The main selling point of Uber/Lyft are the network effects (same app working everywhere) and the ability to judge drivers by their rating. Price IMO is not that important because people who are price-conscious drive their own vehicles. Cab companies are too fragmented to get something like such a system running.
This ironically shows how size matters a lot. Be it state investment or huge VC, more cash, more power and more centralization means better service (if the megamoney was spent well).
I agree that Uber's way of underpaying drivers is not scalable (basic mathematics) and price hikes should happen to make the numbers work out. However the service level now people expect is very much innovative.
This ironically shows how size matters a lot. Be it state investment or huge VC, more cash, more power and more centralization means better service (if the megamoney was spent well).
I agree that Uber's way of underpaying drivers is not scalable (basic mathematics) and price hikes should happen to make the numbers work out. However the service level now people expect is very much innovative.