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How does creating and maintaining competitive advantages in a platform business like Uber’s differ from a vertical chain business like a taxi company?

User Ctietze
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Answer:

Step-by-step explanation:

It differs from those adopted by taxi companies because platform business most times embrace a monopoly approach because they take over the market. Platform business have strong network effect and multihoming cost and they don't have a taste for service, therefore there is the consideration of strong Internet based network which connects drivers to customers which is a competitive advantage. There is the e-payment platform. The organization does not mange drivers or seek patronage since they do not bearing homing cost. Their only aim is to create a connection between drivers and their customers.

User Aruni Godage
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