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Terrific Forbes article

Mista T

Well-Known Member
Author
By any measure, Uber’s seven-year entrepreneurial journey has been extraordinary. No venture has ever raised more capital, grown as fast, operated more globally, reached as lofty a valuation — or lost as much money as Uber.

Last month, Uber reported a third-quarter loss of nearly $1.5 billion, bringing its 2017 year-to-date red ink to $3.2 billion. Losses of this magnitude are clearly not sustainable, and call for an explanation of why Uber has been unable to rein in ballooning costs and what it will need to do to survive, let alone prosper.

Much of the recent discourse on Uber has focused on the numerous unethical and possibly illegal corporate behaviors that continue to dog the company, six months after founder Travis Kalanick resigned as CEO. But while the reputational damage from Kalanick’s win-at-all-costs ethos has certainly not helped Uber’s cause, it has masked a far deeper problem facing the company. Uber’s elephant in the room is that its business model is fundamentally broken. To understand why, it is useful to assess Uber’s business model in the context of the history of the taxi industry.

December 14 2017

Continued...
https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.forbes.com/sites/lensherman/2017/12/14/why-cant-uber-make-money/amp/&ved=0ahUKEwjSn-rH5ozYAhVE4mMKHcXjAZUQyM8BCB4wAA&usg=AOvVaw3aRxsC_1xWDTOlvBBgEzpc&ampcf=1
 
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Brooklyn

Well-Known Member
I agree 100%

A lot of people are gassed that Uber is like Amazon where they’re burning money to get bigger.. which is true but they’re not realizing Amazon did so to develop an entire infrastructure. Uber while building a market share is buying rides to expect customers to stick with them.


Difference is

Amazon spent money to make packages quicker, more reliable, and have everyone buy/sell on their platform in an industry they didn’t lower the standards on. They didn’t make it where they started saying @@@@ the laws of every single town, city, state and country.


Uber is trying to buy rides and lower the entry level but don’t realize by doing that they lowered the bar for everyone else so they can compete with Uber with less costs as well.
 

Skepticaldriver

Well-Known Member
Yeah. But amazon standards on the worker end are uber proportional. If what ive read about their delivery services is correct. True though. They did develop good brick and mortar infrastructure. But theyre teetering on other aspects.
 

Chris1973

Well-Known Member
The original sin was pricing a potentially superior service 30% under taxi when 10% would have worked almost as well. The no tips allowed in app BS should have been a red flag from day one that Travis was an out of touch doosh. Lyft market share would be single digits if that doosh wasn't such an out of touch with reality doosh. Good job doosh. Am I overusing the made up word doosh?
 

Rakos

Well-Known Member
The problem really arrived in 2016...

With those fare cuts that...

Were going to make us more money...

I never believed that crap...

It's kinda like an expensive hooker...

Wurkin the streets...

For a nickle trick...

And pax treat us accordingly...

This must stop...!!!

Rakos
8e9186bbefec56f7eab680fd789f6e77--muscle-cars-muscle-car-memes.jpg
 

Rakos

Well-Known Member
Maybe if they would try...

To NOT saturate an area...

With too many drivers...

It seems to me that...

My 3 years of good driving...

Doesn't mean squat to them...

Badges my monkey a$$...8>O

Rakos
bigunihorn.jpg

PS. Just so you know Unicorns and Bigfoot really exist...at least in my universe...8>)
 

Chris1973

Well-Known Member
Travis with his golden parachute, drinking champagne out of super models shoes, is the biggest walking contradiction in the history of mankind. On one hand he disrupts the sorry ass taxi industry, but then ruins the livelihood of millions of poor people by insisting on a no tipping policy jihad that has extended beyond rides to the food service industry, in a big way. Like the old 30 minutes or it's free policy from dominos pizza 20 years ago, Travis's legacy will be tipping is not necessary, it's included! Good job Doosh, that's your legacy, don't tip! It's @@@@ing included! DOOSHBAG scum!
 

Red Leader

Well-Known Member
Another silly article written by a borderline @@@@@@.

You would think people would get tired of reading things written as entertainment being passed off as reality or credible.
 

ABC123DEF

Well-Known Member
The original sin was pricing a potentially superior service 30% under taxi when 10% would have worked almost as well. The no tips allowed in app BS should have been a red flag from day one that Travis was an out of touch doosh. Lyft market share would be single digits if that doosh wasn't such an out of touch with reality doosh. Good job doosh. Am I overusing the made up word doosh?
HAHAHAHAHA! No, 'doosh' is a perfectly acceptable noun and adjective. I vote that the use of 'doosh' should be widely used in the English language...especially when referring to the operations of Oopsber...er...Uber.

Noun - He's quite a doosh.
Adjective - He is quite a doosh individual.
 

lubi571

Well-Known Member
Great service no reward
Great driver no reward
Improve brand no reward
Increase co. "earnings" no reward
Not only no reward, we thank you by cutting your income and flood area with as many drivers as possible so you can't do the above. How can that model possibly fail?
 

CarterPeerless

Well-Known Member
Nice article with just a couple things wrong.

Uber is rarely taking only 25% of a fare. This makes their position even worse if they are actually taking 40% and still losing money.

The author supposes that a new driver is banished to less profitable locales. Not true. Every driver, new and old, can fish the best spots. There is no seniority advantage to location, except that older drivers have more cycles and know how to work the market better.

The author take a broad stroke to the autonomous issue without considering the current financial drain and considering the future financial investment. By just saying that “autonomous cars may help”, he flattly accepts they they will be an improvement. Maybe it was too big of a topic for his article.
 

BlackTruth

Active Member
Uber can't make money because Uber has absolutely NO values. The driver should have been first...NOT the rider (PAX). Because Uber put the pax before the driver, it's akin to building a house on a weak unstable foundation. The drivers are the foundation. The drivers should be paid more than the app. Because uber and Lyft are greedy (and Juno), Their greed is their demise. Improper deactivations without due process, spying on drivers, stealing money from drivers, greyball, bro culture, etc. the list is endless.
Meanwhile, in ubers quest to not retain veteran drivers with a go fu.k yourself attitude, has left uber constantly trying to add new inexperienced wreckless kids who do not have enough experience driving. That's why we are seeing a lot of accidents as well.
 

Rakos

Well-Known Member
Uber can't make money because Uber has absolutely NO values. The driver should have been first...NOT the rider (PAX). Because Uber put the pax before the driver, it's akin to building a house on a weak unstable foundation. The drivers are the foundation. The drivers should be paid more than the app. Because uber and Lyft are greedy (and Juno), Their greed is their demise. Improper deactivations without due process, spying on drivers, stealing money from drivers, greyball, bro culture, etc. the list is endless.
Meanwhile, in ubers quest to not retain veteran drivers with a go fu.k yourself attitude, has left uber constantly trying to add new inexperienced wreckless kids who do not have enough experience driving. That's why we are seeing a lot of accidents as well.
Bingo!!!

#Uberdriversmatter

Rakos
Image-9-24.jpg
 
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