Uber and its Penchant for Trouble

uber is in trouble

Everyone has used cab or taxi while travelling. Earlier, people had to go to taxi stands to get the taxi. It was tiring and was not so convenient as you had to wait at the taxi stands for taxis and then pray that the taxi driver will be ready to take you the your destination but because of online booking all this have come to an end.Uber, Ola etc. provide you the facility of booking taxis online.

For now as our main topic is about uber we will be talking about it. But before moving to the main topic let us know about uber.

Uber

Uber (also known as Uber Technologies Inc.) which has its headquarters at San Francisco, California, United States is an American private hire company.Uber operates around 633 cities around the world. It operates uber car transportation and even the marketing and development of the same. Mostly, the uber drivers use their own cars but drivers can even rent the car to drive with uber.

Now as we know about uber let us see why uber is in trouble.

Here, are some of the reasons why uber is in trouble.

  • Tipping

We all know that uber estimates the cost of ride beforehand. People assumed that uber took 20% tip on each ride but that’s not true no tip was taken not by uber. Earlier, it was even easy to get a cab by just raising the hand than fiddling with the phone for five minutes.Though uber has added new tipping feature in the app but still many people are not aware of it. Uber doesn’t allow you to tip the driver directly nor is it helping the passenger by adding up the tip in the travel price. Thus, the simple tipping has become complex.

  • Uber drivers aren’t always a happy bunch

We all know that not all the drivers we meet are good. Sometimes our ride is as good as a fairytale ride and sometimes it is like hell. Though during the start the drivers were good but after the increase in popularity of these rides the drivers have become rude. If we cancel a ride we have to pay a penalty to the uber but nowadaysdrivers come near the location and then cancel the trip which is in turn charging the customer to pay the penalty.

Even the new feature of uber is creating havoc for the customers and thus decreasing the use of uber cabs. Now the driver can rate the passengers but it was found that many of the passengers were rated the customers low. Thought it can be genuine but still it has been a debatable point as to how so many passengers got low ratings. These ratings have been a point of concern as if the passenger has a less rating then that passenger will be kicked off from the app.

  • The crisis trial

The starting of 2017 didn’t experience a good start for uber; and now just at the halfway through the year and this $69 billion ride company has lost its CEO. Many other executives and 20 of its employees were fired as it’s has been engrossed in several scandals one after another.Uber experienced more than 200,000 customers deleting the uber app in just one weekend. This began with the delete uber movement as customers were upset by the service provided by them. This all eventually led to the resignation of the CEO of the company.

  • Threat to the business model

Uber is raising a new round of financing that it hopes to close this quarter at $48.77 per share. There is a talk of an uber IPO but due to poor financial conditions and also due poor market conditions have created and urge to delay IPO; there are even rumors that the idea of IPO will be discarded. Then there is even a battle going on whether the uber drivers should be considered as employees or as contractors. Most of the drivers are thinking that they should be fully-employed by the company but this will be expensive to the company. Increasing competition in this field is forcing uber to invest more money in advertising and increasing its performance.

About Andrew

Hey Folks! Myself Andrew Emerson I'm from Houston. I'm a blogger and writer who writes about Technology, Arts & Design, Gadgets, Movies, and Gaming etc. Hope you join me in this journey and make it a lot of fun.

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