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That app doesn't do the same thing as Uber, though. Uber's variable pricing model and liquid supply(that is, drivers who are encouraged or discouraged to partic

by stdgy 12y ago

That app doesn't do the same thing as Uber, though. Uber's variable pricing model and liquid supply(that is, drivers who are encouraged or discouraged to participate based on current demand) encourages fleet sizes that will correctly meet usage. Really, it's an attempt to algorithmically reach an optimal solution for the given marketplace.

Xylakant 12y ago
Ubers attempt may or may not be a good attempt at solving the problem of maximizing market efficiency, however it operates under the assumption that we want to optimize for market efficiency. The current system treats cabs like a utility and ensures fair access for everyone, a property that Ubers algorithm does not account for. It maximizes availability and access for the wealthier among us, a property that's at least in germany not as important as in the US. Bad market fit, as I said. MyTaxi operates whithin the framework of the current system and retains its properties while adding value and efficiency. It's obviously not as efficient from a market perspective, but that's a feature. Now a system that combines the desired properties of the old system with better efficiency is certainly thinkable and desirable, but Uber is not that system, at least not in it's current incarnation.
- ulfw 12y ago
  Well it mostly maximizes financial returns (for the drivers and the company) by enabling up to 5x higher prices at 'surge' times. How would you feel if your taxi driver told you: "oh sorry Sir - you want to drive home? Today that'll be 5 times as much as usual. We are kinda busy, ya know". Unthinkable for taxis. Accepting for the 'disruptor'. All but very rich people would rather wait a few minutes longer to get a taxi than to pay up to 5x as much as usual.
  - mvid 12y ago
    Those same people can wait a few minutes longer for the surge pricing to go down.

by stdgy 12y ago

Xylakant 12y ago

Ubers attempt may or may not be a good attempt at solving the problem of maximizing market efficiency, however it operates under the assumption that we want to optimize for market efficiency. The current system treats cabs like a utility and ensures fair access for everyone, a property that Ubers algorithm does not account for. It maximizes availability and access for the wealthier among us, a property that's at least in germany not as important as in the US. Bad market fit, as I said. MyTaxi operates whithin the framework of the current system and retains its properties while adding value and efficiency. It's obviously not as efficient from a market perspective, but that's a feature. Now a system that combines the desired properties of the old system with better efficiency is certainly thinkable and desirable, but Uber is not that system, at least not in it's current incarnation.

ulfw 12y ago
Well it mostly maximizes financial returns (for the drivers and the company) by enabling up to 5x higher prices at 'surge' times. How would you feel if your taxi driver told you: "oh sorry Sir - you want to drive home? Today that'll be 5 times as much as usual. We are kinda busy, ya know". Unthinkable for taxis. Accepting for the 'disruptor'. All but very rich people would rather wait a few minutes longer to get a taxi than to pay up to 5x as much as usual.
- mvid 12y ago
  Those same people can wait a few minutes longer for the surge pricing to go down.