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Are there any slide decks or investor material out there that confirm this is the business model? I hear it all the time on HN but it just doesn't make sense. T
by missedthecue 5y ago
Are there any slide decks or investor material out there that confirm this is the business model? I hear it all the time on HN but it just doesn't make sense. The barrier to entry in the taxi market is too low. You can't kill off competition and start monopoly pricing. The competition will always reappear.
- amelius 5y agoI think it might be kept implicit, so investors will not start questioning it. I think the logic is to own the portal to taxis and become a gatekeeper, by being the only app that the user has installed for hailing taxis. So the barrier to entry becomes large because you have to convince people to install your app.
- webmaven 5y agoThat barrier to entry starts breaking down when the ride hailing apps are integrated via an "ad" in the users' default mapping app. There's still a speed-bump, but it isn't as jarring.