[TheTrotters]

I don’t think I buy this reasoning. Operating a taxi doesn’t require a huge capital expense. So even if we accept your premise, once Uber raises prices way above what they used to be, someone can just create an old-schools taxi company with a decent app, lease cars and go ahead.

But I don’t buy the premise in the first place. Cab companies aren’t going out of business in any city which I frequently visit. They improved their offering (apps, you don’t have to pay with cash etc.) and they’re competing just fine.