On: Uber drops fares for SF Taxi strike

[mcantelon]

Strikes create leverage by withholding a service. A discount that put their service on par with taxis in effect provides replacement taxi service.

[chrischen → mcantelon]

So what the taxi companies no longer have a pressure to restore their service? It does not compute...

[mcantelon → chrischen]

"How exactly is this discount eroding leverage?" ... "the taxi companies no longer have a pressure to restore their service".

The pressure to restore the service would also get directed towards those they're bargaining with. That's part of how strikes work.