for not being smarter. He proceeded to tell me about his idea to create a website where people upload images of their face, at different angle, and can get a custom printed 3d figurine, that he would hand paint them. I didn't have the heart to tell him that as someone in the top 1% income bracket of 20-something year olds, who consistently blows money on expensive toys / gadgets / dinners, I would never spend $300 bucks on a custom painted figurine. See, he was an artist before coming to America. He said "I want to be an artist before I die. I was too busy making a living when I came to America".
Uber gave this man a job. That's good. But he's being paid near minimum wage. To achieve that, he has to work 12+ hour days to acquire the bonuses that Uber uses to incentivize their drivers to become addicted. These are the kinds of risk Uber induces on its drivers, customers, and other people on the road. The sad reality is, he's going to be displaced from this minimum wage job by automation, much earlier than people expect. Uber doesn't care. I'm not saying Uber or any private company MUST care. I'm just illustrating how a company's values permeates itself, and precipitates to individuals' livelihoods.
I recently read an article about the unit economics of Uber. It doesn't work out. Uber, in it's current form is based on leveraging free VC money to subsidize and incentivize somewhat artificial demand. It's predatory monopolistic tactics. They won't be able to live up to their unicorn IPO valuation hype. They NEED to expand into other domains. Recently, Uber acquired an A.I. startup, which I think is an indicator of this. Alternatively, they can fix the unit economics equation to be profitable. Autonomous vehicles is the purported answer. This VC and unicorn valuation environment, I believe, is resulting in this kind of hastiness, at the increased risk of human lives.
- erlehmann_ 10y agoIf you evaluate Uber like that, why do you take Uber rides?
- automatwon 10y agoI'm an opportunist, and not an idealist. I will gladly take subsidized rides, while VCs continue to cover my fare. Uber is consistently cheaper for me than Lyft. If pricing was equal, I will choose Lyft without hesitation. If I knew with confidence that the probability of dieing in a Uber is greater than in a Lyft, I might still take the Uber if the price is attractive enough. But I can't possibly know, so my null hypothesis about the probability of dieing in either is zero, which, intuitively, not the case. Then again, I don't put money into my 401k concerned about the United States going bankrupt, either. There is a difference between social / moral value judgments versus economic value judgment. For me, I commented on the social value judgments, but act on the economic one, unless of course the economic one is immoral. There is nothing immoral in me taking an Uber ride. I said "I'm not saying Uber or any private company MUST care", because to suggest otherwise is saying Uber HAS to act to some social value, rather than to their economic advantage. Edit: I'll take a ride in Uber's self driving car, too. As long as it's "subsidized" at some attractive enough price. By that, I mean they pay me. What that threshold price is, I don't know, but I know it exists. Edit 2: I love eating McDonald's. I will not boycott and refrain from eating chicken mcnuggets, even though I know their workers are being paid minimum wage. These are macroeconomic issues that I, cynically, lack the influence to affect. However, at a micro level, I give tips to employees at fastfood restaurant. I gave a $20 cash tip to this particular Uber driver, too. That's against Uber rules. That's also against what I just claimed about being economically maximizing. I don't consider the tip as part of my expense for some service / good, and rather just helping people out in general.
- bsder 10y agoGiven your assessment, at least take Lyft instead. If I have a choice, I don't take Uber.
- automatwon 10y ago