Strategic analysis Uber, organizational culture, business strategy of Uber, Chinese firm Didi Chuxing, Ola, Lyft and Juno, Uber services, politic of Uber, transportation company, Garett Camp, Travis Kalanick, Oscar Salazar, taxi company, transport business, USA, UberEats, uberisation, PESTEL analysis, Porter's five forces
Uber Technologies Inc. is a global transportation technology company operating in more than 760 cities around the world, and in more than 70 countries. The American giant generated net revenues of $6.5 billion (excluding China) in 2016, simply from its transport business. Uber, where the world's largest taxi company does not own cars. The drivers are independent contractors who use their own vehicles. They use the application to be able to obtain customers and get paid by the company.
[...] ‘The service allows you to geolocate the vehicle closest to you and then reserve it. Users can follow the approach of the car they have reserved for the app. Payment is made automatically at the end of each trip by direct debit. There is, therefore, no exchange of currency between driver and passenger.' The principle is as follows: the VTC must be reserved by the customer via the Internet or telephone. He cannot be stopped in the street like taxis, which are the only ones able to park on public roads and to be hailed by the customer. [...]
[...] Analysis of rivalry dynamics and competitive dynamics A. Competitive analysis Uber is the market leader in transportation technology and enjoys a near- monopoly position, given its growth in recent years, the company holds the majority of the market share. Uber shares the global market mainly with local taxi companies, Ola in India, Lyft and Juno in the United States, and Didi in China, which sometimes succeed in pushing back the powerful American firm. Uber's biggest direct competitor is the Chinese firm Didi Chuxing, which offers a similar offer at sometimes lower prices, which has enabled it to become the market leader in China, and the same is true for Ola in India. [...]
[...] What are the key forces of the environment? Can we predict the evolution of forces? In which direction? A few entrants competing with Uber are expected to enter the ride-hailing market in the coming years, primarily in local markets, as entry barriers are low. Competitive intensity can therefore potentially increase, as can the threat of substitute products. Indeed, the threat of substitute products may be strongly influenced in the coming years by the use of autonomous cars, or even work at home (decrease in the use of means of transport). [...]
[...] Easy Taxi is a Brazilian company and has since expanded its network to over 30 countries -Juno: 4 million users, Juno is only present in Israel and New York, the start-up competes and Lyft in the United States. —Didi Chuxing: local actors in China. Didi Chuxing is exclusively established in China after a victory against Uber in Chinese Territory. Uber has sold its Chinese activities to the local leader -Careem: player in the Middle East. Careem is present in 14 countries in the Middle East, Africa and South Asia. [...]
[...] The second is the rating of the drivers. Below a certain rating, the VTC driver can be banned from the platform. This makes it possible to maintain a level of quality service, which was sometimes criticised for taxis. However, as we described above, this system is easily copied. So this is not a competitive advantage for the company Patents Uber is in full strategic development. The company has addressed the question of the autonomous car, filing numerous patents. These are not copiable and may constitute a temporary competitive advantage Network effects In a large majority of community platforms, users represent a more competitive source. [...]
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