Impact of Uber Eats on Business Sales of Uber

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Integrated Business Management Project
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Abstract
This study examined the impact of Uber Eats on the business sales of Uber. Uber Eats is
expected to deliver billions in the year of 2019 which depicts the growth of this services in
the current era. The literature review showed that Uber Eats had high feasibility and growth
in the market. The study had chosen mixed method analysis where 10 respondents have been
surveyed to gather data on the participants. Qualitative and quantitative had been analysed
and the results showed that majority of the consumers have given positive response but the
organisations should reduce the price to cater to one segment of the consumer. Moreover, the
organisation needs to revamp their application with more variety of options and better
tracking services.

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Table of Contents
1.0 Introduction..........................................................................................................................4
1.1 Background of the study..................................................................................................4
1.2 Research problem.............................................................................................................5
1.3 Research objective...........................................................................................................5
1.4 Research question.............................................................................................................5
1.5 Summary..........................................................................................................................6
2.0 Literature review..................................................................................................................6
2.1Overview...........................................................................................................................6
2.2Conceptual Framework.....................................................................................................7
2.3Concept of sales................................................................................................................7
2.4 Factors affecting business sales of an organization.........................................................8
2.5The business- Uber Eats and contribution of Uber Eats to business sales......................10
2.6Research gap...................................................................................................................11
2.7Summary.........................................................................................................................11
3.0 Methodology......................................................................................................................11
3.1 Design, strategy and framework....................................................................................12
3.2 Sample............................................................................................................................13
3.3 Data collection...............................................................................................................13
3.4 Data analysis..................................................................................................................14
3.5 Significance....................................................................................................................14
3.6 Limitation.......................................................................................................................14
3.7 Ethical Consideration.....................................................................................................14
4.0 Findings and Result............................................................................................................15
Qualitative questions............................................................................................................19
5.0 Conclusion and Recommendation......................................................................................20
5.1 Recommendation................................................................................................................21

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6.0 References..........................................................................................................................22

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Topic: “Uber Eats and how will it contribute to the increase of business sales.”
1.0 Introduction
This study has examined the impact of Uber Eats on the business sales of Uber. Uber
has established themselves as one of the most innovative services and has made a ground
breakthrough in terms of providing car services in the year of 2008. Uber Eats is expected to
deliver billions in the year of 2019 which depicts the growth of this services in the current
era. This research aims to examine the potential of Uber eats in improving business sales of
the organisation in the upcoming years to come. The new delivery services have come into
play in the year of 2013 which differentiated themselves from the traditional delivery system
by providing delivery assistant to entities lacking in delivery options.
1.1 Background of the study
There have been significant changes in the business of delivering food due to the
emergence of new online platforms that focus on capturing new markets. The online
platforms have been able to capture markets in majority of the global countries (Yeo, Goh
and Rezaei 2017). However, there is still very little knowledge on the market dynamics,
customer behaviour and growth potential. The market dynamics are changing rapidly which
results in the development of the work done by the different organisations.
The current food delivery market stands at more than €80 billion which is 1 percent of
the overall market in the food industry. The industry has grown in majority of the developed
countries and have developed a steady growth rate of 3.5 percent in the upcoming five years.
The most common form of delivery in the current market belongs to the traditional form of
delivery where the consumers places orders over the phone and still has more than 85% of the
share in the food delivery and ordering market (Chandrasekhar, Gupta and Nanda 2019).
However, digital technology has become of the dynamic factors rapidly reshaping the
industry and making the consumers accustomed to the online shopping by using applications
or websites. This results in the highest level of transparency and convenience, and the same
time increases the expectation of the consumers in terms of ordering food online.
The market has been divided into two tiers where there are the aggregators that
follow the traditional business model where the consumers are able to access multiple
restaurants and cuisines using a single application. On the contrary, the new delivery services
provide similar services where they provide multiple options to choose from but in additional
are providing logistics services for various restaurants lacking in logistic services. Even

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though these companies have higher cost of delivery and maintenance these companies have
been able to achieve comparatively higher EBITDA margins. Uber Eats belongs to one of
these categories and have been successful in catering and expanding their business in the last
few years. Uber Eats was launched in the year of 2014 and slowly have spread out to
different parts of the world with its presence in more than 20 countries all over the world.
1.2 Research problem
The fast-changing nature of the market shows that there is lack of research and
information on the market dynamics, consumer behaviour and sales opportunities among the
organisations. Therefore, it is essential to gain considerable amount of knowledge on this
platform to understand the impact of these new delivery system on the business sales.
Moreover, even though the organisations have been growing at significant pace but still the
company has been losing a large of money when compared to the other companies in the
market. Uber has to go through multiple complications and processes which increases the
overall cost of operation when compared to the traditional online delivery applications.
However, the operating margin for Uber eats is quite low so the research aims to examine the
possibility of the company in delivering suitable services to the consumers and increasing
sales volumes in the future. Therefore, the research aims to examine the feasibility of the
business in generating significant revenue in the upcoming future.
1.3 Research objective
The research objectives in the current study are as follows:
 To examine the current and future contribution of Uber for improving business sales
in the global market.
 To recommend suitable strategies for improving sustainability options in the market
1.4 Research question
Specific
How does Uber eats contribute to the increase in business sales for Uber?
General
What are the different ways of improving business sales of global organisations?