 Uber, why they're hated? I have a question for you, why do you think Uber is hated? Uber at the moment is on the stock market at currently around $24 a share and it's down over the year on 50% year by year. They state on the website that they are a tech company that connects the physical and digital world to help make movement happen at the top of a button and because they believe in a world where movement should be accessible. In this video we will go through why they're hated and the information behind that so stay tuned. A recent study using data mined from Twitter has found out that negative sentiment towards Uber is at an all time high. Rave reviews, the company behind the research used the research tools, senty strength to evaluate sentiment from over a million brand related tweets. These were then used as information to establish a hate rate. The hate rate is simple to the percentage of negative tweets given to a brand. Their research actually found out that Uber tops the rankings in both the UK and US as the UK's hate peaked at 47% and it was slightly higher in the US reaching over 48%. Uber has repeatedly argued that their drivers are self-employed or independent partners meaning Uber has no responsibility for holiday, sick pay and elements of workers rights that you could otherwise get at a different company. With classing themselves as independent self-employed contractors to the company it means that Uber takes on less responsibility when it comes to workers rights. Another reason for Uber's hate is that they are trying to aggressively monopolise a specific area with increased Uber drivers. This is bad locally for the taxi firms that are not associated with Uber but also Uber drivers themselves. The more supply they provide within an area, the reduced in demand. It makes it harder for Uber to get rides and often drives down prices. This combined with the issues of workers rights can make it incredibly difficult in some areas. Uber is also a heavily centralised system where the drivers have very little say. Uber sets the actual fares which means they dictate how much a driver can earn. Uber sets the contract terms and drivers has no say in those contract terms and ride requests are constrained by Uber who can penalise drivers if they reject too many of them. Uber monitors a drivers service through the star rating and they can terminate the relationship if after repeated warnings this does not improve. On the other end of the spectrum beyond monopolisation in a specific area is also the term surge pricing which has heavily been adopted by Uber themselves. According to Uber's website, surge pricing is introduced when there aren't enough cars on the road to meet demand. This is due to peak times or bad weather or large events like football matches or festivals. Following the Euro 2020 finals the price of an Uber was 4 times higher than the base rate. Uber state that the reason for the price increase is to ensure that those that need a ride get one. Riders who don't need a ride desperately can choose to wait to see if the price has occurred down. At a time with inflation in 2022 surge pricing and raising rates to an unreasonable level when they've actually also pushed out other taxi companies and they have a monopolisation over the area is not good for the consumer because it means you've got to pay more. Albeit at busy times you should expect to pay a little bit more but as much as 4 times the amount is a ridiculous increase and taking advantage of the consumer base. It's previously low fares were only made possible by its exploitative practices as well which we'll go into. In temples business law magazine it states regarding taxi drivers the company's entry into the markets is unfair insofar as it does not follow the same regulations leaving taxi drivers with substantially higher operating costs. Regarding its own drivers the company is now defending various lawsuits in which drivers alleged that it misclassified them as an independent contractor rather than the employee to avoid duties including minimum wage and maximum hour protection and work related reimbursements. Employment statuses might also entitle workers to compensation and insurance and potentially the collective bargaining rights. Ultimately what you have is a situation whereby there is an unfair competitive field regarding Uber versus normal taxi companies. Uber can lower costs and have an aggressive pricing strategy both ways however recently it's been reported in June 2022 that Switzerland's top court upheld a ruling that ride hailing company Uber should be treated as an employer dismissing the company's attempt to overturn a Geneva court's verdict. Uber loses the appeal as top Swiss court rules company is an employer. Uber is able to offer a higher pricing strategy and also a lower pricing strategy because they have lower operating costs and are not necessarily operating on the same level as a normal taxi companies due to the business model and how they operate as a tech company. New York Times has even stated that the company has been accused of committing rampant workplace harassment mishandling medical records and concealing data breaches meaning Uber has been the center of many scandals for over many years with unethical practices and negative values. Uber is soon to be launching Uber 1 which is the ability to pay a monthly subscription of around $10 a month about eight pounds to have the incredible exclusive right of having less extortionate fair prices. They are now going to a subscription based business model to tempt you away from using traditional taxi service further than trying to monopolize the taxi industry. However there is some good aspects about Uber of course the ability to quickly book a taxi on the application, the accessibility of taxis within the area and the ease of use of the application when booking taxes. It's a tech company that's trying to innovate the way in which we travel using a different business model and utilizing technology to create a customer experience. It also gives people job opportunities and flexibilities to work the hours they want. However as mentioned in this video there are many potential exploitative practices, scandals, unethical values proliferated by this company. If you enjoyed this video or found it interesting please leave a thumbs up on the video it would really help the channel out and help it grow. For more interesting videos on businesses please subscribe and also check out my videos on Domino's, Meta and McDonald's and other companies. Thank you.