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I wonder if these food delivery and ride sharing companies are even sustainable. Then reports they use VC money to subsidize things. Also mailers where you can
by Keverw 7y ago
I wonder if these food delivery and ride sharing companies are even sustainable. Then reports they use VC money to subsidize things. Also mailers where you can get so much free credit too for the service.
Seems convenience though as a customer but sounds like some of these people aren't even making that much money with all the waiting and stuff in between, maintenance, increased insurance, fuel, etc and then some apps I don't think it starts paying until you are there to pickup. Then again though truck drivers aren't paid while waiting to load and unload, and flight attendants aren't paid until the plane is in the air.
Plus I feel like they are taking short cuts, I don't think i'd want to publish other peoples prices because they could change, items removed from the menu, etc. I guess they scrap the website or send someone in to take notes of the menu? I rather it be an agreement where businesses themselves opt-in and update their menu and prices. Wonder how these apps handle things when stuff is out of stock (ran out of wings, but has chicken tenders still) or the ice cream machine happens to be broken? Just seems not as deeply integrated as I'd hope. but even if businesses updated menus, with being on 3 apps and their own site I'm sure something would be missed due to human error unless some sort of API with a central UI to update everything. Plus some fast food places are understaffed too, because some people rather work in another field other than fast food or just don't work at all. Reports that less teenagers are working in fast food too. Then I guess putting growth and stuff first is some business models for these apps, grow fast and figure out things later when you are a bigger company.
But even before internet ordering, businesses we're doing shady things too. Like pizza delivery drivers are required to have commercial insurance, but many don't so if found out and got in an accident, claim could be denied. Was reading that happen to some teenager using the family car for a part time job, and the state decided to take his license away because claim got denied and wasn't able to pay out of his own pocket. Sounds like the employers mention it, but don't really enforce what type of insurance you have. So many are using personal insurance, some forums discus this and some pizza drivers said they'd put their roof topper in the trunk before the police come if in an accident. So sounds like faceless huge corporations are shifting their liability to teenagers and other people just starting out and more vulnerable people. Then ride sharing, the companies say you are covered by their million dollar insurance policy but some people still have been dropped as result of ride sharing... Do they even give you a insurance policy number or card? Sounds like most people exchange their own insurance in that case or these apps are misleading. Then some even report insurance company dropping them just for asking about ride sharing insurance, even if they haven't signed up.
- m_ke 7y ago> I wonder if these food delivery and ride sharing companies are even sustainable. Then reports they use VC money to subsidize things. They're not, they're all following Thiel's 0 to 1 model and aiming for a monopoly. Over the past 10 year VCs figured out that getting into capital intensive markets where they can use their money to starve out the competition is an easier way to make money than investing in sustainable businesses. They get to raise insane rounds, throw a lot of money around and live off of the management fees.
- toss1 7y ago> I wonder if these food delivery and ride sharing companies are even sustainable. Then reports they use VC money to subsidize things. >They're not, they're all following Thiel's 0 to 1 model and aiming for a monopoly. Not only trying to gain a monopoly via massive market manipulation, i.e., bonfire of VC capital to sustain dumping of underpriced product for years, but also skimming & scamming as a business model for those years The last decade is making a real mockery of the Vc investing model to create value --many big ones are just trying to strip-mine the economy. Sure taxis/limos needed a better app-based UI, and perhaps delivery apps are more convenient, but this is not providing a new better service, it is simply trying to steal from the restaurant's profits