Monday, June 8, 2015

Uber Spends Heavily to Establish Itself in China

http://www.nytimes.com/2015/06/09/technology/uber-spends-heavily-to-establish-itself-in-china.html?ref=world&_r=0

Uber is paying their Chinese drivers sometimes twice the amount of their collected fare. Uber is working hard to fight the Chinese push back on Western technology start ups. Despite all of the government set backs, citizens are flocking to the service in order to get a cheaper rate, a more polite driver and complimentary water.

Although the feed back from citizens has so far been positive, and drivers are flocking to the company, the Chinese market is fickle and eccentric. Chinese citizens also tend to utilize only Chinese brands.

Uber is currently operating in 9 Chinese cities with plans to expand in the near-future. As a counter-active measure employed by the Chinese government, many raids have taken place at Uber offices. These raids are under the guise that the drivers hired are unlicensed and therefore questioning the legality of the business. These small actions, however, have not deterred Uber from paving their way through China.

Lauren Edmunds

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