There is often a lot of concern with new platform business models, such as those of Uber and AirBnb, and their potential monopoly power in a given market.
The larger lesson for Uber is that it needs to better understand cities before it decides to enter them. While Uber can run the tech platform from its headquarters, most facets of its operations are local: drivers, riders, regulators, prices, cultural practices, among others. Uber understood this dichotomy from the start, but its operating model veered between centralization on the tech side and hyper-localization on operations,
So I found TaxiStartup
, which l spotted on ProductHunt this week, super interesting. Essentially it’s a toolkit for people who want to start Uber-like services charged on a SAAS basis. Dramatically lowers the cost of entry for firms in this market, and might allow local competitors to make a dent against the globally dominant platform.