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Uber gives 50% of total value it earns to the drivers. That's a competitive disadvantage.

Added over 1 year ago | As appeared first on techcrunch.com | Author: Kyle Samani
, Uber will be the dominant player in the ride-hailing business. Why? Because Uber's business model is predicated on localized marketplaces of supply and demand for drivers. These localized marketplaces create strong network effects and "winner-take-most" markets. The localized network effects are built on local liquidity of supply and demand for drivers and riders. This can be best summed up by this image that Gurley features in his post. What does the self-driving car mean for Uber? The thi...
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