Eli5: I saw that Uber is still not making money, how is that possible, they have a lot of people working for them, worldwide known and also if they dont make any money how are they still alive?
In: Economics
They are losing money for two main things before they either raise prices or on path to profitability: 1) get enough people to use Ubers regularly and not own their own cars. 2) to survive until self driving cars are viable.
If none of the above happens in time Uber will die a spectacular death but live forever in college business text books.
They did become profitable which allow them to be listed on the S&P 500…. However if they can sustain it is another question because taxis are adapting and people still don’t want to give up their cars (except travelers and people too old to drive).
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