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Well there aren't enough cabs because ride-sharing companies have driven them out of business. I am no fan of cabs. They were unreliable and overpriced, which
by raz32dust 8y ago
Well there aren't enough cabs because ride-sharing companies have driven them out of business.
I am no fan of cabs. They were unreliable and overpriced, which is why they got driven out. I am willing to pay slightly more some of the times in exchange for the better availability, reliability and price that Uber will provide me most of the time. But not 5x more! This price should in theory be determined by the free market. However, because Uber determines the price, not the driver, it is not really a free market. I'd love to see an Uber-like service where the drivers outbid each other <del>and Uber takes a fixed percentage cut</del>.
Edit: I learned that Uber does in fact charge a fixed percentage cut, even during surge (20%).
- Johnny555 8y agoThere weren't enough cabs during peak periods even before Uber. And yes, I've tried catching a cab from UH or downtown to Waikiki on a Friday night in the rain, and it's nearly impossible. Cars (even ignoring the medallion scam) are expensive to leave sitting around idle, and you have to pay a driver a lot to make it worthwhile to work for a few hours a few times a month) so cab services can't afford to staff for peak service, instead they just make riders wait (or reject them at dispatch by not answering the phone). At least with Uber, if I really need to be there, I can pay to get a car. Would you rather pay a 5X surcharge or have no car at all? Uber is already has incentive to keep the surge pricing reasonable -- not only do they suffer from spoilage, but if a driver clocks in during the surge and doesn't get a rider, he's less likely to clock in during the next surge. Uber already has competition in Lyft -- I just use "Uber" as a generic name, I only take Lyft unless I'm in a city that Lyft doesn't serve. It's (mostly) the same drivers anyway.
- ASalazarMX 8y ago> Uber is already has incentive to keep the surge pricing reasonable -- not only do they suffer from spoilage, but if a driver clocks in during the surge and doesn't get a rider, he's less likely to clock in during the next surge. I disagree. Since Uber takes a percent of the price, it's in its best interest that the surge scales fast. 5X is unreasonable, it should be capped at 3X. It's not like the Honolulu Uber drivers would multiply as the surge increases, the service is already maxed out and has become first come first served.
- Johnny555 8y agoRiders are only one of Uber's customers -- drivers are the other, and if they clock in during surge pricing and never get a ride, they'll stop clocking in - why bother getting in your car and driving across town to find out that even though surge pricing is in effect, you can't find a rider?