Introduction of Uber Application
With the passage of the time, there occurred innovations in every field of life (BurgeSmani and Wheelwright, 2004). Same is the case with conveyance industry in which new taxi services have made the journey of the people very plain sailing. One of the paragons of the technological improvement is the Uber taxi service that has become very popular among the people with a very rapid pace (Rempel, 2014). This service can be availed with much ease. The only thing people are to do is to take the assistance of an application. The client will have to put all the ins and outs where he wants to go and will order a taxi. The fare and other specifications will be discussed at the time of putting an order. Using this application is like putting an online order for the service.
The taxi companies are required to register on the application so that the necessary information regarding the people who require taxi could be sent to them. Uber Technologies Inc. is an American online taxi service provider organization that got pomposity with a rapid pace (Rogers, 2015). It got famous all around the world due to the difficulties people faced while hiring the taxi. It was invented in the year 2009. Now the people are just required to download the application and to hire the taxi to go wherever they want to go. Uber application is being used in more than 350 cities of the world. It has been expanded to 60 countries of the world and is gaining strength in more and more countries. This much expansion makes it the phenomenal application with that much reputation.
The company is earning a huge amount of money due to the innovation of the application. This has become possible due to the services provided by the application to the people. Indeed the traditional way of hiring the taxies has been replaced with the new and up-to-date one. The interesting thing is that the application can be used anywhere with ease; the only thing required is to be having the Smartphone to use it. The location of the local areas is set with the assistance of the GPS system that help locating the place where one wants to go to (Bischoff et al., 2015). All the services provided by the application are not limited to the people, but it also helps the taxi drivers to locate the position of the persons who want to travel.
The drivers are required to be registered on the application and they are also required to provide all their information so that the people of the local areas could be provided with the services they need effectively and efficiently. On the other side, it is also the condition that both of the stakeholders are required to be online for getting the most advantage of the application. From the time of the innovation of the online taxi hiring application till this time, it is getting reputation all around the world. The traditional taxi services are getting registered over it to expand their business and to provide the travelling services to more and more people. The transfer of the payment will be done online through the bank account.
The rising challenges for the traditional taxi service
The traditional taxi services are slack and they cannot live up to the expectations of a very huge population. They are cheaper and most important of all they are not qualitative. Actually the whole structure of the application is based over the provision of the quality. The focus of the management of the company was to provide the taxi service to the clients to their doorsteps so that they could feel ease while hiring the taxi. There is a logical question when the services provided by this application are extraordinary, that is this application has changed the traditional ways of hiring the taxi? There are various ways and factors that have differentiated it with the traditional taxi service. It is for sure that the traditional ways of hiring a taxi can only be observed in the least developing countries only, and even they are also transforming this system.
It is the assistance of the internet that has revolutionized the performance of the traditional organizations. People are more tended towards the products and the services that provide power in their hands. The companies have made their applications and websites that help them getting their purpose fulfilled. The purpose that they wanted to be fulfilled was tackling the companies providing the same services to the people. Unfortunately the rise of the internet has intensified the competition (Bakos and Brynjolfsson, 2000). Now the organization that has no presence over the internet cannot survive. This is true that even in the developing the taxi services are getting changed, and the taxi services are being gotten over the internet.
High level of competition
The level of the competition varies in every country as the features of every country are different. There are countries where till this time; there is improper structure of hiring a taxi. These countries are mostly the developing and the least developed countries of Asia and Africa. On the other side, there are countries that are having a number of organizations that are providing taxi services to the customers. These are the developed countries and include United States of America, United Kingdom, France, Germany, and other likewise countries (Krausmann et al., 2008, LaST, 2010). These countries are considered to be discoverer of the technology and the business over the internet. In fact, Uber application got successful all around the world, because the people in these countries accepted it and recognized its potential to provide high level of services.
The company has been able to tackle the competition with accurate policies. It never loses any opportunity to fill the needs of the customers quality-wise. It is the matter of understanding the needs of people. They want cozy and comfortable journey within reasonable amount of money, and this dream is fulfilled with the use of the Uber application (Chassin and Msaid, 2016). By using it, people can find out the taxi which is nearby to them and they can travel on it. This application is matchless than the traditional ways of hiring a taxi. With the modernization, it is now obligatory over the taxi companies to ensure reduced and fair prices, convenience, quality, and lesser waiting time. These are some of the factors that if are found in a taxi service provider, there will be no match of the company. In fact Uber as hiring taxi service has all these features as compare to the previous or traditional taxi services.
Involvement of the quality
The quality is the first and the foremost requirement the people are looking for (O’Neill and Palmer, 2004). There is always a dire need to find out the quality in the product or the service. The customers find the product or the service attractive that best fill this desire of quality. Quality should be found in every process in which the company is involved. Uber Dispatch Company has all the qualities the customers need. Due to it the prices of hiring the taxi through Uber are lower than the other taxi services. The cost of travelling is calculated in accordance to the distance covered (Longhi et al., 2016). In the traditional services, it was not possible; the rents were the cause of trouble for the drivers and traveler. There was no yardstick that could have measured the rent for this service and if there was, it was troublesome to rely on that. Through Uber, it becomes simple and easy to travel on taxi. The journey became free of any tension. From hiring to reaching the destination, the whole process became exceptional.
Taxi Dispatch Companies are those that have been the part of the taxi service industry before the innovation of Uber application. The management of these organizations used to demand the driver to enlist their taxies and pay some amount of money to get the clients. With the innovation of the Uber application, there was not such sort of policy of paying any amount of money for registration. The drivers can register on the application without paying any amount of money, and they will have access to the clients who are waiting to gain any taxi to go to their destination. The company is having the resources of more than $17 billion. The resources are rising with the passage of the time and the reason for this is the increasing level of the quality.
After the qualities in taxi industry with discovery of this application, there are various risks that are attached with the taxi industry and should be taken into account. And at the time when the taxi services are being done over some application like Uber, there are then the diverse risks that make the situation tougher and complex. First of all, for the taxi driver, following the traffic rules and regulations is very important and necessary (Kerner, 2012). There should be proper implementation of the traffic rules and the drivers should be trained in every matters related to the road safety. They should also advice the passengers to act in accordance to the prescribed rules and regulations and should not disturb the drivers. Sometimes, the application might not give the desired results and can cause damage.
Uber application is the best example of the innovation that has revamped the hiring a taxi structure. It is really plain sailing and comfortable way of hiring the taxi. People from major cities of the world are taking its assistance to have not only a comfortable journey but also a safe one. One is just required to provide all the details so that everything could become clear to the driver. The special service providing team of the company will inform the driver of the relevant details so that the customer could not be asked again and again regarding the destination or the rent. The cost of the travel is settled on the application and the payment is to be paid by the bank account of the customers. In fact, the whole journey becomes outstanding with Uber application (Rempel, 2014).
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