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I don't deny the externalities of Uber, but the previous poster wrote: > Uber if anything makes taxis less productive and efficient Which is blatantly false.
by belval 5y ago
I don't deny the externalities of Uber, but the previous poster wrote:
> Uber if anything makes taxis less productive and efficient
Which is blatantly false. Taxi companies were pretty terrible and only got better because of competition. Getting in a taxi and having no idea how much it's going to cost me was a bad customer experience.
- giaour 5y agoIt's undeniably more efficient to maintain a motor pool with a centralized mechanic shop. I get that the taxi experience was not ideal for you, but Uber did introduce a lot of inefficiency into the livery market by decentralizing maintenance, procurement, and financing. Uber was able to do this while undercutting incumbents on price through a combination of fare subsidies, consuming external capital resources (i.e., asking industry outsiders with "excess capacity" (cars that weren't on the road 24/7) to wear down their own private vehicles), and having investors willing to tolerating large, upfront losses.