Strategic Management: Uber Eat Company Case Study

STRATEGIC
MANAGEMENT
(ASSESSMENT 2)
Table of Contents

INTRODUCTION .....................................................................................................................................3
MAIN BODY............................................................................................................................................3
Company profile................................................................................................................................3
Industry Analysis................................................................................................................................4
Business environment analysis..........................................................................................................5
Resource and capabilities..................................................................................................................5
VRIO Analysis...................................................................................................................................12
CONCLUSION.......................................................................................................................................13
REFERENCES.........................................................................................................................................13

INTRODUCTION
Strategic management is defined as forming strategies and based on the formation
proper implementation is done of strategies. This report is based on case study of Uber Eat
Company. Henceforth, report will emphasis over the business enviornment analysis.
Resources and capability assessment of company will also demonstrate in this project.
MAIN BODY
Company profile
Uber Eat Company will be discussed. Uber Eat Company was established in the year
2014 by the founders Travis Kalanick and Garrett Camp. Headquarter of the company is
located in San Fransisco, California, United States. Currently company serving its services to
approximately 45 countries across the globe. Food industry utilises the concept of Porter Five
Forces which demonstrate all key points that can influence the competition in market. There
are different elements like power of stakeholders mentioned in this model. Based on the
power reflect under this model of each and every stakeholder company get an eye over
formation of strategic direction. Along with the Porter Five forces Uber Eat Company also
take support of PESTLE Analysis to design strategies against business operations
channelised. PESTLE project different business environment elements that impact over the
business operations. The role of Porter Five Forces and PESTLE Analysis is directly under
formulation of strategic option. VRIO Analysis is another crucial tool that can be used to
understand how effective the organisation is performing against the business operations. This
tool assesses all such areas about which company could bring a unique image in the market in
front of the target customers in the market. This also supports the organisation to form the
best level of strategies and policies to achieve the business objectives of company.
Industry Analysis
Porter five forces comprises with various forces that influence operations and decision
making of the organisation. This competitive analysis model comprises with different forces
create impact over the strartegic direction of business entity.
Internal rivalry (High): Food industry contain huge demand and growth posibility. This
lead to massive internal rivalry between brands. Stakeholders always like to invets in the
sector contain huge demand of products in respective market. Internal rivalry is agressive
which further lead to company to follow strategies like competitive pricing and other such

practices. Company get competition from other entities like Just Eat and many other. Internal
rivalry could lead to agressive level of market competition between brands.
Threat of substitute product (High): Substitute product threat is always high. This force is
high as today the entire business environment become so volatile in nature. In such a situation
substitute product contain a huge threat in market. Substitute product denoted as the one that
can replace the use of existing product offer by business entity. This force is high due to
innovation and technological development in market.
Power of suppliers (Medium): This force is high. Uber Eat Company is a big brand that
could boost the sales of many restaurant and hotels. The dependency of other business
entities is more on Uber Eat Company than the dependency of ssuppliers over the company.
This force is medium due to the involvement of Uber Eat Company and its suppliers in
business functionsd.
Power of customer (High): Customers are the sole entity associated with the business
organsiation. All strategies company formed are based on potential customers. Customers
contain huge involvement in both growth and sustainability of business which improve the
significance of this force.
Power of new entrant (Low): New entrant are denoted as the new business venture
associated with the market. This force is low as in the current situation of COVID
stakeholders scare to invest in business. This force is low due to the low posibility of new
entrants and business ventures to enter in the market.
The abiove mentioned forces demonstare the involvement of different stakeholders in
the business operations entertain by business entity. Company need to analysis this forces to
form stratgeies in the business.
Business environment analysis
Business environment analysis comprises both external and internal factor associated
with the entity. In order to understand the implication of different external enviornmment
factor PESTLE Analysis is conducted.
PESTLE Analysis
This model involve factors like political, economical, social, technological, legal and
environment. All these are different external business environment factors influence business
operations of organisation.