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That makes a lot of sense: allow the market to do its thing and efficiently allocate scarce resources. But it raises the question: why doesn't Uber operate lik
by rmrfstar 6y ago
That makes a lot of sense: allow the market to do its thing and efficiently allocate scarce resources.
But it raises the question: why doesn't Uber operate like a normal marketplace where buyers/sellers submit bids/offers at prices of their own choosing?
By preventing buyers/sellers from participating in price discovery, Uber makes itself look a lot more like a classic employer/vendor than an online marketplace.
- doktorhladnjak 6y agoBecause it adds friction to what both drivers and riders want to be an easy, smooth transaction. Sidecar tried this approach and had their lunch eaten by Uber and Lyft.
- rmrfstar 6y agoFair enough, people seem to prefer stores to flea markets where haggling is permitted. But stores bear product liability for dangerous products, vicarious liability for employee misconduct, and are bound by employment/labor law. You can't claim to be a flea market when you are really a store.