Decentralization: The Uber Model
If you’re into tech, you probably asked yourself “Why didn’t I think of this” after first using the Uber app. The incredibly simple idea of decentralization, or distributing responsibility among many instead of a few, has changed the way we view consumption. It has fed our growing need for instant gratification, personalized service, and having whatever we need at the touch of our fingertips. We never doubt the availability of an Uber to take us from point A to point B at any time in any city.
On the other hand, decentralization has also changed the lives of the producer. It has given almost everyone the opportunity to hold a flexible part-time job while still allowing for financial success. The drivers are no longer tied down to strict schedules and demanding bosses. Average people have found the answer to the question of how to make easy cash with their spare time, eliminating wasted time and wasted space.
Finally, the job of the service provider has transformed from an all-around provider to simply a facilitator between thousands of producers and consumers. Uber doesn’t have to hire drivers from all around the country, but rather allows average Americans work for each other, finding a way to simultaneously fill the needs of all involved.
It is the growing interdependence between the three parties that has allowed the Uber model to flourish. Drivers need riders who need Uber which then needs drivers. Uber managed to fill two markets at once, forming a dependency that will likely stick around for a long time. Consumers will be unwilling to settle for anything less than an affordable ride at their convenience.
It is no surprise that many companies have followed in Uber’s footsteps, attempting to be the facilitators between established markets, eliminating wasted potential and maximizing utility, shifting responsibility — and profit — to the masses rather than stockpile it with the bosses. Decentralization has beat out bureaucracy at its own game, becoming the most efficient way to get things done in the modern age without requiring a power hierarchy. Consumers and producers can expect this model to be the new norm in the coming years.
