When Uber, the up-and-coming car service, jacked up its rates (with prior warning) during a recent East-coast snowstorm, many customers cried foul. But all the company is doing is letting the market dictate prices. Uber and its fleet of drivers reap the rewards when customers are willing to pay higher prices (say, on New Year's Eve), and they generate growth when demand is low (say, when taking a taxi or public transit seems like a better option). It's a much more effective pricing strategy than a one-size-fits-all approach. And more businesses should follow suit.
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