Uber is not a taxi service but a tech-inclined corporation that offers a platform where users can request their services via a smartphone and receive a prompt response. Many people in different transport jobs can be adopted, like a restaurant or fast food delivery services, private jet or helicopter transport services, etc. While a taxi company’s job is to hire drivers to take passengers from one location to another, engaging in other operational activities as this goes on. Whereas Uber deals with running software programs, building a data structure to facilitate accurate payment, and conduct more viable researches to improve the transport business. Their CEO has conceded to Uber not being a taxi company as you and many others may have believed it to be, saying it’s a tech company instead.
The operations undergone by Uber are uniquely separate from those of a conventional taxi service, for instance, Uber drivers can be private car owners. Uber has several terms and conditions which their drivers are bound by, one of them is not accepting more than a passenger at once, bargaining is also not acceptable. Having their focus fixated on people’s transport needs, to convey them from a place to another in better conditions, Answering the question of how Uber is still thriving in the market all these years with a low-income revenue. The company has survived by running on subsidies to maintain its cheap services and its massive driver count. Income earned by driving cannot sustain Uber drivers, do they get money from referrals, tips, and bonuses.
Uber’s new CEO whimpered that his company has lost a large percentage of its capital over the past months, pledging to reinstate their glory days. Though this can be achieved with proper planning and execution of these plans, many Uber drivers, however, do not see that being feasible in the forthcoming months. Americans are thankful for Uber’s services because of their low rates and quick responses, which have aided transport service.
Take online shopping as a case study, you cannot call it a shopping mall but a tech-inclined avenue where private buyers meet sellers to transact. This explains how Uber differs from taxis, emphasis is laid on connecting drivers or riders to passengers, making transportation easier. Investing in the Uber business can lead to more losses than profits, compared to investing in other profitable enterprises, for instance, real estate or agriculture. Before you put your Investments into Uber, conduct more research to evaluate the risks involved.