MBALN-736A Case Study: New York City Cabbies and Information System

This case study examines the implementation of a new information system mandated by the New York City Taxi & Limousine Commission for all licensed cab owners. The system includes features like GPS, passenger information, payment gateways, and entertainment options. While offering potential benefits, such as automated billing and increased income opportunities, the system raises concerns among cabbies, particularly regarding GPS tracking of their movements and mandatory installation costs. The study also explores the broader context of e-commerce, m-commerce, and e-business, comparing the new system's features to those of competitors like Uber and Lyft. It highlights the transition from traditional business models to e-business, emphasizing the importance of website design and advertising. The case study delves into the concerns of the cabbies, including the impact on their privacy and financial burdens, providing a comprehensive analysis of the system's impact on the industry.

Running head: ENTERPRISE INFORMATION SYSTEMS
ENTERPRISE INFORMATION SYSTEMS
Name of the Student:
Name of the University:
Author Note:

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Table of Contents
Capabilities of Software.............................................................................................................2
Overview of E-commerce, M-commerce and E-business..........................................................4
Concerns of New York City cabbies related to new system......................................................7
Smoother Transition of the new system.....................................................................................8
Dilemma of the cabbies related to the new system....................................................................8
Analysis of the new system........................................................................................................9
References................................................................................................................................10

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Capabilities of Software
In almost all of the cab information systems related to this specific cab system, is a
common feature, which says that every single individual can utilize the information system
residing anywhere within the New York City. The information system, which has been
commanded by the New York City's Taxi & Limousine Commission, is environment friendly
and can run on any of the working environment be it Android or iOS (Cramer and Krueger,
2016). Platform flexibility of this information system provides it with the provision to be
added to another platform relating to the future references.
This new information system, which has been implemented into all of the cabs
running all around the New York City has a new embedded system that will notify all the
cabbies over the surrounding region about a passenger who is waiting somewhere near to
board a taxi. This way if the cabbies are not having a good day with passengers calling them
for the journey and sitting idle, will provide them with a clear opportunity to generate some
income rather than sitting somewhere down the street and doing nothing (Tian et al., 2016).
The information system has the implementation of global positioning system with the help of,
which the cabbies will be notified about the position of the passenger waiting to book a cab.
With the help of the same positioning system, the passengers contain the ability to have a
brief idea about the current location, routes as well as the destination of themselves in relation
to the cab booking system.
Along with this, the new information system of the cab will have a specific payment
gateway to provision the customers to make the payment through their credit cards as well. In
addition to this, the information system will even provide with forms of entertainment apart
from that of music (Tussyadiah, Zach and Wang, 2017). The information system particularly

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provides with automated bills related to the fares pending for the passengers, along with the
information completely related to the trip details of the passenger.
Uber is considered to be one of the fastest growing applications having implemented
the cab service related information system. This company to be specific has covered most of
the countries as well as the cities lying all over the world (Weng et al.,2017). Related to the
recent studies, which have been conducted, Uber as a single company relying upon this
particular information system provides its services almost to 67 countries along with that of
78 cities in all over the region connected to the Asia-Pacific region.
Uber particularly, offers it services to with the help of its UberX across whole of the
Asia dependent upon the place a passenger is living or booking the cab from. Some of the
smaller cities are entirely dependent upon the UberGO, which provisions the passenger with
cars having a much smaller size. On the other hand, some of the other cities have the
UberBlack, UberSUV, UberXL as choices, which prevalently tend to have raised prices
compared to the cars prevalently used in the smaller cities as well as that of the towns (Liu
and Lin, 2017). Features, which this company provides within its application implementing
the information system are platform independence, having a payment gateway favorable to
online payments along with that of the cash payments as well.
The specific capability of the information system, related to the New York City's Taxi
& Limousine Commission implemented cab system has many features, which is again seen in
most of the competitors dealing within the same field of business (Lu et al., 2016). Such as
the likes of Uber as well as Lyft, which offers the similar type of features related to the
implementation of the same information system of the cab system. All of the mentioned
applications have the basic common features of global positioning in relation to the
passenger, along with the features of the cash payments for the people in New York as to

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keep a record of the bills as well as of the trip details related to the customer (Hindersah and
Prihatmanto, 2015). The New York based application has the additional feature of providing
the passenger with the states of entertainment such as the provision of listening to music or
any other kind of entertainment, which the customer might be looking for.
Overview of E-commerce, M-commerce and E-business
E-Commerce refers to the procedure of buying as well as selling of goods and
products related to the customer preference with the help of electronic means. All of these
activities are carried out with the utilization of mobile phones as well as that of the internet,
since the whole activity belonging to the E-Commerce takes place all through the internet (Lu
et al., 2018). However, the transactions can be manually done or the customer can pay with
the help of their credit cards or any other sort of online payment gateway.
The term commonly referred, to as the mobile commerce was originally devised in the
year of 1997 by Kevin Duffey during the launch of the Global Mobile Commerce Forum.
This term refers to the fact of delivering the specific product as desired by the consumer with
the help of electronic means implementing the technology of wireless communication.
However, many of the people who exist with a thinking that mobile commerce has the
general meaning of retailing an outlet within the customers pocket.
Electronic business, which is commonly referred to as the procedure of Online
business, refers to that specific kind of business, which has the inclusion of information
related to commercial transactions along with the sharing of related information online. The
procedure of E-business consists of the commerce, which consists of the products as well as
of the services taking place between businesses, existing groups along with that of the
individuals (Shukla and Jain, 2018). All of the activities taking place within the field of E-

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business commonly refers to all of the essential activities, which can be included within the
methods of business to have a successful business campaign all around the related field.
Transforming from a traditional business to that of the e-business is considered to be a
major step within the growth in the business field, which is increasing with a tremendous
speed. However, processes within the business can be same, the transition will certainly
highlight a difference in the form of the business or maybe the traditional method
respectively (Nassiri et al., 2018). Many of the existing companies can shift from the costs of
overhead, which is high related to the running of a traditional business to the lower related
expenses that is involved to the running of an E-business for a basic reason to the place
forward a change.
Firstly the change shall be in the documentation of the operations taking place within
the company. On the basis of the e-business the current methods shall be adapted to the
method of getting fitter within the new methods that need to be followed (Li et al., 2017).
Planning out of each of the procedure starting with that of the receiving of orders, filling of
the items along with that of the completion of orders related to the customers. There shall
also be the existence of procedures related to refunds being provided to the customers (Qiao
et al., 2015). However, the majority of the E-businesses can follow the automated method
and, hence can be considered for the expansion within the quantities of orders.
The next step while transitioning the conventional business to the form of an e-
business, the website is commonly referred to as the face of the company lying within the
minds of the customers. Similarly to the scenario of a customer not preferring a dirty as well
as a shabby store, the customers related to the E-business also do not specifically prefer a
website, which is not good looking or is pleasing to the eyes of the customer (Li and Zhou,
2016). The company can specifically get the website developed by outsourcing or can even

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have a specific team of developers for the fact that they can build as well as be entrusted upon
with the responsibility of maintaining the website related to the proper working of the
website.
The last step refers to the process of advertising (Adewumi, Odunjo and Misra, 2015).
The procedure of advertising specifically refers to letting the common people know about the
existence of the company as well as having a fancy website so that the customers visit the
website and in this way the sales of the company increases on a heap.
The benefits of E-commerce over the model of traditional business are,
i) Overcoming of the geographical area, since having an offline store dealing in
traditional business, the store is located as well as limited to specific geographical
area. While, on the other hand an e-business company can make sales to any part
of the globe relating to customers carrying a livelihood in any part of the world.
ii) Having a website of the specific organization increases the visibility of the
company to the customer surfing through the web while, on the other hand such
an activity does not take place for a traditional store (Nath et al., 2017).
iii) Related to the specific model of E-business, one of the tangent is that of having a
low cost for the specific products. A specific part related to these lower costs can
be passed on to the customers taking the form of discounts.
iv) Locating of the products on the website portal is far easier than to run from here to
there within the store and then after standing in long queues for the billing
process.
v) Elimination of major costs such as the transportation costs of going over to the
store and then returning back, as well as the saving of time constraints.

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vi) The model of E-commerce provides facilitations in comparison to that of
shopping. There has been the existence of a number of online services that
provision the customers to carry on browsing within the existing multiple e-
commerce merchants as well as to find out the best prevailing prices (Alkandari,
Almutairi and Moein, 2017).
vii) Enabling of a number of deals along with that of the bargains, coupons as well as
the buying of group. All of these extra features of coupons also provisions the
customers with certain discounts. ,
viii) Providing of Abundant information related to the products, which are displayed up
on the store.
ix) The online portals for E-commerce are open all the time working 24 hours for the
span of 365 days. While, on the other hand the physical stores have the drawback
of not being close 24 hours a day as well as not even 365 days a year.
Concerns of New York City cabbies related to new system
The cabbies belonging to the new system has the major concern related to the fact that
GPS system will have the continuous track of their specific movements hours after hours.
Ranging to about 85 percent of the cabbies working within the city of New York belong to
the system of independent contracts having the ownership of their own cabs as well as using
their own car for the purpose of personal transportation while they are not working.
On the other hand, they are even concerned about the related fact that they need to
make a separate payment for the installation of the system, which is considered to be
mandatory. In addition to this, whenever a customer pays the fare to the taxi, five prevent of
the amount credited is supposed to be paid to the system as a fee of every transaction that is
being made by the cab driver (Hagman and Langbroek, 2019). The most important reason,

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which led to the upset of the cabbies working within New York, is that the design as well as
the decision to implement such a new system by replacing the already existing system was
taken without even considering their existence.
As a result of this, the New York Taxi Workers Alliance had called for a two day
strike resulting in the stop of the taxi system, which consists of 10,000 cabs in the whole of
the city.
However, the related concerns were wholly justified since, it was the duty of the
administration to have kept the cabbies of New York involved within their new thinking of
getting such a system of cab booking being developed (Patani et al., 2016). Firstly, the
cabbies already existing did not have any idea regarding the new system, on top of that they
had been asked to pay five percent of the fee whenever a customers makes payments of the
fares in credit cards.
Smoother Transition of the new system
The new system has been designed and then planned for the smoother transition of
New York City’s new cab service, for a prime objective to include the latest as well as the
smartest of the technologies existing within the business world to be implemented within
their city cab service as well. However, the administration entirely took the decision on their
own (Leng et al., 2015). The New York Taxi Workers Alliance had no idea regarding this
incoming change that is supposed to replace their ongoing lives with technology.
As a reason of this, they thought that the New York City's Taxi & Limousine
Commission had a single intention of imposing something upon them, which they did not
want. Moreover, the implementation of the system had the assumed intention of the
administration to impose the new design upon the already existing cabbies of New York.
Hence, being a manager of the New York City's Taxi & Limousine Commission the

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smoothest transition had been taking place if the Commission had the predefined meeting
with that of the New York Taxi Workers Alliance and placing the idea of the new system to
have a say in the decision being taken together. This method was the best possible way of
having the smoothest transition.
Dilemma of the cabbies related to the new system
In relation to the new system, a two-day strike was held. However, the strike led to a
very low effect relating to the fact that most of the cabbies did not support the strike, or
maybe that they did not have the courage to take two day off from work as a reason, which
says that they cannot afford to take leaves due to the need for revenue (KUSUMA, 2018).
Hence, the new technology was considered to be inevitable stating the fact that this new
system will provision for more business for the cabbies, in turn generating more revenue than
expected.
Analysis of the new system
Being a customer of getting the benefits of the new system that is being proposed will
be proved to be beneficial for the customers as well as for the cabbies together. For the
customer, there will be no more waiting for cabs and waving hands at the cab drivers to take
them to their desired destination. One the other hand, the cabbies will be no more waiting for
passengers, and will get notified whenever there is a passenger waiting to board a cab. These
are the two main benefits that can be related to the newer implementation of the proposed
system by the New York City's Taxi & Limousine Commission.

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