Uber has different kind of services offering to clients, such as UberX, UberXL, and UberPlus. The company also charge different prices based on demand, seasons, and travel speed. It can make clients confused because they do not know when the demand is going up, and what is the right price they should pay compared to other companies. For example, Broadway taxi cad has a fixed price, $ 2.50 for the first passenger in the vehicle and $2.60 per mile, but Uber charge different ways, if the Uber car can travel at a speed greater than 11mph or higher, the price will be calculated based on distance but if the Uber car moves too slowly due to traffic jam or rush hours, the price will be calculated based on a time basis.
- The second weakness of Uber is the relationship between the company and its drivers. Because they almost use the app to communicate and there is no physical contract, it leads lacking of real connection and loyalty. As we know, Uber considers their drivers as independent contractor, so the drivers do not have any benefits in health care or health insurance. Based on an article from forbes.com on 6/17/2015, Uber has faced protests from the drivers over its working condition. It broke the relationship between the company and its drivers, so many drivers find another job giving better …show more content…
Taxi services in those countries are inconvenient and expensive, so Uber’s business model is developing very well there. According to Los Angeles Times, Uber serves about 1 million trips every day in Chinese Market, and the growth rate in the city of Chengdu was already 46 times larger than New York after 6 months. Uber’s Chief Executive Travis Kalanick reveal that China is the top priority for global extension, and the company plans to invest almost $1 billion in 2015 to operate in many new