Ex-Uber employee shares how company ‘overcame the chicken and egg problem’: 3 key points

Scott Gorlick, who joined Uber as senior manager of operations and logistics and later led the company’s strategic projects, said the company “overcame the chicken-and-egg problem” that startups face. In a series of posts on Xu, he listed three key points that helped the company’s “growth flywheel” “spin.”

Scott Gorlick shared the problems startups face and how Uber got through that phase. (X/@sgorlick)

“Today, Uber is a $140 billion company with more than 6 million drivers,” Gorlick wrote on X.

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He then shared the problem Uber faced in the early days: “Without drivers, drivers wouldn’t be able to get a car. And without drivers, drivers would not be able to make money.”

In the next few posts, Gorlick shared how the company solved this problem. Since the company “didn’t have hundreds of people asking for rides on the first day of launch,” they “were paying drivers $30/hr to be online.”

Gorlick also shared how the company built its customer base. “We would put cars near bars and restaurants where we thought people would be,” he added.

The former Uber employee also revealed the company’s strategy for spreading news quickly and helping it grow. Gorlick said, “If you have a friend riding with you who hasn’t tried Uber yet, we’ve made it easy for you to refer them. You will each receive $10 off your next ride. And your friends would refer their friends.”

“While timing at Uber, I saw that the right people working on the right thing at the right time can change the world. Every startup is different, but the tactics we used to grow can be applied to other companies as well,” he concluded.

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Many on social media reacted to Gorlick’s Uber thread. The individual said: “You have no idea how valuable this information is. Thank you so much for sharing. I’m an independent founder building a real estate market for my country and like all young markets, I’m going through a chicken and egg problem.”

“I remember those days. Traveling for work, realizing I could use Uber in that city was like magic,” added another.

A third commented: “It’s so cool to get this perspective.”

“Actually I’ve always wondered about that! Thanks for the insight,” said a fourth.

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Source: newstars.edu.vn

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