Global Business Perspective

Running Head: GLOBAL BUSINESS PERSPECTIVE
GLOBAL BUSINESS PERSPECTIVE
Name of the Student:
Name of University:
Author Note:

1GLOBAL BUSINESS PERSPECTIVE
Executive summary
UBER is one of the leading riding car service organisations around the world. The company has
a great number of markets in US and internationally. Recently, the organisation intends to
expand the business in India. Therefore, some strategic tools are taken in order to establish better
business opportunity for UBER. In this regard, the PESTLE analysis, Porter’s Five Force model
is discussed in order to highlight the existing external environment. The OLL factors are also
illuminates to understand the significance of Indian market for UBER. Further, a strategic
comparison is also illustrated into the discussion so that both the internal and external situation
can be evaluated. Finally, the report tries to suggest some measures that can bring future
advantage for UBER in India.

2GLOBAL BUSINESS PERSPECTIVE
Table of Contents
Introduction......................................................................................................................................4
Discussion........................................................................................................................................4
PESTLE analysis.........................................................................................................................4
Political....................................................................................................................................4
Economic.................................................................................................................................5
Social.......................................................................................................................................6
Technological..........................................................................................................................6
Legal........................................................................................................................................7
Environmental..........................................................................................................................7
Determinants of OLL factors.......................................................................................................8
Porter’s five force........................................................................................................................9
Threat of entry.........................................................................................................................9
Bargaining power of the buyers...............................................................................................9
Bargaining power of the suppliers.........................................................................................10
Threat of substitutes...............................................................................................................11
Rivalry among the competitors..............................................................................................11
SWOT analysis..........................................................................................................................12
Strength..................................................................................................................................12
Weakness...............................................................................................................................12

3GLOBAL BUSINESS PERSPECTIVE
Opportunities.........................................................................................................................13
Threats...................................................................................................................................14
Evolving business strategy........................................................................................................14
Global factory............................................................................................................................14
Recommendations......................................................................................................................15
Conclusion.....................................................................................................................................15
Reference.......................................................................................................................................17
Appendices....................................................................................................................................22
Appendix 1.............................................................................................................................22
Appendix 2.............................................................................................................................23
Appendix 3.............................................................................................................................24
Appendix 4.............................................................................................................................25
Appendix 5.............................................................................................................................26

4GLOBAL BUSINESS PERSPECTIVE
Introduction
UBER is popular for its transportation network that includes a great number of ride
services, food delivery and bicycle sharing system. As per the research of Surie and Koduganti
(2016) this transportation network giant has access to 785 metropolitan cities across the world
that provides more than US$ 11.3 billion in 2018. The research of Elliott (2015) advocated that
UBER is estimated to have more than 100 million users with a 69% of market share. Therefore,
this organisation has great influence in the international market. Based on this understanding,
this report aims to analyse the market entry for UBER in India. Henceforth, the PESTLE analysis
is going to use in order to understand the existing business situation in India. Moreover, the
report also puts emphasis on the Porter’s Five Force tool for an in-depth market analysis. The
OLL factors are also incorporated into the assessment so that it will put some light on the
importance of Indian market for UBER. Later on, a SWOT analysis will be carried out with
recommendations that will foster better perception related to the business initiative of UBER in
India.
Discussion
PESTLE analysis
Political
As far as the political situation in India is concerned, it can be stated that India enjoys a
federal republic state based on Parliamentary democracy. There are some threats to the business
organisations across the world in order to do business in India. For instance, corruption is
considered to be the most significant threat for the multinational business organisations. The

5GLOBAL BUSINESS PERSPECTIVE
political stability index in India was average -1.14 points with a minimum -1.51 points in 2003
and a maximum of -0.83 points in 2017 (theglobaleconomy.com., 2019). Moreover, the World
Bank data shows that the regulatory quality index is marked -0.37 points averagely with a
maximum -0.16 point in 2000 (heritage.org, 2019). As a matter of fact, the government
effectiveness in India is quiet healthy with an average -0.05 points in an average. Therefore, it
can be argued that despite of volatile political situation in India the government effectiveness is
quite satisfactory that attracts the multinational companies to set their business in India.
Furthermore, it can also be asserted that the standard growth in the efficacy of regulatory
framework also enhances the market opportunities for the Indian market and the foreign
companies can easily relied on the democratic establishment of the country that can facilitate
great deal of help for their business expansion.
Economic
From the economic point of view, India is identified as one of the lucrative markets
around the world. First of all the second largest population makes India one of the major driving
force for foreign companies to visit and invest in a bulk. Nonetheless, there are specific
economic factors that plays pivotal role in order to make India a business-friendly market
internationally and domestically. As per the report of IMF, Indian economic booming witnesses
an increasing development with a rate of 7.3% in 2018 (heritage.org, 2019). One of the biggest
reason behind such economic boom is the industrial activity and foreign direct investment that
make the Indian market more open and optimistic for the foreign investors. It is expected that the
Indian GDP can touch the percentage of 7.7 within the annual period of 2020
(theglobaleconomy.com, 2019). In addition to this, the inflation rate in India is projected to 4.6
within 2020 which is recently marked at 4.7. The economic freedom in the Indian market is