Question

1. Is Uber an ethical company, why or why not?

2. What is your opinion on the future of Uber?

3. Would you invest in Uber? Why or why not?

Answer 1

1. Uber is not an ethical company for the following reasons:

• Uber breaks laws. They have been ordered to pay more than $160 million in fines and legal settlements.
• Uber uses lobbying for friendly regulations. This is evident from what happened in Portland, Oregon.
• Uber competes unfairly. In 2016 they lost more than $3 billion which can only be attributed to the subsidies and offers given by them and threreby trying to gain monopoly over the market.
• Uber doesn't take safety seriously. They were sued for inefficient background checks of the drivers. When a regulation was passed by Texas requiring driviers to undergo finger print checks, Uber left the city in protest.

2. The future is quite bright for Uber for the following reasons:

• Uber has huge growth potential, especially in developing countries. The number of customers is only increasing everyday.
• It is one of the most innovative companies in the world.
• Uber is focussing of mass transit by entering into other forms of riding like trucks, autos, bikes etc.This is especially relevant in developing countries.
• Uber's focus on reducing fares for the customers.

3. I would definitely invest in Uber for the following reasons:

• Brand name
• It is one of the most valued private companies in the world
• Bright future prospects
• It is similar to Amazon. Though it is not yet profitable, it will be definitely so in the future because of the market share it holds