The taxi industry in New South Wales has experienced very little competition within its market, resulting in low prices for its services to be high enough. Today, however, with technological advancements, the rise of app-based taxi or ride-hailing services such as Uber threatens to provide substitutes for customers, thereby increasing competition in the taxi industry. The NSW taxi industry is somewhat managed by the NSW Government (Abelson). There are three major companies which, as Abelson says, “control 90 per cent of the taxi operators in Sydney”. As a result, an oligopolistic market structure forms, as there is some competition between these large companies within the taxi service industry. However, because of the "allegiances" (Abelson) that these companies have with each other, they are able to work together, creating an almost monopolistic market where they are able to hold some market power without fear that companies competitors do not take customers from them. to have lower prices. These are however somewhat regulated by the government as they influence the prices of taxi fares including...