Economics of Scale —Lessons for Radiologists

Uber ’s experiment with $5 discount coupons with select passengers in Seattle appeared to be a win-win situation, benefiting both the passengers and Uber. The passengers rode more, the drivers earned more, and the company profited. When Uber scaled this initiative to include a broader swath of clients, the results were the opposite. Demand increased, outstripping supply. Scarcity of supply of drivers caused resentment in overworked drivers. Wait times and prices increased, and then demand fell.

Source: Journal of the American College of Radiology : JACR - November 14, 2023 Category: Radiology Authors: Saurabh Jha, John A. List Tags: Opinion Source Type: research