Uber is having a similar problem in Sweden. The taxi market is possibly too unregulated with two-three larger regional or national companies that focus on quality and compete on good prices, and a bunch of scammers that try to have identical cars but much more expensive fares.

Uber is only able to compete with the scammers somehow, and as they pay no tax, insurance, employment tax, social costs, etc, and use drivers accounts in the middle east for payments which probably is not a sold tax and money laundering strategy etc, it's not hard to see why.