Ubers International Expansion

Uber created a GPS-enabled app for customers to use to summon rides, usually from a private car company instead of a regular licensed cab, promising a quicker response time. The Berlin Taxi Association successfully sued the company in the Berlin court system.

In the opinion of Ms. Kroes, this company is not helping the passengers but rather protecting a taxi cartel. Uber is not complying with local licensing rules; furthermore the company doesn’t have the correct approvals to operate in the European city. In Paris, angry taxi drivers reportedly attacked Uber cars during recent protest against the service. They complained about the fact that the private cars of Uber do not pay 300 Dollars for a taxi permit to operate in the French capital. Furthermore, they claim that the company steals their tips.

Additionally, Neelie Kroes criticized the Berlin court’s decision as “behind the times”. Uber is pushing for more innovation, as well as use of social media in business. In Ubers opinion, taxi drivers are resisting increased competition. Moreover, the taxi drivers hanging on to the old fashioned ways of taxi service prevent people from having more choices.