When there are very few drivers in a city, it takes a long time to get a ride—this is called having a high ETA (estimated time of arrival). As a result, conversion rates are low, because who has time to wait thirty minutes to get a ride? Thus, until you have a few dozen drivers—let’s say fifty for the sake of this example—the value to the user is nearly zero. They won’t really use the app, and drivers won’t stick around, either, so the entire network will collapse on its own. Once you pass the Tipping Point, however, things start to work. Riders start getting cars in 15 minutes, and it becomes
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