[PeterisP]

A bootstrapped Uber-like company can't survive the entry of a funded Uber-like company in that local market, as their expected initial promotional campaign and discounts will have you running at a loss for months which you can't afford unless you have substantial cash reserves.

This particular example (prolonged "dumping" of services far below cost in the business of taxi-like-services) is what we've seen in practice a bunch of times in many cities as there have been multiple 'waves' of richly funded new entrants trying to come in.

[hef19898]

Taxi services are doing just fine, even if the are pressured by Uber. So there is that.

[Retric]

Taxi are allowed to pick people up who hail them on the street or at a subway stop etc. That’s a huge protected revenue source.