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Uber, a ride sharing platform, has changed the world. It has gained appreciation and hostility in equal measure.
One such incident was when many US cities conspired together to make the service illegal. These efforts failed and Uber is a thriving business where anyone anywhere can use the app to book a ride.
Dig further into how the company works for one moment and it’s easy to see how it could transform latent industries. Developing industries are more likely to utilize new technology and innovations than anyone else.
Let’s see how this model has the potential to transform latent industries.
Making Existing Business More Efficient
A report from Princeton University revealed that regular Uber drivers were working fewer hours and earning more money than regular cab drivers. This report should come as no surprise because this is why many traditional cab drivers were determined to make Uber illegal in the first place.
But what it reveals is that technology has the potential to allow various latent industries to take what’s already on the market and make it more efficient. This model has helped reduce operating costs, and that has meant a better deal for both service providers and customers.
The Concept of Breaking Down Large Tasks
What Uber demonstrated was that full-time job positions can be broken down into smaller tasks for the purpose of outsourcing.
Companies are set to be slimmer than ever before. Employers are realizing that they have no need to hire full-time employees; instead they can outsource or hire freelancers as and when needed.
Will Latent Industries Offer Fewer Full-time Career Opportunities?
One of the effects of this new model is that career opportunities are going to change in the industries that are only just emerging. Latent industries are bound to offer fewer full-time careers because they will be taking on fewer employees.
The chances are this will have an overall effect of forcing more people into becoming independent contractors. Latent industries would rather hire a freelancer for an individual task, as opposed to hiring someone full-time.
A More Technology-Based Industry
Sam Baumgarten, Founder and CEO of Pikkup says, “Business technology in recent years has served to advance the progress of many industries, and latent industries are no exception.”
Uber is a prime example of what can be done with technology.
Now, you can book a driver to pick you up by using an app. It’s an example of technology making life more convenient for both the service provider and the consumer.
The latent industries have a lot to learn from this. New businesses and new companies in the coming years are going to be using this model more often. Many of their services will be automated, and crucially they will be driven by the community.
Most companies actually do very little to manage this platform. Providing the service and ordering the service is entirely in the hands of users. This is what has made it such an effective business model.
Has this Model Changed the Business World Forever?
There’s no doubt that Uber has done more than simply providing an alternative to cab drivers. They have shown many industries what can be done with technology and what can be done with the changing position of employees. Not only are latent industries set to benefit, but there’s a strong chance that the entire business world as a whole is set to change.