Innovations in Taxi Industry: Model and Possible Regulation

Student: Mozhevitin Mikhail

Educational Programme: Joint HSE-NES Undergraduate Program in Economics (Bachelor)

Final Grade: 8

Year of Graduation: 2016

The launch of new modern technologies changes old market structures and shifts profits distribution between the players. Taxi aggregators using multi-sided platform business model made taxi services simpler and cheaper. Decline of the role of taxi companies in conjunction with sharp decline of fares caused protests of taxi drivers demanding implementation of regulation of aggregators. This paper uses multisided platform approach to construct the model of competition between aggregators. The model aims to describe the competition between platforms and behavior of the market players: aggregators, passengers and drivers. This paper tries to answer the question of industry future, problems regarding protests of taxi drivers and possible regulation of the industry.

Full text (added May 10, 2016)

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