The most recent combats on the road transportation is all about
who has a right to take passengers from one point to another. According to new
trendy services, let pedestrians hire a car and drive through smart phone
application it is because their credit card information is already on file and
there is no need to mess up with cash problem.
Some find this option easier, convenient and responsive than call
a cab on the corner of the street. But taxi operators are always be the subject
to rules regulation and licensing cost.
The Taxicab, Limousine & Para transit Association mentioned this
to “a serious threat to public safety” which represent around 1100 cab
companies. Recently a campaign has been launched “Who’s Driving You?” Objective
of this campaign is to make passengers aware of risks the group of people says
they are unprotected to when they get in a car from a riding share company.
They are not insured, there isn’t any training or check of
drivers. According to Dave Sutton, a spokesman of the campaign “This service
also lacks basic public safety mechanism”
Dave Sutton added “When people travel with strangers through any
transport there is always a clear element of risk exist, and cities across
Unites States have come to recognize that the taxi cab industry is now require
a careful authority for public safety issues,”
Some rival companies
have reverted the rules and regulation of safety issues for the passengers, and
are not even following it. Companies include Uber, which is available in around
33 countries and some 40 cities in N.America. Its UberX division delivers
licensed citizen drivers who can make their cars available for hire.
Another Company, Lyft is operating around 24 cities of America,
matches passengers with licensed motorists who have signed up to provide the
service. Although driver decorates their cars with giant pink mustaches and
welcome their customers. In some places drivers get donations rather than a
taxi fares.
Some companies said they do extensive background check on the
drivers as well as riding fare rate of a passenger after a ride. Both Lyft and
Uber are extremely popular in customers because they offer real time service to
the customer,” said Siona Listokin, Asst. Prof at the School of Public Policy
at George Mason University.
She also said that you
don’t have to wait outside and for the typically around the same price of a
regular cab service. “It’s especially when you want to travel in a new city for
any reason” she added.
Company like Uber claims
it’s a market place rather than a taxi company. It also claims that it doesn’t own
only cars and employ drivers. Even the last months, the company announced that
it was increasing background of extensive checking process and even in last
week it has a covers a potential Insurance gap. Besides that Lyft said it is
providing drivers with excess liability insurance around $1 million per incident.
In
addition to regulatory issues, Uber has also come beneath fire because of its “vibrant
pricing” policy, which can lift the cost up of a fare several-fold during times
of peak demand, like New Year’s Eve.
Listokin
comment “Who’s Driving You?” campaign calls it “price scoring,” and she also defined
the campaign a free market at its core, and customers have already experience
somewhere else. Uber is on a fine way she also added. She explained about the
market scenario that if you allow vibrant pricing double than regular price,
then that could be a disaster in market.
Still
she forecasted that both the companies that is, Lyft and Uber will continue to
be in growth stage during this time traditional taxi services will be
developing their own application for ease of customers.
