Uber rapidly expanded from its founding in 2009 in the United States to over 65 countries and 570 cities globally by 2012-2013. Using an innovative strategy of operating as a transportation network without owning vehicles or directly employing drivers, Uber was able to double its revenues every 6 months. However, Uber's aggressive expansion tactics and controversial practices have led to increasing lawsuits, bans in some areas, and conflicts with regulators and the taxi industry.
2. Uber
American-based Transportation network.
Started in 2009 in US cities,
By 2012 to 2013 it expanded rapidly into overseas market including
Europe, Sidney, Austria, Asia, China, India and Pakistan within few years it
started operations in 65 countries and 570 cities across the globe.
$200,000 in seed money.
4. How UBER work?
Application
Sign-in
Information
Payment method
Trip request
5. UBER’s Unique Strategy
Human Capital
Network of orchestrator model opposed to traditional
No drivers own
No own cars
20% get by company
Pricing
“Surge Pricing Algorithm”
information edge that work in between supply and demand functions
Fare increase and decrease as per demand.
6. Marketing
September, 2013 UBER announced its first sports deal.
July, 2014, UBER partnered with Blade to offer “UBERCHOPPER” helicopter
rides from New Yrok City to Hamptons for US$3,000
UBER also created a kind of luxury ride for the users of UBER from March,
2015 to May 2015 in collaboration with Dream Drive in Singapore
In Hyderabad, India UBER make collaboration with Grab in and provided
Balloon rides to the customers for INR 1,000.
7. SWOT
Strength
International brand name
Low Operational Cost
Innovative Technology Platform
High Growth Opportunities.
Money and Money.
Weakness
Poor Crisis Management
Controversial Practices
Poor Relationship with stakeholders.
8. Opportunities
Entry into other online business
delivery.
More penetration in to growing
market like china and India.
Can train their driver
Can start a business of sports cars.
Opportunity to go into food delivery.
Threats
Increasing lawsuits.
Increasing Competition.
Bad word of mouth.
Increasing Bans
Threat of replication
10. Competitor
ASI: Didi Kuaidi, Olacabs, Line Taxi etc.
Europe: GETT, BlablaCa, Mytaxi etc
North America: Lyft
South America:
Easy Taxi
Middle East and Africa: EasyTaxi, careem and other small.
13. Current Situation
Increasing protest against UBER from taxi industry in many
countries including Europe, India, China and Canada.
173 lawsuits
Banned in sounth Korea, Spain, Panama City and few more.
Firm criticized for aggression towards local officials and
journalists.