The emergence of Uber has influenced many services to follow the Uber business model.

There are similar firms that offer ride-sharing services, and there are firms that want to be an Uber-type business in the way they deliver goods and services. For example, Cargomatic has developed an app to help fill space on trucks. Cargomatic, which now operates in California and New York, has been called the Uber for truckers because it connects shippers with drivers who are looking for extra shipments to haul. This is signaling a shift in the industry, in which people are the infrastructure rather than buildings or fleets of vehicles.

Uber faces a number of ethical challenges, including regulatory and legal issues both inside and outside of the United States. Laws that protect consumers specifically target taxi services, whereas Uber defines its services as “ride sharing” and Uber as an “agent” of their “individual contractors.” However, many courts do not view its services in the same way and are forcing Uber to comply with licensing laws or stop business in certain areas.

Additionally, snafus by Travis Kalanick and Uber’s aggressive corporate culture has led to Kalanick’s resignation as CEO.

Despite Uber’s challenges, the company has become widely popular among consumers and independent contractors. Supporters claim that Uber is revolutionizing the transportation service industry. Investors clearly believe Uber is going to be strong in the market in the long run.

Uber has a bright future and expansion opportunities are great. It is therefore important for Uber to ensure the safety of its riders and the drivers. It should also adopt controls to ensure that independent contractors using its app obey relevant country laws. Uber has to address these issues to uphold the trust of its customers and achieve long-term market success.

Questions:-

1. What are the ethical challenges that Uber faces in using app-based peer-to-peer sharing technology?
2. Since Uber is using a disruptive business model and marketing strategy, what are the risks that the company will have to overcome to be successful?

3. Because Uber is so popular and the business model is being expanded to other industries, should there be regulation to develop compliance with standards to protect competitors and consumers?