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Why Other Companies Are Having Trouble Replicating the Uber Model

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As private company Uber Technologies continues to dominate the ride-sharing scene, other companies have fallen by the wayside.

On Thursday, for instance, ride-sharing company Shuddle said that it will shut down. Shuddle was an Uber for kids that "targeted busy parents who were willing to pay fares that were slightly higher," according to USA Today. Although Shuddle raised $12 million last year, it was unable to raise additional capital to keep operations going.

Shuddle's fall represents another failed attempt to create an Uber clone, but it is far from the first ride-sharing company that attempted but failed to emulate Uber.

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In January, General Motors (GM - Get Report) said that it would purchase employees and technology left over from SideCar, one of the first ride-sharing companies, which shut down in December.

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Sure, there are still other competitors such as Lyft, and new ride-sharing companies such as Chariot for Women and Juno will keep popping up. But Uber dominates the ride-sharing scene, thanks to its name recognition and huge number of drivers.

But the fact is that when investors look at ride-sharing startups...


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