You don't believe that network effects, or first-mover advantage, play any role in the ride-sharing markets? You think it's 100% about price?
Peter Thiel would like to have a word with you. We're supposed to be building monopolies that no natural market force can topple.
>> Peter Thiel would like to have a word with you. We're supposed to be building monopolies that no natural market force can topple.
For Netflix, sure.
People spend a considerable amount of money on Uber/Lyft etc at least in NYC where I live, thus many would respond to a competitor with a 20% to 30% discount or more. This is possible in NYC because the rates are so much higher than other cities.
But there are a lot of people who need taxi like services that are price sensitive. Think of elderly who aren't able to drive or use mass transit so well and are on a fixed income.
This is the comment I was responding to.
If the drivers provide a services at sufficient lower costs than Uber (something easy to do in NYC at least) then they won't have to worry about Uber.