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Uber Resources

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Submitted By diamy0511
Words 348
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Technology

Uber increases efficiency through various technologies, which lowers the cost. Therefore, Uber is able to provide lower prices charged to customers, and become more competitive in the market.

Technology can be divided into two components, the app technology for consumers and the demand calculation technology at the firm. The Uber app is available for iPhone/Android devices and uses GPS from the requested pickup destination to display a map of all available Uber cars in the area. Uber calculates the nearest driver and plots your pickup time accordingly. Each driver is also given an iPhone with an app to manage incoming customer requests. Therefore, Uber drivers know exactly where they should go, instead of driving around and looking for customers.

The demand calculation app employs prediction algorithms and heat maps to predict expected demand at different times of the day. It analyzes how many times the app is open and where clusters are located to help manage taxi supply and demand. The result: “shorter waits for riders and busier, more efficient days for drivers”. (Devin McClaine, “Rider Seeking Taxi Driver”, San Francisco Business Chronicle, February 3, 2012, http://www.bizjournals.com/sanfrancisco/print-edition/2012/02/03/rider-seeking-taxi-driver.html)

Uber also employs Willingness to Pay (WTP) to increase revenue. Sometimes, cab drivers would refuse to service you if your destination is either not somewhere they like or it is not worth the fare. However, Uber increases perceived benefits by improving the output, thus increasing Willingness to Pay (WTP) by consumers. This helps Uber to summon service that might be rejected otherwise.

Human Resources

Uber driver is an important reason that Uber can serve wide range of customers in a timely manner while keeping the cost down. Uber drivers have flexible schedule that hey can

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