Uber Answer Key

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1.

Ethical Challenges for Uber:

- Safety and Security:

- Uber faces ethical concerns surrounding rider and driver safety, necessita ng robust safety measures.

- Surge Pricing:

- Ethical dilemmas arise with surge pricing during emergencies, challenging the need for fair and transparent pricing.

- Example: The 2014 Sydney hostage crisis showcased public outrage over Uber's surge pricing, demonstra ng the
ethical concerns associated with poten al exploita on of crises for financial gain.

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2. Risks Associated with Uber's Business Model:

- Legal and Regulatory Risks:

- Uber's classifica on of drivers as independent contractors faces legal scru ny, requiring adapta on to varying global
regula ons.

- Example: A 2015 ruling in California classified an Uber driver as an employee, illustra ng the prac cal legal risks
inherent in Uber's business model.

- Driver Sa sfac on and Labor Rela ons:

- Ensuring driver sa sfac on is crucial for Uber's success, requiring the management of labor rela ons.

- Example: Global protests and strikes by Uber drivers in 2014 underscored the prac cal risk of driver discontent
impac ng Uber's opera ons and reputa on.

- Compe ve Risks:

- Uber faces global compe on, necessita ng strategic decisions to adapt to market dynamics and innova on.

- Example: Uber's 2018 exit from Southeast Asia, ceding opera ons to Grab, exemplifies the compe ve risks and
strategic decisions needed to navigate diverse regional markets.

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3. Regula on and Compliance for Uber:

- Balancing Regula on:

- Striking a balance between regula on, safety, and innova on is essen al for Uber's opera on.

- Example: Uber's 2017 license threat in London due to safety concerns illustrates the prac cal need for regulatory
compliance while balancing safety and innova on.

- Standardizing Safety Measures:

- Implemen ng safety standards is crucial, mee ng regulatory demands without impeding opera onal flexibility.

- Example: Post the Delhi incident, Uber implemented safety features, showcasing a tangible response to regulatory
demands and a commitment to user safety.

- Fair Compe on:

- Regulatory measures should foster fair compe on between tradi onal taxis and emerging ride-sharing pla orms.

- Example: Uber's exit from certain markets emphasizes the challenges of compe ng against local players, emphasizing
the need for regulatory frameworks suppor ng fair compe on.
1. Ethical Challenges for Uber in App-based Peer-to-peer Sharing Technology:

 Safety and Security: Uber faces ethical concerns related to ensuring the safety of both riders and drivers.
Issues such as inadequate background checks and incidents of violence raise ques ons about Uber's
responsibility in providing a secure pla orm.

 Surge Pricing: The ethical dilemma of surge pricing during emergencies or high-demand periods
challenges Uber's commitment to fair and transparent pricing. Cri cs argue that such prac ces may take
advantage of vulnerable situa ons.

2. Risks Associated with Uber's Disrup ve Business Model and Marke ng Strategy:

 Legal and Regulatory Risks: Uber's classifica on of drivers as independent contractors faces legal scru ny,
and varying regula ons worldwide pose challenges to its opera ng model. Resolving these legal disputes
is crucial for sustained success.

 Driver Sa sfac on and Labor Rela ons: The risk of driver dissa sfac on, coupled with poten al labor
disputes, could impact the availability and quality of services. Ensuring fair compensa on and addressing
drivers' concerns is essen al for long-term success.

 Compe ve Risks: While Uber dominates the ride-sharing market, compe on from other pla orms and
poten al regulatory changes could pose a threat. Adap ng to evolving market dynamics and staying
ahead in innova on is vital.

3. Regula on and Compliance to Protect Compe tors and Consumers:

 Balancing Regula on: Striking a balance between regula on to ensure safety, fair compe on, and
protec ng consumers without s fling innova on is challenging. Well-thought-out regula on can enhance
the industry's credibility while fostering healthy compe on.

 Standardizing Safety Measures: Implemen ng and adhering to safety standards, including thorough
background checks and insurance requirements, can address concerns related to rider and driver safety
without impeding Uber's opera onal flexibility.

 Fair Compe on: Regulatory measures should aim to create a level playing field for all ride-sharing
services, promo ng fair compe on. This includes addressing concerns raised by tradi onal taxi services
while encouraging innova on in the transporta on sector.

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