Cox, J. (2017). Uber just lost its licence in London. The Independent. Retrieved 27 September 2017, from http://www.independent.co.uk/news/business/news/uber-london-ban-live-updates-tfl-ride-hailing-app-prive-hire-licence-not-renewed-expires-taxi-a7960856.html
As the world of technology is growing individuals are highly dependent on companies like Uber. Currently existing in around 83 countries1 Uber is currently the largest taxi-hailing app2. Uber is commonly used all over the world, in countries like London, Hong Kong, Brazil, and more1.
So, how did Uber start? Travis Kalanick and Garrett Camp were unable to catch a taxi, one snowy day, in Paris, and so they came up with the idea of creating an app that would provide individuals with a ride to wherever they please3. Individual’s credit cards are connected to the app making it convenient. Through the app, people are also able to see exactly where their ride is and how long it will take for their ride to reach. Furthermore, there are different options of cars they provide, the basic cars are cheaper than the elite cars. However, due to multiple security and safety issues that have occurred with passengers from London, therefore Uber is beingbanned4. Hence, Uber’s chief executive has decided to not renew their license in London, which is expiring on the 30th of September5.
This action, to stop Uber in London, has affected many stakeholders. Firstly, this negatively impacts the 40,000 Uber drivers in London6. Some individuals are part-time Uber drivers, they do it as a hobby and a way to make extra income; however, many individuals are full-time Uber drivers, meaning this is their main source of income. Therefore, the decision to ban Uber in a city where it is greatly used would impact an enormous amount of peoples livelihoods. Secondly, this would impact the economy. Since such a dominant market is shutting down, unemployment rates will rise and the London economy can possibly face a major recession. Thirdly, the consumers are complaining7 because without Uber it will be a lot harder and possibly more dangerous to commute. As a result, 500,000 individuals have signed a petition against the decision to ban Uber in London7.
Since London is such a boisterous big city, shutting down Uber would result in a substantial decrease in profits. Rather than shutting down, I believe the company can reevaluate their business and make improvements. By creating an important urgency matrix, a business plan can be formed. Security and safety checks would be considered as very urgent and very important. To deal with this problem they can start doing background checks and interviews on the individuals that they hire. Furthermore, they can increase the level of security on the information that they attain of their customers. By regulating these checks, they could possibly still operate in London, and continue expanding to other countries without facing these problems.
Words: 442
References:
1 Uber Country and Language List. (2017). Uber.com. Retrieved 27 September 2017, from https://www.uber.com/en-CA/country-list/
2 Uber: the app that changed how the world hails a taxi. (2017). the Guardian. Retrieved 27 September 2017, from https://www.theguardian.com/technology/2017/jan/29/uber-app-changed-how-world-hails-a-taxi-brad-stone
3 The Uber story. (2017). Uber.com. Retrieved 27 September 2017, from https://www.uber.com/en-CA/our-story/
4 Direct anger at Uber, says London mayor. (2017). BBC News. Retrieved 27 September 2017, from http://www.bbc.com/news/uk-england-london-41369617
5 Kollewe, J., & Topham, G. (2017). Uber apologises after London ban and admits ‘we got things wrong’. the Guardian. Retrieved 27 September 2017, from https://www.theguardian.com/business/2017/sep/25/uber-tfl-concerns-vows-keep-operating-london-licence
6 Cox, J. (2017). Uber just lost its licence in London. The Independent. Retrieved 27 September 2017, from http://www.independent.co.uk/news/business/news/uber-london-ban-live-updates-tfl-ride-hailing-app-prive-hire-licence-not-renewed-expires-taxi-a7960856.html
7 How Uber decision will affect young women. (2017). BBC News. Retrieved 27 September 2017, from http://www.bbc.com/news/uk-41365995