By legalising and regulating Uber there are several possible potential costs and benefits that society would face.
Legalising and regulating Uber would negatively affect taxi companies since they are in competition with Uber (Cramer & Krueger, 2016). It will cause a decrease in taxi companies’ revenue due to sharing the market with Uber (Rahel, 2016).
Due to more cars on the road, traffic can be negatively affected and might result in congestion. It also leads to higher CO2 emission (Rogers, 2015).
Government regulations and restrictions such as licenses are used to protect the taxi industry from competition (Petropoulos, 2016). Uber does not require its drivers to hold particular licenses, which has caused the actual value of taxi licenses to be decreased (Petropoulos, 2016).
Before Uber entered the market, taxi companies benefited from regulations in place as they offered protection from competition (Petropoulos, 2016 and Rahel, 2016). These regulations have also caused a limitation in revenue earned by taxi companies since uber formed. Current regulations mean taxi drivers must conduct pick up and drop-offs in areas defined under the regulations whilst Uber has no limitations regarding number of drivers or areas where drivers are to operate in. (Rahel, 2016).
Due to the increase in competition taxi drivers’ income has been negatively affected and there has been a decrease in their salary (Rahel, 2016). This is forcing taxi drivers to seek alternate employment to
In Singapore, the taxi industry was highly regulated and organized. Drivers are required to hold a valid Taxi Driver's Vocational License which could be obtained after completing their training course at the Singapore Taxi Academy and passing a theory test. Comparatively, Taiwan drivers only need to pass a basic driving test to become a cabbie. This difference in credentials shows the control and regulatory differences between the two cultures in the taxi industry. As a result of the rules and regulations in Singapore and the lack of rules and regulations in Taiwan, the regions gain two completely different types of taxi drivers. The Singapore taxi industry acquires employees that are professional and dedicated to their job because they see it as a career. The drivers there plan on staying in the profession for an extended period of time. In Taiwan the lack of rules and regulation in obtaining professional licenses
Uber is defending their position, stating that they screen potential Uber drivers in accordance with the rules that the state of California put in place, and that these rules were softened by legislators to allow for rehabilitation of ex-offenders.
The reason behind company taking this action is nothing but they want their passengers to experience safe and comfortable ride and they don’t want them to face any risky situations when they are on drive. This shows that the main thing is about having safe drive and you need to be careful about all these stuff. There are some news spreading that the new rules adopted by the Uber was because of an incident which took place in Charleston, South Carolina where there was an open fire done by 21year old white man in the black Church, this one small single tragedy ended the lives of nine people, but words from Uber is that the act passed by them was not based directly on that shooting, Since the new rules came into existence on June 10th almost a week before that incident took place.
On one hand, in the last couple of years, there are some criminal activities endanger passengers by Uber’s drivers (Picchi, 2014). Because of these horrible things happened not only let Uber company lost a lot customs but also bring shame on Uber company (Picchi, 2014). Even though Uber claims they are going to do more background checks for drivers, the background checks cannot include all the aspects for the drivers (Picchi, 2014). About driverless cars there also some problem regard to safety problem for example: villainous weather, puddles on the street (Boudette,
Uber as a business have conducted and implemented many harmful tactics and policies. The primary issue that Uber has been deemed harmful are Uber taking and requiring all drivers to accept the percentage cuts. In addition, the higher percentage cuts will be deduct from each earned revenue the driver obtain while driver for Uber. This is a very harmful tactics
Labor relations before deregulation were generally good, with the CAB setting fares it guaranteed profits around 12 percent, the increased labor costs were passed onto the passengers. This allowed the unions and management to maintain amicable relations while providing a productive work environment.
It also increases air pollution from vehicles and puts the public to a high risk of asthma, high blood pressure, cardiovascular diseases, diabetes, aggravation, stress, and other diseases. The high level of urbanization and car ownership causes traffic congestion and this would worsen in the future as the pollution and car ownership grows. There are various ways to reduce congestion, one possible way is to create toll on the roadways so that the public has to pay a fee associated with the roadway depending on the road characteristics, demand and supply, peak time, and other various data taken into consideration. This encourages user to choose other mode of transport which could be walking, public transit and bus, or carpooling. The toll would depend on the traveler’s willingness to pay (WTP) as a function of trip characteristics including trip urgency, length, and travel speed, traveller’s income levels, and previous exposure to tolled roadway. Travelers characteristics are asses by travellers willingness to carpool or to use the transit. ( WE cant get there from
compare Lyft to Uber and taxis, you can tell that lyft has a few more key regulations for drivers,
True, there may some good reason, in their minds only, nonetheless, it eats into a driver's ability to earn money. Now, there is the fact that GPS is not one hundred percent accurate period. In this respect, as an Uber/Lyft driver and from what has been stated by riders, is the app will show a driver farther away than in
The regulation of the trucking industry has harmed a lot of truck drivers. While it is important to ensure the truckers who are on the highways are being safe, the government regulations are causing them to take a significant decrease in their income. Truckers in the past were able to drive as many hours in a day as they wanted to. There were some problems with truckers getting sleepy and having accidents, and in some cases they, killed both themselves and other drivers. By regulating the number of hours’ drivers can be behind the wheel, it has decreased the number of fatigued truckers on the roadways. Some of the rules they have put in place have made it impossible for drivers to make a comfortable living.
In Pittsburgh, the governor and the mayor allowed the Uber company to use their driverless cars in the city as a testing area (Kang, 2016). The governor want to use the way by working with high technology companies to transfer from the old industrialized city into new high-tech city (Kang, 2016). It’s not only positive for cities developing, but also can reduce traffic issues. There are lots thirty-three thousand people dead
A reduction in quantity will therefore will reduce congestion as there will therefore be less cars on the road.
In major cities across the globe today, many rely on the services of both taxicabs and Uber. Both allow users to reach their destination in a timely manner, but one service reigns supreme. The regulations and training requirements make tax far superior to Uber. Uber lacks the same levels of training and regulations one must possess in order to be a driver as compared to taxicabs. Some of the rules one must follow in order to be a driver of a taxicab are as follows: one must have a knowledgeable understanding of the streets they are navigating, one must dress nicely and professionally, and one must follow the provided rules in the guidebook. By using these rules and regulations, drivers are able to provide individuals with a safe and comfortable
Uber can be thought of as a marketplace unto itself in the analysis of demand and supply and elasticity.
Uber impacts the taxi industry business by being a popular name around the world. Most Australians did not even know that uber existed until it got introduced in 2012. Since Australia is the most multicultural country in the world a lot of people know what uber is so, as soon as it got introduced they stop using taxis and start using uber.