Thursday, September 4, 2014
"Uber Continues to Operate in Germany, Despite Court Ruling"
The ride-sharing service, Uber and other similar services have been embraced positively by many across the world. For those unfamiliar with Uber; it is a smartphone app where customers use the GPS in their phones to hail cars nearby. Payment is processed through credit card information programmed into the application.
A number of taxi companies as well as worried officials have issued complaints about the safety and licensing requirements of Uber's drivers. The reality of these complaints can be summed up to Taxi companies being angered over Uber's popularity and success while cutting into the Taxi's revenues.
A number of court proceedings have been filed in many cities. The New Orleans City Council just gave Uber the ok to operate but many still feel it is dangerous. Germany has outright banned the company in the entire Nation but Uber continues to operate. Those against these types of services feel that many drivers for these services lack the requirements and licenses to be performing such duties.
There are a number of questions surrounding this situation. Should governments (local, state, and national) be involved in deciding whether or not these services should operate? Do the Taxi's have a valid argument or are they more concerned uber-like services pose a real threat of competition?
Source(s):
http://www.wdsu.com/news/local-news/new-orleans/council-gives-ok-for-uber-to-operate-in-new-orleans/27888042#!bPYCIL
http://bits.blogs.nytimes.com/2014/09/03/uber-continues-to-operate-in-germany-despite-court-ruling/?ref=international
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Are the issues raised by the government strictly about the Taxi companies losing business or more towards the possible ramifications of crimes being committed by those being hailed to the apps users? For the Taxi companies I can understand the anger over losing business to people who do not have licenses however I can see where people could argue they have the right to pay whomever they want for a ride home, work..etc.
ReplyDeleteI do not believe that there were any reports of crimes being committed against the app users. However, there is definitely a possibility of that occurring. While Germany has banned uber nationwide, in order to enforce it taxi companies must report each individual instance of uber's presence. This becomes very tedious essentially making the ban ineffective .
ReplyDeleteGetting back to the Taxi companies, I believe that it is fair for them to be upset that they are losing business. However, people should have alternative options to usually more expensive taxi rides.
There must be some background checks or clearance for Uber drivers. It would be unwise of the company to let anyone with a motor car participate or be employed by the company. Likewise, people do not know the person that is driving their taxi when they hail one, so why would it be any different for Uber drivers? It is understandable that taxi drivers are angry that Uber has become increasingly popular because they are losing out on potential customers and jobs may be taken away. However, Uber is in turn creating jobs and providing a convenient form of transportation that can be accessed through a cell phone application.
ReplyDeleteI also agree that there needs to be some sort of regulation on Uber, but only to ensure the safety of passengers. In my opinion the taxi companies are upset for the sole fact that there is now competition in the before mostly uncontested market. I think that it is great that there is now competition that will pressure taxi companies and Uber to provide an affordable, reliable service.
ReplyDeleteI believe Uber does have the right to operate because they are offering a superior product at a cheaper price than any other firm. Taxi companies don't like it because they are losing customers to Uber and can not compete with their prices. Uber also offers more services with its app than any taxi company, making it the better choice for consumers. I find it ridiculous that governments domestically and abroad are trying to shut the company down. The consumer wins with Uber and that is all that matters at the end of the day.
ReplyDeleteI completely agree with your statement on the consumer winning. If done right (background checks, etc. to ensure safety), Uber is simply making an advancement and making taxi services obsolete. The taxi companies can either make changes to compete with Uber or they will die out. The taxi presence in big cities is indelible so I think they will definitely begin to improve and make their own advancements to convince the consumers to come back. The advent of Uber is a good thing for business as it stimulates competition in the transportation industry.
DeleteThese app consumers are paying someone for a service as simple as a ride to work. I understand that the drivers working for Uber don't have the licensing requirements then again, is it really necessary for this particular job they are committing themselves to? In the article, I don't see an argument for the level of safety for Uber drives compared to taxi drivers. The issued complaints could be both true or false depending on the driver but there is no proof whether Uber drivers are necessarily unsafe. It is hard to call these drivers unsafe when taxi drivers today are constantly swerving at high speeds through cities, etc which enables a higher risk of accidents.
ReplyDeleteHaving used Uber myself, I believe that they should be completely allowed to operate, even though others are questioning their safety. The fact is that Uber provides consumers with a ride within minutes of ordering, while for actual cab companies and services it's very different, you have to plan when you will be picked up, and even then some cabs are unreliable.
ReplyDeleteSure, I do think that the safety of the passengers is important, and Uber should ensure that they run background checks on all their drivers, but other than that I see no reason why Uber should not be allowed to operate. Personally I think the basis behind the argument against it is due to competition.
I personally think Uber is a great new alternative to taxis. I don't particularly see how these drivers are any less qualified than normal taxi drivers from what I read in this article. It seems that the real issue is that taxi drivers are threatened by the ease and convenience of this new service. I believe that Uber should be allowed to continue operating as long as they follow the same safety requirements as regular taxi services.
ReplyDeleteThere is no denial to how much benefits Uber provides for not only its customers, but also drivers. Clients get easy cab requests, location based dispatch, and in app billing, meaning they don't have to bring cash. And for drivers there are immediate ride requests, not having to worry about billing and direct client communication. It sets the bar too high for other companies. I definitely agree with Maeve, that the argument is due to competition.
ReplyDeleteUber has become very popular in the past year, it offers a creative new way of getting around town with a little more class than a taxi. I have never heard of someone who has had a bad experience with Uber, so to the argument that says that Uber isn't safe, I just don't believe that. I understand taxi companies are upset because Uber is taking business away from them. But it is a open market, I think they never expected to have any other competition other than other taxi companies, so this just caught them by surprise. I think Uber is a good thing and should be allowed to continue. Taxi companies will not give up, but I don't see them being too successful as far and getting rid of Uber.
ReplyDelete