Phy/323 Ethics in Management: Uber’s Ethics

Uber’s Ethics in Question

Team C: Quincey Flowers and Christina Peacock

PHY/323 Ethics in Management

10/08/2015

Instructor: Brenda Boyd, PH.D.

        Uber is a relatively new startup company that offers taxi like services via mobile devices. The company itself went from an idea to mega force in the business world by amassing a fortune that is worth over 17 billion dollars. Although Uber has astounded the business world as of late they have been the target of criticism for their ethical practices by employees towards competition. Uber employs average people via mobile application to provide rides to individuals around the world. In 2013 another company surfaced which now made the concept a competitive market. That company is called Lyft. They offer similar services as Uber. The company is being criticized, because Uber employees have been using unfair tactics to send Lyft drivers on calls that are bogus. Is Uber responsible for these actions? This is the question that needs to be answered (McGraw, A. 2014, retrieved Oct. 8, 2015).

        Since 2008 Uber has had this market to themselves. The idea of being able to get a ride without the hassle and wait involved with taxi services has taken the market by storm. The way it works is the consumer downloads the app to their mobile device, enter their credit card information, and then are able to dispatch a ride anywhere at any time. According to CNN, Uber has being employing tactics that have been identified as aggressive towards competitors in an effort to keep control of the market. Their competitor Lyft recently released information that Uber employees were engaging in unethical conduct by ordering and canceling more than 5,000 Lyft rides since October of 2013. These bogus orders were placed in an attempt to distract Lyft drivers from real customers. It also decreased the trust of Lyft users and influenced them to used Uber instead. This type of conduct not only effects the company, but the income of Lyft drivers as well. After considering the time and money that is wasted going to these bogus calls affected the driver more so than the company. These aggressive tactics are purely unethical and maybe even illegal (McGraw, A. 2014, retrieved Oct. 8, 2015).

        In New York Uber has been telling their drivers that it illegal to drive for them and another taxi service. They have been sending their employees messages via text, telling them they are forbidden to drive for another company. Which has been proven to be false. There are not any laws in that state even resembles the basis of the law Uber has claims to be enforcing within their company. Some would say that Uber has set all ethics aside in order to control the market (McGraw, A. 2014, retrieved Oct. 8, 2015).