Impact of Macro Environment on Uber's Strategies

Business strategy

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
P1 : Impact and influence of macro environment on the strategies of Uber ...............................3
P2 Analysis of internal environment and capabilities of Uber ...................................................6
P3 Porter's five forces model and evaluate competitive forces of the market.............................9
P4 Theories and models and design strategic plan for the organization....................................11
Conclusion ....................................................................................................................................15
REFERENCES................................................................................................................................1

INTRODUCTION
Business strategy means planning which is done by companies in order to be successful
in the future. Strategies can be related to management, customers etc. company also make
strategies by seeing their competitors strategy. Strategies are made so that company can achieve
growth and competitive advantages. Forming strategy is not easy and strategies are made by top
level people of the organization. uber is the multinational company which provide ride services
to the people. Under this customers can book ride via app. Mission of company is to make
transportation available for everyone. Objectives of company is Transportation should be smart,
cheap and safe. Company has started with the aim to provide services which are effort less and
can be taken from anywhere. As uber ride can be booked from anywhere. This study will discuss
impact of macro environment by applying pestle frameworks and stakeholder analysis. Internal
environment and capabilities will be evaluated by using VRIO and MC Kinsey model. Further
porters five forces will apply to analyse competitive forces and also strategic plan will develop
which will give information about the strategies which is developed by the company.
MAIN BODY
P1 : Impact and influence of macro environment on the strategies of Uber
Macro environment is known to be the collection and summation of all those factors, who
can affect the business in positive and in negative way. In other words, macro environment refers
to the external environment of the company who can give threat and opportunity as well to the
respective company (Perera, 2017). As Uber is pioneer brand in self-driving cars, food
deliveries, package delivery and transportation so Uber has to face high competition as well apart
from this there are various macro environmental factors which affects the revenue and the
profitability of the company. There are some factors such as political changes, up- gradation in
technology, changes in the taste of the society etc. which affects the strategies of the company.
Pestle analysis of Uber

Political factors
As Uber is operating globally, and for that the company has already taken endless debts
from different resources so the government of different countries is not issuing license to Uber in
their country. Besides this, Uber has become a threat for other traditional taxi drivers this is also
a reason in different countries through which government is not allowing Uber to operate in
their country. Even in US, the company is facing lawsuits that they should treat their drivers as
an employee not as a contractor, thus the company is facing licensing issue in US(Christodoulou,
and et.al, 2019). On the other hand in South Africa, government has initiated to seize the cars of
Uber as the drivers don't have proper taxi permit. So the political norms and changes have a deep
impact on the business of Uber.
Economic
Due to Uber economy of many countries moved in positive direction as its has generated
employment opportunity on a large scale for those who are searching for employment. So Uber
has discovered ample of employment opportunities for car drivers in all those countries where it
is operating. Apart from this, Uber has bound other traditional taxi services to cut down their
prices. On the one hand, Uber has generated immense competition in car driving services.
Social
Illustration 1: PESTLE framework
source: What is PESTLE Analysis? An Important Business Analysis
Tool., 2021