CHINA TOPIX

11/21/2024 11:03:31 pm

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Taxi Apps In China Fails To Get The Nod Of The Government Despite Being Welcomed and Utilized

Uber

(Photo : Reuters) Taxi apps in China, such as Didi Express and People's Uber, fail to get the approval of the government despite being operational and utilized by the local people.

Taxi apps in China, such as Didi Express and People's Uber, fail to get the approval of the government despite being operational and utilized by the local people.

Recently, Uber's highly publicized raid in their officers provided a blank point wherein the government is urged to reconsider and declare these taxi apps as legal. Uber has been very much patronized by local commuters and their style of getting more customers by providing free app and interesting incentives has been so effective, more and more local taxis are being left empty handed, according to Bloomberg.

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Yang, 41, who commutes to her work from home said, "I just go for whatever is cheaper, there is no loyalty here. Almost all the cars are better than Beijing's dirty and smelly taxis."

Rivals Didi and Kuaidi has been working hard on putting out enough capital share of $1.5 billion to shut down Uber in China. Didi Kuaidi has recently announced that they are giving away $161 million worth of rides in order to top off their current competitor, Uber and Yidao Yongche. Didi Kuaidi is currently the leading app in car hailing services in China, occupying 78 percent of the country's taxi bookings.

Wendy Huang of Asia Internet and Media for Mcquarie Bank Ltd. said, "It will be challenging for the new comer to grab a piece of share from the existing players, but given Uber's global presence and their success in other markets, the existing players cannot really take the competition from Uber lightly."

According to TechInAsia, the suggested legalization of the said Taxi app has not been without the influence of millions of people patronizing and utilizing the said app. Customers may have to wait for a much longer period of time in order for the app to be legalized and considered valid.

In another incident, taxi drivers cause hiatus after they supposedly hired a private ride through the Uber app and directly led the driver to the authorities. A warning issued by Uber against any driver sticking around protest areas went viral stating, "If you are on the scene, please leav immediately. Trust Uber."

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