Uber certainly had cash flow problems before this started, but even companies with healthy cash flow that operate in heavily hit industries are going to feel this. For example, Expedia recently laid off 3,000 if I remember correctly.
755 karma · joined October 9, 2014
Uber certainly had cash flow problems before this started, but even companies with healthy cash flow that operate in heavily hit industries are going to feel this. For example, Expedia recently laid off 3,000 if I remember correctly.
We can talk for hours about all the things Uber could certainly could have done differently throughout their history that - maybe, possibly, in a parallel universe - could have prevented this from happening. But they are where they are now, and there's no "good way" to lay off 3,500 people in a situation like this.
Also, to the sibling here - there's simply not enough information to suggest that these employees could not ask questions at all. At least by my read, that's not stated anywhere, and unless explicitly stated otherwise my assumption is that they were provided with the contact information for someone if they had questions - as this is typically how most companies would handle this, particularly at Uber's size.
It only includes Shopify sellers, and of those only the ones that choose to be listed on Shop, but with the Shop app and their new fulfillment network, I think Shopify is currently best positioned to become a real threat to Amazon.
If there really was one answer, and the answer was just as simple as "get rid of the whole management team, and you'll have a much better product at the end" then I have to imagine companies would have started doing this already. My experience being on both sides of this coin in my career is that: it's just not that easy.
Then, on top of that, you've got 91 million monthly active users. Assume each one takes only one ride per month, and only 1% of them have some kind of issue that requires them to reach out to support - that's still 30,000 new issues per day many of which will require coordinating between both parties involved in the transaction.
Do they have more employees than they need? Define need. It's easy to hire above what's necessary to sustain operations when the cost of capital is cheap. More people can develop new products and grow margins for the business overall. But Uber is seriously far from "an app together with some driver administration" any more than Amazon is "a website with some seller administration."
We're typically not apologizing for the act itself, we're apologizing for the effect it had. We don't mean "sorry for writing code with bugs in it", for example. We mean "sorry the bugs in the code caused you problems."
In other words, the bar for quality and capability in all products we use on a daily basis continues to rise. That has the direct effect of raising the expectations that consumers and businesses have for new products they want to purchase, and thus the cost to build them. That translates to more time needed to deliver something meaningful to market, which is also likely correlated with higher amounts of VC funding concentrated in a smaller number of companies (pre-COVID)