eKAPITAL (May 2017) | Page 10

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Channing Liu

system, consumers can directly talk to producers and rate their services publicly incite the producers improve services, allowing identifying and differentiate good behavior from poor behavior and contributing a more transparent, sustainable and equitable competition.

Airbnb a lodge website that allows individual rent out their rooms for a short amount of time to strangers who paid via the platform. The host upload the pictures of the house and set up the price before potential clients approach and make the reservation. The rating is a key for clients making the decision so that the hosts have to market themselves and perform in ways that ensure returning and new clients. This cause the drop of price and service improvement such as consumers are able to get an entire house with the price of a five star hotel room and a different experience of staying and the hosts to rent out couple hours of all kinds of activities such as hiking, bike riding, calligraphy, sculpture, yoga and etc.

Uber is a car sharing website for car owners sharing rides with people who are in need. It’s fairly cheaper than taxi, easy to access and has a range of choices such as UberX, UberPOOL and cars with accessibilities. Because of the restriction on Taxi numbers, which cause the price rising to meet the demand, there are often times you just can’t find a taxi. Now with Uber you can easily reach and locate any car with a range of choices all by one App. To register for Uber drivers, it usually takes much shorter time and does not require a plate. The drivers can choose his own working hour flexibly either between jobs or as a complement to other jobs while the average taxi driver in Paris has a up to 66 working hours per week and 240,000 Euro debt to be paid. The platform itself often offers codes and discounts to attract consumers. The drivers will have a nice clean car and better service to increase its ratings.

Despite all the benefits, there are always issues. The nature of the business determines the job, just like any other free-lance, is not always stable and profitable and often causes exploitation, which makes it no better than a 19th century-style “share the scraps” economy. The producers as the independent contractors are often vulnerable as the companies are not responsible for expenses and benefits, or providing any modicum of security.

Another issue is the absence of regulation, which is seen “facilitating a bunch of rip-offs” (Baker, 2014) of tax revenues and also of the consumer. Due to its lack of user governance and control, the problem of amoral and socially destructive profit-seeking arises as that of capitalist free-market, such as fake listings on Airbnb, Uber driver taking advantage of price policy.